'Humanoid Pioneer' Oh Jun-ho Tasked with Nurturing Samsung Electronics' Future Robot Business

[Korea Financial Times, Kim JaeHun] Samsung Electronics has established the 'Future Robot Promotion Group' for its future robot business and appointed KAIST Professor Emeritus Oh Jun-ho, a domestic humanoid robot pioneer, as its head. Oh Jun-ho is the person who developed the world's first bipedal walking robot 'Hubo' from KAIST and the founder of Rainbow Robotics, which was recently incorporated as a subsidiary of Samsung Electronics. He will serve as a bridge between Samsung Electronics and Rainbow Robotics and contribute to the development of future robots.

According to industry sources on the 6th, Oh Jun-ho will visit CES 2025, the world's largest IT expo, to be held in Las Vegas, USA on the 7th. This is his first official move since taking over as head of the Future Robot Promotion Group, so attention is focused on him. He plans to tour the exhibition booths and examine industry trends with officials such as DX Division Director (Vice Chairman) Han Jong-hee, who directly manages the Future Robot Promotion Group on site.

Dr. Oh Jun-ho is Korea's leading robotics developer who created HUBO, the world's first biped humanoid robot, in 2004 while serving as a professor at KAIST. Afterwards, he continued his research to activate the humanoid ecosystem and founded Rainbow Robotics with his students in 2011. Rainbow Robotics, which was listed on KOSDAQ in 2021, is focusing on the localization and commercialization of core humanoid components and platforms.

In January 2023, Samsung Electronics participated in a capital increase of Rainbow Robotics and invested about KRW 59 billion to secure a 10.22% stake in the company. In March of the same year, it spent KRW 27.8 billion to expand its stake to 14.7% through an over-the-counter purchase and signed a call option contract. It was a move to secure technology as the robotics business is expected to be a battleground for global companies.

On Dec. 31 last year, Samsung Electronics exercised a call option on Rainbow Robotics, expanding its stake to 35.0% and becoming the largest shareholder, making it a subsidiary. Oh Jun-ho, who was previously the largest shareholder, stepped down from Rainbow Robotics and moved to head the newly established Future Robot Promotion Group, which reports directly to the CEO of Samsung Electronics.

With the inclusion of Rainbow Robotics as a subsidiary, Samsung Electronics has built a stronger foundation for the development of future robots. The humanoid market is currently in full swing with global companies such as Nvidia and Tesla unveiling their models. Samsung Electronics will combine its AI and software technologies with Rainbow Robotics' robotics technology to accelerate the development of intelligent, advanced humanoids.

“Competition for investment and development of humanoids and robotic artificial intelligence is intensifying in the global robotics market,” said Seung-yoon Yang, a researcher at Yujin Investment & Securities. ”Korea is also showing signs of full-scale investment in the robotics industry with Samsung Electronics joining the humanoid competition.”

As Samsung Electronics enters the global humanoid competition in synergy with Rainbow Robotics, attention is also focused on the role of Oh Jun-ho. In addition to being the head of the Future Robot Promotion Group Oh is also a management advisor to Samsung Electronics, so industry experts expect him to have a voice in various aspects of humanoid technology enhancement, mass production, securing sales channels, and investment.

In particular, Rainbow Robotics' humanoid technology has been designated as a 'National Advanced Strategic Technology' along with aviation engines by the government, but the company has been slow to build a mass production system due to problems such as financial power compared to competitors. The industry consensus was that Rainbow Robotics needs a large-scale investment as it is focusing on technology development centered on localizing parts.

In fact, Rainbow Robotics' cumulative sales on a consolidated basis through the third quarter of 2024 are approximately KRW 9.7 billion and operating losses are KRW 4 billion. In addition, the company's cash assets as of the end of the third quarter of last year were about KRW 75 billion, and investment is needed to build a mass production system to expand global sales in the U.S. and China.

An official from Samsung Electronics said, “We will secure the original technology competitiveness of future robots that will change the paradigm in the future and become a key growth engine, centering on Oh Jun-ho's future robot tracking diagnosis.” “Dr. Oh will contribute to the development of Samsung Electronics' future robots based on his robot technology and business know-how accumulated in industry and academia over the years.”

“As the largest shareholder of Rainbow Robotics, Samsung Electronics will also operate a synergy council between the two companies to strengthen its global robotics business and development leadership. Rainbow Robotics will be able to leverage Samsung's global sales infrastructure to actively enter overseas markets.”

Kim JaeHun (rlqm93@fntimes.com)