This development has reportedly left the newly-appointed boss Jun Young-hyun solely in charge of the company as it revamps its underperforming chip business and navigates trade uncertainties.
Young-hyun was appointed barely a week ago at the Samsung’s Annual Shareholders Meeting, following his promotion in 2024, to lead its semiconductor division.
Jong-hee, 63, became the Chief Executive Officer of South Korea's biggest company in 2022 and was also in charge of its consumer electronics and mobile devices division.
Samsung said in a stock exchange filing that Young-hyun would be the sole CEO of the company after Jong-hee's death.
Samsung shares were down 0.5% in line with the broader South Korean market (.KS11), opens new tab.
The world's biggest memory chipmaker has been suffering from weak earnings and a sagging share price in recent quarters after falling behind rivals in advanced memory chips and contract chip manufacturing, which have enjoyed strong demand from AI projects.
Samsung has also ceded its smartphone market crown to Apple (AAPL.O), opens new tab.
Jong-hee, who was also a board member, passed on at a hospital on March 25 while being treated for cardiac arrest.
Samsung has not yet decided on a successor, its spokesperson disclosed during the announcement.
It's noteworthy that the company has traditionally had a co-CEO structure that divides oversight of its consumer and chips divisions.
Jong-hee joined Samsung nearly 40 years ago and built his career in its television business.
It's being speculated that Jong-hee was the key figure behind making Samsung’s TV business influential on a global scale.
Hence, with his sudden passing, it could yield a long-term impact on its business strategy, particularly in areas like marketing.
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