Residential System Air Conditioner Market Booms Amid Remodeling Surge and Smart Home Demand | Be Korea-savvy

Residential System Air Conditioner Market Booms Amid Remodeling Surge and Smart Home Demand


LG Electronics’ “Whisen AI System Air Conditioner” (Image provided by LG Electronics)

LG Electronics’ “Whisen AI System Air Conditioner” (Image provided by LG Electronics)

SEOUL, June 9 (Korea Bizwire) — South Korea’s residential system air conditioner market is experiencing robust growth, driven by rising consumer demand for efficient space cooling and stylish home interiors, as well as a boom in home remodeling.

According to industry data released on June 8, more than 80% of households moving into new apartments in 2025 are opting for built-in system air conditioners as part of their default home appliance package — a sharp rise from 60% in 2020.

These units, typically embedded in ceilings, free up floor space and allow one outdoor unit to power multiple indoor units, making them both aesthetically and financially appealing.

The system’s popularity extends beyond new construction. As more homeowners remodel aging properties, installations of system air conditioners have continued to increase. The Korean remodeling market is projected to expand from 37 trillion won in 2025 to 44 trillion won by 2030, according to the Korea Research Institute for Construction Policy.

LG Electronics, a market leader, has seen its domestic system air conditioner sales grow by more than 10% annually over the past four years. The company’s latest release, the Whisen AI System Air Conditioner, features advanced radar sensors and artificial intelligence that adjust airflow based on user movement, sleep patterns, and energy-saving preferences.

It also offers an “AI Clean” mode to optimize internal air pathways for hygiene and performance.

To accommodate older buildings, LG has introduced a Slim Concealed Kit, which enables high-quality installations even in spaces with limited ceiling depth.

Samsung Electronics’ “Bespoke AI Air Combo” (Image provided by Samsung Electronics)

Samsung Electronics’ “Bespoke AI Air Combo” (Image provided by Samsung Electronics)

Samsung Electronics is also targeting the smart climate control market. Its new Bespoke AI Air Combo — an integrated ventilation system — can be paired with system air conditioners to create a comprehensive indoor climate solution.

Capable of cooling, dehumidifying, purifying, and ventilating, the combined setup can cut energy consumption by up to 40% compared to standalone systems when operated within optimal humidity ranges.

Industry insiders say the growing popularity of room-by-room cooling (“bang-bang cooling”) — including wall-mounted and portable units — has reinforced the need for smarter, integrated systems. With both home design sensibilities and the remodeling market evolving rapidly, the system air conditioner segment is expected to remain on an upward trajectory.

Lina Jang (linajang@koreabizwire.com)

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