Battle of the Brands: Samsung Reassesses TVs as Chinese Makers Steal the Spotlight

In a strategic move that signals growing pressure in the global television market, Samsung Electronics has initiated a comprehensive management review of its Visual Display (VD) division, the arm responsible for its global TV business. The review comes amid intensifying competition from Chinese manufacturers such as TCL and Hisense, whose rapid growth in both volume and value segments is reshaping the industry landscape.

 

Samsung, long regarded as the global leader in TV sales revenue, is now facing a narrowing lead in shipment volumes. While the company retained a 30% share of global TV revenue in Q1 2025, its shipment share has declined to 19.2%, with TCL and Hisense climbing to 13.7% and 11.9%, respectively. This erosion of market dominance has prompted Samsung to reevaluate its operational structure, product strategy, and innovation roadmap.

 

What’s Behind the Review?

The internal review is being led by Samsung Global Research, which is tasked with assessing the current status of each business unit within the VD division and proposing actionable improvements. According to industry insiders, the review will focus on:

The urgency of this review was underscored by Yong Seok-woo, head of the VD division, during the IFA trade show in Berlin on September 4, 2025. He acknowledged that Chinese brands are “seeing remarkable growth in markets under USD 1,500,” a segment where Samsung has traditionally been less aggressive.

 

Market Dynamics: A Shrinking Pie

The global TV market is undergoing a structural shift. As consumers increasingly turn to mobile devices for video consumption, demand for large-screen televisions is softening. Moreover, purchasing trends are tilting toward smaller, affordable models, which Chinese brands have mastered through cost-effective manufacturing and aggressive pricing.

 

Samsung’s own shipment volumes have declined from 50 million units in 2020 to the mid-30 million range in 2024, according to UBI Research CEO Lee Choong-hoon. He warned that Hisense could overtake Samsung in shipment volume by 2026, with TCL potentially surpassing it by 20282.

 

Samsung’s Countermove: Vision AI and Smart Integration

In response to these challenges, Samsung is doubling down on smart TV innovation, with plans to integrate conversational AI into its next-generation models. The initiative, dubbed Vision AI, aims to enhance user satisfaction by enabling seamless interaction between TVs and other smart devices.

 

This pivot toward AI-driven personalization and connectivity is part of Samsung’s broader strategy to differentiate its offerings in a crowded market. By focusing on premium features and ecosystem integration, the company hopes to retain its edge in the high-value segment—even as it recalibrates its approach to the mid-tier.

 

Strategic Implications and Industry Outlook

Samsung’s review of its VD division is more than a routine audit—it’s a signal that the company is preparing for a fundamental shift in competitive dynamics. The rise of Chinese TV makers is no longer confined to emerging markets; it’s now a global phenomenon, challenging incumbents in both volume and innovation.

 

Industry analysts believe that Samsung may consider:

The outcome of this review could shape Samsung’s trajectory in the consumer electronics space for years to come.

 

Sources: MSN, The Economic Times. LatestLY