(image: Yonhap)
SEOUL, May 3 (Korea Bizwire) — Samsung Electronics Vice Chairman Lee Jae-yong’s Wednesday visit to the “Silicon Valley” of China, the special economic zone of Shenzhen in Guangdong Province, has promoted speculation on the visit’s purpose.
Some say that Lee may have a specific outcome in mind as his entourage included upper-management officials overlooking Samsung’s microchip and display units.
“The vice chairman has been on many business trips abroad before, but it’s rare to see him take along the management team of a specific business sector like this time,” said an industry insider, speculating on Lee’s visit to China.
During his visit, Lee is expected to participate in business meetings with global enterprises such as BYD, a Chinese electric car producer. Shenzhen is home to many of Samsung’s key clients such as BYD, Tencent Holdings, Huawei, and DJI.
There is speculation that key business matters were discussed prior to the visit and that Lee’s visit to China will just finalize the deals. Lee’s entourage includes the heads of Samsung’s various operations (device solution, memory, LSI system, and display) that are linked to its memory chip business.
Some say Lee may be in China to discuss possible cooperative measures with local firms in addition to finalizing agreements, while other speculate that the large number of Chinese firms Lee must deal with explains his multi-member entourage.
Other theories suggest that an M&A or investment deals may be in the works.
Regardless of its purpose, Lee’s visit to China, experts say, may have been prepared well in advance. “Lee had been hidden from public view after being released from prison, but his visit to China proves that he may have been busy behind the scenes,” said another industry insider.
Kevin Lee (kevinlee@koreabizwire.com)
