Samsung has announced its new Samsung Strategy and Innovation Center (SSIC), based in Silicon Valley. The goal for the SSIC is to help double revenues and grow to a $400 billion valuation by 2020. In addition to the SSIC Samsung has contributed $100 million to a new Samsung Catalyst Fund, which TechCrunch says is to fund investments in components and subsystems. This adds to Samsung’s $1 billion investment in the Ventures Americas Fund for strategic investment in third parties, and in its numerous research centers.
Samsung’s evidently making a big play to tap into Silicon Valley’s pool of sharp thinkers. It’s also perhaps a strategic move to shift some R&D efforts outside its main home in Korea. To give some scale to this investment, Samsung just reported $6.6 billion profits for the last quarter of 2012, and achieved a market capitalization of $200 billion in the same period. Arch rival Apple reported a net profit of $13 billion for the same quarter, and has a market cap that’s currently about $420 billion.
Can Samsung really reach this goal? Or do you think its star will burn brightly but briefly? Sound off in the comments…
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