FRANKFURT — Samsung Electronics believes it can quadruple its sales to the auto industry by the middle of the next decade with soaring content per unit.
And for the giant South Korean producer of telephones, TVs and other electronic goods, that growth in car parts would be enormous.
Samsung's current share of the global automotive component market: $5 billion.
Its new expectation: $20 billion.
"It's not much for Samsung, because we make $200 billion in revenue," Samsung Electronics President Young Sohn told Automotive News here last month. "But I'm hoping that we'll hit $20 billion by 2025."
Sohn believes automotive offers one of the best long-term growth opportunities for the company known for its Galaxy smartphones. The parent company might not have been too interested in automotive, given what Sohn characterizes as the industry's slow pace of technological evolution over the past few decades. "But things are really changing," said Sohn, who is also the company's chief strategy officer.
To reach Level 3 autonomous driving, Samsung believes manufacturers will have to install sensors, electronics and software worth $2,500 in new content per vehicle.