Samsung Electronics and LG Electronics have kicked off intense competition for dominance in the AI-powered PC market with the launch of their new products at CES 2025.
Both companies showcased their latest innovations and strategies at the world's largest consumer electronics trade show, held from January 7 to 10, 2025, at the Venetian Expo, Las Vegas. This year’s CES is particularly significant, as both tech giants aim to counteract declines in the home appliance market by incorporating advanced AI features.
Samsung introduced the Galaxy Book5 Pro series, available in 14-inch and 16-inch models, with prices ranging from 1,768,000 to 2,808,000 won. This reduces prices by as much as 182,000 won compared to previous models, aiming to make their offerings more accessible amid economic instability. Imin Cheol of Samsung noted, “Given the current market environment, we set competitive pricing to allow consumers to easily access our latest products.” To sweeten the deal, Samsung is offering up to 300,000 won off as part of its 'AI로 바꿔보상' program for customers trading in existing devices.
On the other hand, LG Electronics is presenting its new AI PC line, incorporating the innovative 'Multi AI' function, which allows users to select between on-device and cloud-based AI processing. Lee Yoon-seok, head of LG Electronics’ IT division, stated: “This new function of multi AI will set the benchmark for AI PCs and enrich the user experience.” With the 'Multi AI' option, users can choose the most suitable data processing method for their needs, providing flexibility and enhancing the device's performance.
The introduction of these AI-powered PCs reflects both companies' strategies to reposition themselves within the rapidly changing electronics market. Traditionally, Samsung and LG have been fierce competitors, often influencing one another’s product developments. This rivalry is now manifesting itself not just through new devices but also through the expansion of subscription services.
LG has been successful with its subscription model, launched initially with water purifiers and expanded to larger appliances, now accounting for over one trillion won of sales. With approximately 36 percent of LG's customers utilizing their subscription service, the company aims to continue its momentum by integrating AI technologies, preparing them for global market expansion.
Looking forward, both companies see the AI PC market as key to their growth. Samsung is committed to extending its subscription services under the 'AI Subscription Club' initiative, with Kim Yong-hoon, Executive Vice President at Samsung, expressing, “Our new AI service subscription will allow more consumers to experience Samsung's AI life.” This initiative seeks to combine initial affordability with the benefits of long-term service commitments, aiming to secure continuous revenue streams beyond one-time sales.
Both companies’ strategies signal their recognition of broader market trends favoring subscription models and AI technologies. The global subscription economy is projected to grow, providing ample opportunities for tech companies willing to adapt to changing consumer expectations.
While Samsung joined the subscription market two years later than LG, the arrival of AI-enhanced devices has sparked speculation over how this will alter market dynamics. Analysts suggest this competition could lead to innovations benefiting consumers as both giants push the technological envelope to gain market share.
The AI-powered PC market is still young, with both Samsung and LG making significant investments aimed at catering to future consumer needs and staying ahead of the market curve. This year’s CES is not just another tech showcase; it’s pivotal for both companies, setting up their next moves amid fierce competition defined by innovation and sustainability.