Samsung Heirs Sell Billions In Stock Amid AI Boom

In the heart of East Asia, South Korea is making headlines for reasons that go far beyond K-pop and cutting-edge smartphones. The country, long recognized for its rapid economic ascent and technological prowess, is now navigating a pivotal moment—one that intertwines the legacies of its most powerful business dynasty, the explosive rise of artificial intelligence, and an ambitious national strategy to reshape its economic future.

The story begins with the Lee family, the force behind Samsung, South Korea's largest conglomerate. Since the death of former chairman Lee Kun-hee in 2020, the nation has watched with bated breath as his widow, son, and two daughters grapple with an inheritance tax bill of truly historic proportions. According to Yonhap and kedglobal.com, the Lees owe a staggering 12 trillion won—about $8.1 billion—in inheritance taxes, a sum that dwarfs most global comparisons. This tax bill, representing one of the largest ever recorded, has become a national spectacle, not least because Samsung's economic footprint is immense: the group's revenues account for roughly one fifth of South Korea's GDP.

The public scrutiny has been intense, and the stakes are high. The final installment of this mammoth tax is due in April 2026. To meet the obligation, the Lee family is selling shares in Samsung Electronics worth 2.8 trillion won (about $1.92 billion), as reported by en.yna.co.kr. This move signals the family's commitment to fulfilling its tax responsibilities—a matter that has been hotly debated since Lee Kun-hee's passing. In a nation where the inheritance tax rate stands at 50 percent (and can reach 60 percent for controlling stakes in companies), the outcome of this saga is seen as a litmus test for the rule of law and economic fairness.

Lee Jae-yong, Lee Kun-hee’s son and the current de facto leader of Samsung, publicly pledged after his father's death: "I will make sure there are no more controversies regarding my inheritance." According to BBC and Korea Herald, this vow came amid widespread fears that the family might exploit legal loopholes or shift assets into foundations to sidestep taxes—a tactic not unheard of among South Korea’s elite.

Samsung's influence permeates every layer of Korean society. Founded in 1938 by Lee Byung-chull, the conglomerate has evolved from a modest trading company into a global powerhouse, producing everything from smartphones and semiconductors to household appliances and even managing hotels and hospitals. Its dominance is such that some cynics refer to South Korea as the "Samsung Republic," a nod to the company’s outsized sway over politics and the economy. The elder Lee was no stranger to controversy, having faced scandals involving union busting, bribery, and tax evasion. His son, Lee Jae-yong, has also spent time behind bars for corruption, only to be controversially pardoned later—a reflection of the complex relationship between the chaebols (family-run conglomerates) and the state.

This very entanglement is part of why the inheritance tax issue has struck such a national nerve. In a country where the social safety net is modest and the education system remains largely privatized, inheritance taxes are viewed as a crucial tool for redistribution and social justice—provided, of course, that the wealthy actually pay up. The unfolding drama around the Lee family’s tax payments has become a case study in public accountability, with many South Koreans relieved that, under the glare of public attention, the Lees appear to be meeting their obligations. As Deutschlandfunk notes, this episode could serve as a blueprint for other nations, like Germany, where debates over inheritance tax reform and loophole-closing are perennial political flashpoints.

Yet, while the Lee family’s tax saga unfolds, another revolution is brewing in South Korea—one driven by artificial intelligence. The country is witnessing a digital gold rush, with global tech giants and local innovators vying for dominance in the burgeoning AI market. Google's AI assistant Gemini, for instance, has skyrocketed in popularity since the launch of its "Gemini 3" model in November 2025. According to Sensor Tower data presented by Text 2, daily active users in South Korea have more than doubled, marking the fastest growth among all major markets worldwide. Despite being only 17th in app downloads, South Korea is now the second-largest market for Gemini on iOS, accounting for 11.4 percent of global revenues—a testament to the country’s tech-savvy and willing-to-pay user base.

A key driver of Gemini’s ascent is its deep integration with Samsung devices. Galaxy AI, powered by Gemini, is now standard on millions of smartphones, giving Google a direct line to consumers without the friction of app-store downloads. This partnership is set to deepen in 2026, with Samsung planning to double production of Gemini-enabled devices. Google, for its part, will offer its "Ask Gemini" assistant in Korean on Google Meet starting February 2026, targeting business customers in a bid to expand its footprint.

The AI battleground in South Korea is fiercely contested. Despite Gemini’s surge, OpenAI’s ChatGPT still commands a dominant 71.5 percent share of paid subscriptions as of December 2025, with Gemini trailing at 11 percent. Local players are formidable too: Naver’s HyperCLOVA X, for example, is lauded for its nuanced grasp of Korean language and culture, and in some tests, it has outperformed international rivals on tasks specific to the Korean context.

This competitive ferment is no accident. South Korea’s government has set its sights on becoming a global AI powerhouse. In September 2025, it rolled out the "M.AX" (Manufacturing Artificial Intelligence Transformation) strategy—a sweeping initiative uniting the state, more than 1,000 companies, and research institutions in a bid to catapult the country into the world’s top three AI nations. Kim Tae-hyung, a spokesperson for a government economic agency, captures the mood: "We will achieve a 30 percent increase in productivity in the manufacturing industry over the next five years," he declared at the Invest Korea Summit. The numbers are bold: the manufacturing sector, which already accounts for a quarter of South Korea’s GDP, is projected to grow by 1.5 percent annually, or 8 percent cumulatively over five years, fueled by AI-driven innovation.

South Korea’s ambitions are grounded in its track record. As Frederic Spohr of the Friedrich-Naumann-Stiftung points out, the country has a history of rapid catch-up in sectors like steel, automobiles, and electronics. Now, with the world’s highest density of industrial robots and a highly digitalized economy, the conditions are ripe for an AI-powered leap forward. The state is doubling its investment in AI to 700 million euros for 2026, though questions about data privacy and climate impact linger.

As South Korea races ahead, it’s clear that its journey is both a test of old institutions—like the chaebols and their place in society—and a bold experiment in new technologies. The coming years will reveal whether the country can balance these forces to forge a more equitable, innovative, and globally influential future.