Samsung Buys Harman

Date: 14 NOV 2016posted by Car Rentaledited by WinX

Samsung is making a break into the world's biggest mobile technology - connected vehicles. The electronics company announced on Monday that it will be buying audio company Harman for $8 billion. Harman produces JBL and Harman Kardon brands of equipment which will allow Samsung to enter the competitive world of connected vehicles. This is the biggest deal ever for Samsung. While cars become more technological advanced, they are starting to resemble the progress phones took in the last two decades. LAN lines became wire-less, which lead to internet connected phones which then lead to smart phones. The auto industry is heading in the same direction, which every passing day, new technology becomes available to make this become true.

By purchasing Harman, a well-known automotive supplier, Samsung affirms they are aiming to be a part of a growing overall market that could reach $7.8 trillion in revenue by 2030 worldwide. "The vehicle of tomorrow will be transformed by smart technology and connectivity in the same way that simple feature phones have become sophisticated smart devices over the past decade," in a statement by Young Sohn, president of Samsung Electronics. Harman will be able to give Samsung a running start towards this goal. Harman already produces technology which is sold to automakers that allows them to gather their customers' driving data for safety and insurance purposes. And it also produces systems enabling cars to update their own software wirelessly. One of the world's most popular consumer electronics companies, Samsung reported $45 billion in revenues last year.

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