Samsung Electronics plans to acquire an additional stake in Rainbow Robotics, a leading robotics manufacturer based in Daejeon, South Korea, for over 267 billion won (approximately $180 million). This acquisition will increase Samsung’s stake from 14.7% to 35%, making it the largest shareholder of the firm. The deal, expected to close on February 17 following government approval, marks Samsung’s latest move to solidify its position in the AI-powered humanoid robot market.
Samsung initially invested in Rainbow Robotics in January 2023, purchasing a 10.22% stake for about 59 billion won. Currently, the largest shareholder of Rainbow Robotics is Oh Jun-ho, one of the company’s co-founders, holding a 17.37% stake. Upon completion of the deal, his stake will be reduced to 7.78%.
Other stakeholders include Oh’s wife Yoon Hye-sun and their children Oh Soo-jung and Oh Soo-hyung. “By combining Samsung Electronics’ AI and software technology with Rainbow Robotics’ robotics technology, the collaboration plans to accelerate the development of intelligent advanced humanoids,” Samsung Electronics stated.
Samsung’s stake increase in robotics
These robots will enhance their capabilities by learning and analyzing situational data and environmental variables through AI algorithms. Rainbow Robotics was founded in 2011 by a team from the Humanoid Robot Research Center at the Korea Advanced Institute of Science and Technology (KAIST), South Korea’s leading science and technology university. This team developed South Korea’s first two-legged walking robot, called Hubo, in 2005.
Other South Korean conglomerates are also expanding their robotics ventures. Hyundai Motor, for instance, purchased a controlling stake in Boston Dynamics from SoftBank Group in 2009, valuing the maker of dog-like robots at around $1.1 billion. Doosan Group, South Korea’s oldest conglomerate, listed its collaborative robots unit, Doosan Robotics, last year.
Doosan Robotics, the country’s largest manufacturer of robot arms by sales, raised $312 million in the largest IPO of the year in South Korea. The increased investment from Samsung Electronics is expected to bolster Rainbow Robotics’ development and deployment of advanced robotics technologies, aligning with Samsung’s strategic focus on AI and automation.
