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Samsung Electronics CEO wants to build an 'AI-driven company'

Samsung Electronics plans to ramp up its on-device AI business, with the aim of exceeding global market growth in the consumer electronics segment this year.

The global consumer electronics market for smartphone, TV and home appliances will grow roughly 3% in 2025, Jong-Hee Han, chief executive officer of Samsung Electronics, told CNBC’s Chery Kang.

Samsung, the world’s largest smartphone and TV maker, expects its mobile devices business to grow by 4%-5% this year, while growth in TV and home appliances unit is also likely to accelerate, said Han, also the head of device eExperience (DX) division of Samsung Electronics.

Samsung Electronics has been ramping up efforts to connect its devices to artificial intelligence, installing AI chips in its fridges, washing machines and robot vacuum cleaners.

It has also been bolstering its AI functions on its premium flagship smartphone models, such as the Galaxy S24 series, which has multiple AI-enabled features including real-time translation of certain foreign language phone calls.

This comes as Chinese brands such as Huawei and Xiaomi have emerged as serious competitors to Samsung by offering high-end smartphones at significantly lower prices.

Competition from Chinese companies is ‘helpful” for Samsung and the consumers, Han said during the interview, noting that the company aims to differentiate its products with more security and convenience, rather than lowering prices.

AI chip delays

Samsung announced a major leadership reshuffle in November, putting Jun Young-hyun as co-CEO and head of the memory chip arm, sharing leadership duties with Han.

The South Korean tech giant, once the dominant force in the memory chip sector, has fallen behind SK Hynix in the race to supply high bandwidth memory chips, or HBM chips, that are a key component for AI leader Nvidia.

Samsung Electronics CEO says competition with China is 'helpful'

Samsung will reportedly issue its fourth-quarter revenue and operating profit forecasts on Wednesday, before releasing quarterly results in late January.

Samsung operating profit for the December quarter is expected to come in at 8.2 trillion won ($5.6 billion), according to Reuters estimates, a notable uptick from 2.8 trillion won it reported a year earlier, but down from 9.18 trillion won in the prior quarter.

In October, Jun, the semiconductor division head, issued a rare apology for the company’s disappointing third-quarter performance.

Last year, shares of the South Korean giant plunged 32%, according to LSEG data, lagging the broader benchmark Kospi’s 9.6% loss.

Samsung expects first-quarter profit to soar 931% as memory chip prices rebound

The share price has “never been this low before,” Han said during the interview, adding that the company has “value-up” plan, aimed at increasing shareholders’ returns. The plan will be announced “one by one when it’s in order,” he said, according to a CNBC translation of his statement in Korean.

Investors are hoping for Samsung to close the gap on HBM and get more serious about its “value-up” scheme, Phillip Wool, head of research at Rayliant Global Advisors said in a note Monday, while adding that the 10-trillion won share buyback plan may help stabilize the stock’s price.

The company unveiled a surprise plan in November to buy back about 10 trillion won worth of shares over the following 12 months.

Peter Lee, an analyst at Citi, cautioned in a note on Dec. 31, that a longer-than-expected delay in getting Nvidia’s approval for its HBM chips and weaker PC sales could continue to pose downside risks. He maintained a “buy” rating on the stock while trimming its target price to 83,000 won from 87,000 won.

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Microsoft says Chinese hacking groups exploited SharePoint vulnerability in attacks

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Microsoft says Chinese hacking groups exploited SharePoint vulnerability in attacks

Microsoft CEO Satya Nadella speaks during an event commemorating the 50th anniversary of the company at Microsoft headquarters in Redmond, Washington, on April 4, 2025. Microsoft Corp., determined to hold its ground in artificial intelligence, will soon let consumers tailor the Copilot digital assistant to their own needs.

David Ryder | Bloomberg | Getty Images

Microsoft on Tuesday said Chinese hacking groups were part of the recent attacks on its SharePoint collaboration software.

As early as July 7, the Chinese nation-state actors it calls Linen Typhoon and Violet Typhoon have been trying to exploit the vulnerability, as has a China-based actor called Storm-2603, Microsoft said in a Tuesday blog post.

On Monday, Charles Carmakal, technology chief of the Google-owned Mandiant cybersecurity consulting group, said in a LinkedIn post that “we assess that at least one of the actors responsible for the early exploitation is a China-nexus threat actor.”

On Sunday, the U.S. Cybersecurity and Infrastructure Security Agency said it was “aware of active exploitation” of the vulnerability, and Microsoft rolled out patches for two versions of its on-premises SharePoint releases. The software company issued a fix for a third version on Monday.

SharePoint is a key component of Microsoft’s widely used Office productivity software, enabling many people inside organizations to access internal files.

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Last year, Microsoft CEO Satya Nadella made cybersecurity a top priority after a U.S. government report criticized the company’s handling of China’s breach of U.S. government officials’ email accounts.

Last week, the company said it would stop relying on engineers based in China to support the Pentagon’s use of cloud services, after a media report suggested that the architecture could have led to China-sponsored attacks against the U.S. defense arm.

In 2021, attackers affiliated with the Chinese nation-state group known as Hafnium targeted a different piece of Office software, Exchange Server, which provides mail and calendar services.

WATCH: Clode: Cybersecurity budgets won’t be the ones getting cut

Clode: Cybersecurity budgets won’t be the ones getting cut

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Tesla Diner: Photos show opening of Musk’s futuristic California drive-in

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Tesla Diner: Photos show opening of Musk's futuristic California drive-in

People dine inside during the opening of the Tesla Diner and Drive-In restaurant and Supercharger on Santa Monica Blvd in the Hollywood neighborhood Los Angeles, California on July 21, 2025.

Patrick T. Fallon | Afp | Getty Images

Elon Musk‘s flagship Tesla Diner opened Monday in Hollywood, California, and the CEO is already eyeing expansion

“If our retro-futuristic diner turns out well, which I think it will, @Tesla will establish these in major cities around the world, as well as Supercharger sites on long distance routes,” Musk wrote on X..

He later replied to a user requesting a location at the Starbase city in Texas, which is home to Musk’s SpaceX: “Ok.”

The Tesla Diner has 80 charging stations, two giant megascreens and classic American diner food. It is open 24 hours a day, seven days a week.

Diners can watch movies on two of the 66-foot screens or in their vehicle using the Tesla Diner app. The location features all things Tesla, with merchandise and an Optimus robot serving popcorn.

Scroll through photos from the Tesla Diner below:

A view of the entrance of the Tesla Diner and Drive-In restaurant and Supercharger on July 21, 2025 in Los Angeles, California.

Vcg | Visual China Group | Getty Images

Tesla Cybertruck inspired food boxes are displayed during the opening of the Tesla Diner and Drive-In restaurant and Supercharger on Santa Monica Blvd in the Hollywood neighborhood Los Angeles, California on July 21, 2025.

Patrick T. Fallon | Afp | Getty Images

Tesla Bot Optimus hands a boy a tub of popcorn at the Tesla Diner and supercharger station on July 21, 2025 in Los Angeles, California. Tesla’s first “retro futuristic” diner and drive-in theater, featuring 32 V4 Supercharger stalls, has opened in Hollywood.

China News Service | China News Service | Getty Images

Tesla electric vehicles charge as people wait in line outside the Tesla Diner and Drive-In restaurant and Supercharger on July 21, 2025 in Los Angeles, California.

Vcg | Visual China Group | Getty Images

A Tesla Optimus robot scoops popcorn and waves at attendees during the opening of the Tesla Diner and Drive-In restaurant and Supercharger on Santa Monica Blvd in the Hollywood neighborhood Los Angeles, California on July 21, 2025.

Patrick T. Fallon | Afp | Getty Images

Tesla electric vehicles charge outside the Tesla Diner and Drive-In restaurant and Supercharger on July 21, 2025 in Los Angeles, California.

Vcg | Visual China Group | Getty Images

People dine inside the Tesla Diner and Drive-In restaurant and Supercharger on July 21, 2025 in Los Angeles, California.

Vcg | Visual China Group | Getty Images

The newly installed sign for Elon Musk’s Tesla Diner is seen at the restaurant on Santa Monica Blvd in the Hollywood neighborhood of Los Angeles on July 8, 2025.

Robyn Beck | Afp | Getty Images

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Clout wars: Jensen Huang eclipses Elon Musk and Tim Cook in Washington

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Clout wars: Jensen Huang eclipses Elon Musk and Tim Cook in Washington

U.S. President Donald Trump (L) listens as Nvidia CEO Jensen Huang speaks in the Cross Hall of the White House during an event on “Investing in America” on April 30, 2025 in Washington, DC.

Andrew Harnik | Getty Images

The China-U.S. trade war in the first Donald Trump administration saw Apple CEO Tim Cook go on a charm offensive with the president while maintaining strong relations with Beijing.  

Apple avoided U.S. tariffs and continued to grow in China, while Cook earned the reputation as a skilled policy navigator and prominent American business envoy to Beijing.

But, in Trump 2.0, not only has Apple lost its crown to Nvidia as America’s most valuable company, several tech pundits say the AI darling’s charismatic leader, Jensen Huang, has left Cook far behind in political influence. 

“Huang has become a global figure and taken on a new role politically due to his success in the AI revolution,” said Wedbush’s Dan Ives, adding that the importance of Nvidia’s AI chips has “vaulted him ahead of Cook.”  

“He has found himself in a very strong position to navigate the political landscape … [as] there is only one chip in the world fueling the AI revolution, and that’s Nvidia’s,” Ives said.

The optics of Huang’s political ascendancy have never been stronger, as Nvidia last week announced during its CEO’s latest visit to Beijing that it expected to soon resume sales of its H20 AI chips to China.

Huang’s ‘historic’ week 

The exports of the H20 chip to China had been restricted earlier this year — a move that Huang openly lobbied against.

“It was a historic win for Nvidia and Jensen … and I think it shows the increasing political influence that Huang’s having within the Trump administration,” Ives said. Huang had met with Trump in DC right before his China visit. 

The H20 reversal has been linked to trade negotiations between the U.S. and China. However, several experts told CNBC that Huang’s lobbying played a large role in it. 

The Nvidia CEO has met with Trump many times this year, including joining him on a trip to the Middle East in May, which resulted in a massive AI deal that will see the delivery of hundreds of thousands of Nvidia’s advanced AI chips to the United Arab Emirates. 

The Emirates deal had been seen as a way for America to push its global tech leadership, solidifying its technology stack in a new market over potential rivals like China’s Huawei.

After the trip, Huang increasingly began making a case against U.S. chip restrictions, arguing that they would erode America’s tech leadership to the benefit of domestic Chinese players. 

According to a report from the New York Times, this had also been a narrative Huang had been pushing to Trump and his officials behind the scenes. 

Paul Triolo, senior vice president for China, and technology policy lead at DGA-Albright Stonebridge Group, told CNBC that Huang’s arguments aligned with the thinking of influential White House AI and Crypto Czar David Sacks, further swaying the administration to lift restrictions on H20 chip exports. 

“Sacks and Huang both argue that limiting exports of U.S. technology such as select and non-cutting-edge GPUs to China risks pushing Chinese companies to use domestic alternatives … At the end of the day, this argument likely carried the day on the H20 issue,” he said. 

It’s unclear when or if Nvidia will restart production lines of the H20, but if Nvidia is simply able to sell existing stocks of H20s, it will still be a “significant revenue boost and beneficial to Nvidia in terms of retaining clients’ goodwill in China,” Triolo added.  Nvidia said it took a $4.5 billion writedown on its unsold H20 inventory in May.

Huang said last week that every civil AI model should run on the U.S. technology stack, “encouraging nations worldwide to choose America,” as Nvidia announced resuming H20 sales soon.

Not Musk, not Cook

When Trump won his second presidential election in November, many had expected a different tech CEO to hold the most influence on the administration and to act as a bridge between the U.S. and China. But Tesla’s Elon Musk had a rather public break-up with Trump.

In November, experts told CNBC that Musk’s close ties to Trump and his business interests in China could help soften the president’s aggressive trade stance toward Beijing, while cautioning against putting too much stock into the Tesla CEO.

Meanwhile, under Trump’s second presidency, Apple’s Cook has seen some strong pushback from the administration.

In May, Trump expressed a “little problem with Tim Cook” over Apple manufacturing products in India, despite the iPhone maker’s commitment of a $500 billion investment in the U.S., announced in February.

In response to the latest trade tensions between China and the U.S., Apple has accelerated efforts to de-risk supply chains from China by moving more iPhone production to India.

Earlier this month, Trump adviser Peter Navarro also criticized Cook, saying he was not moving production out of China fast enough.  

Apple and Cook were seen as the most influential company and CEO, respectively, in the first Trump administration, but now its Huang and Nvidia, said Ray Wang, CEO of Silicon Valley-based Constellation Research Inc. “Almost everything rides on Nvidia’s chips.”

Risks remain

According Triolo, while Huang has so far been able to “fairly deftly straddle both the U.S. government and China market” and “President Trump appears to be a big fan,” it remains unclear exactly where the administration will draw the line on chip restrictions. 

“The goalposts here have been changed several times, causing significant and costly forced redesigns and booking capacity,” he said. 

Despite Huang’s growing influence in the tech world and in the Trump administration, there is no guarantee it will remain that way, other experts said. 

“For the moment, NVIDIA has gone from being the chief target of chip controls to chief influencer. The question is, how long will that moment last?” said Reva Goujon, director at Rhodium Group. 

The U.S. is also currently carrying out an investigation on the semiconductor industry that could result in sector-wide tariffs, and once again put the Trump administration’s aims at odds with Nvidia’s business. While Nvidia has been moving more manufacturing to the U.S., most of it remains in Taiwan. 

Cook may offer a lesson on how tricky it can be to operate a major technology business that views both China and the U.S. as key markets.

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