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Apr 22 • 20 min read

Living Robots, Optical Knots & The Art of Fast Following


Welcome to this week’s edition of Science. Strategy. Scale.—your insider edge on the science shaping markets and the strategy behind innovation. From a game-changing new class of antibiotics tackling superbugs, to microrobotic fruit flies redefining precision delivery, to Samsung's journey from fast follower to innovation titan, this week’s breakthroughs highlight the edge where cutting-edge research meets commercial opportunity. We’re diving into quantum leaps in healthcare, AI-powered IoT, geopolitical tech dynamics, and the R&D strategies propelling companies into leadership.


The Briefing

The Edge

Lariocidin: First New Antibiotic Class in Decades Promises to Tackle Resistance Crisis

1/ Finally, some genuinely exciting news in the battle against superbugs – Lariocidin has emerged as the first entirely new class of antibiotics in decades.

2/ This isn't just another minor drug modification; it represents a potential quantum leap in our arsenal against drug-resistant bacteria that have rendered existing treatments increasingly ineffective.

3/ The commercial implications are enormous, with pharmaceutical companies now racing to develop treatments based on this breakthrough, potentially unlocking billions in new market opportunities.

4/ Beyond the business angle, Lariocidin addresses one of healthcare's most pressing challenges, offering hope where options have been rapidly diminishing.

via R&D World

"Optical Knots" Breakthrough Promises Revolution in Secure Communications

1/ Scientists have achieved what was previously thought impossible: creating stable "optical knots" by splitting laser beams into multiple precisely configured paths.

2/ These aren't just pretty light patterns – they're remarkably stable structures capable of transmitting encoded information through turbulent environments with unprecedented reliability.

3/ The commercial implications are enormous, particularly for secure communications in challenging conditions and for developing next-generation environmental sensing technologies.

4/ Forward-thinking companies in telecommunications and aerospace should be watching this development closely – it represents a potential paradigm shift in how we approach data transmission in the most demanding environments.

via Science Daily

Cedar Framework Revolutionises IoT Through Federated Meta-learning

1/ Say goodbye to your IoT headaches – Cedar is here to transform personalised connected devices.

2/ This groundbreaking framework tackles three persistent IoT nightmares head-on: managing data differences across devices, streamlining communication during training, and beefing up security against attacks.

3/ The commercial goldmine here is crystal clear. Companies developing IoT products can now deliver significantly higher accuracy with much lower communication costs – a winning combination that could accelerate adoption in smart homes, mobility, and healthcare.

4/ Best bit? The research team has made preprocessed data and code available on GitHub, effectively laying out a blueprint for forward-thinking companies ready to implement these advances immediately.

via Nature

Fruit Flies as Microrobots: Nature's Ready-Made Solution to Microscale Challenges

1/ Forget building tiny robots from scratch – researchers have demonstrated something far more elegant: using fruit flies as living, controllable microrobotic platforms.

2/ They've successfully guided these natural marvels along predetermined paths, enabling them to "write" patterns, carry loads, interact with objects, and even perform coordinated multi-agent manoeuvres.

3/ The commercial applications are mind-boggling: from micro-scale delivery systems to environmental monitoring capabilities that would be nearly impossible to engineer synthetically.

4/ This research also offers profound insights for artificial intelligence development, potentially revolutionising how we approach bio-inspired robotics at the smallest scales.

via PNAS

Mitochondrial "Lock" Discovery Opens New Treatment Pathways for Cancer and More

1/ Scientists have uncovered the structure and function of a critical cellular "lock" controlling energy production – and more importantly, they've figured out how to pick it.

2/ This molecular machine, known as the mitochondrial pyruvate carrier (MPC), works exactly like canal locks, regulating the flow of essential molecules that power our cells.

3/ Here's where it gets really interesting: selectively jamming this lock could revolutionise treatments for cancer, fatty liver disease, and surprisingly, even hair loss.

4/ Pharmaceutical executives should take note – this breakthrough provides a clear target for developing entirely new classes of drugs addressing multiple high-value treatment areas.

via Science Daily

Market Moves

AML3D's Defence Deal with BAE Systems Signals 3D Printing Breakthrough

1/ Australian 3D printing outfit AML3D has just landed a game-changing defence contract with BAE Systems, building on their January work for the Virginia-Class submarine programme under AUKUS.

2/ Here's the jaw-dropping part: they produced copper-nickel alloy components in under five weeks – compare that to the staggering 17-month wait with traditional manufacturing. That's not just an improvement; it's a complete paradigm shift.

3/ This isn't just good news for AML3D shareholders. It signals a fundamental turning point in how defence manufacturing operates, demonstrating 3D printing's potential to slash both production timelines and costs in ways previously thought impossible.

4/ Watch this space – AML3D is now eyeing rapid expansion into UK and Australian markets, likely triggering a rush of defence contractors scrambling to adopt similar technologies.

via 3D Printing Industry

China Set to Outspend US on R&D by More Than 30% by 2030

1/ Make no mistake – China's research and development spending trajectory will surpass the US by over 30% within just five years, even with ongoing trade tensions.

2/ This isn't just another statistic – it represents a seismic power shift in global innovation leadership that will reshape competitive dynamics across virtually all high-tech industries.

3/ The implications for Western businesses are stark and immediate: either dramatically recalibrate your own R&D investments or risk finding yourself outpaced in critical technology races.

4/ Forward-thinking executives need to factor this reality into their strategic planning now, not when the gap becomes impossible to close.

via R&D World

American Tariffs May Inadvertently Boost China's Semiconductor Position

1/ Here's the twist no one saw coming – American tariffs could actually hand China a significant advantage in the semiconductor space, reshaping global chip alliances.

2/ The unintended consequences are starting to emerge: rather than containing China's semiconductor ambitions, current trade policies may be accelerating domestic capability development.

3/ This creates urgent strategic questions for companies throughout the tech supply chain, who now need to consider how shifting manufacturing centres and trade flows between the US, EU and China will impact their operations.

4/ Smart executives are already reassessing their semiconductor sourcing strategies, recognising that today's geopolitical moves will fundamentally alter tomorrow's competitive landscape.

via CleanTechnica

R&D Ops

University Science Parks Proven to Supercharge Industry Collaboration

1/ New research confirms what innovation leaders have long suspected – university science parks (USPs) are absolute powerhouses for driving commercial breakthroughs.

2/ The numbers are impossible to ignore: USPs triggered a dramatic 50.8% increase in university-industry collaborative patents, according to comprehensive analysis of 326 Chinese Tier 1 universities over a decade.

3/ Three key mechanisms make this magic happen: physical proximity (bringing bright minds together), intermediary services (smoothing the path to partnership), and knowledge complementarity (combining academic insight with commercial expertise).

4/ The takeaway for executives is blindingly obvious – if you're not actively engaging with USPs, you're leaving innovation potential on the table. For governments, this data makes the business case for USP investment rock-solid.

via Research Policy

AI Adoption in Tourism Hinges on Price-Value Balance

1/ New research cuts through the hype to reveal what actually drives AI adoption in the tourism sector – and it's refreshingly straightforward: perceived usefulness must justify perceived cost.

2/ The findings expose a clear generational divide, with Gen Z showing significantly stronger connections between perceived value and adoption intentions compared to older travellers.

3/ For tourism executives, the message couldn't be clearer: develop AI interfaces that deliver obvious search performance improvements at reasonable price points, with particular attention to user-friendly experiences.

4/ Companies that nail this balance stand to capture significant market share, while those focusing solely on technical sophistication risk missing the fundamental value equation driving customer decisions.

via R&D Management


The Strategy Files

Samsung's Journey from Fast Follower to Innovation Leader

Let's be crystal clear: Samsung isn't just a global tech leader—they've completely rewritten the rulebook on corporate evolution. Based in Suwon, South Korea, they've transformed from a modest trading company into an absolute powerhouse spanning electronics, semiconductors, and mobile tech, becoming one of South Korea's economic crown jewels in the process.

Samsung's early days in electronics followed the "fast follower" playbook to perfection. They watched what worked in the market, then swooped in with improved versions at competitive prices. Don't mistake this for mere imitation, though—Samsung leveraged this approach with surgical precision to establish themselves in competitive markets while building the foundation for something far more ambitious.

This case study cuts through the noise to show exactly how Samsung pulled off one of the most remarkable strategic pivots in corporate history. We're dissecting their R&D strategy evolution, investment scale, and management approach that propelled them from fast follower to innovation leader. Whether you're an R&D executive looking to drive transformation or a technology professional seeking competitive advantage, Samsung's journey offers actionable insights you simply can't afford to ignore.

The Science

The Technological Evolution of Samsung (1960s-Present)

Samsung's scientific and technological journey spans six decades of remarkable evolution, from basic electronics assembly to pioneering cutting-edge technologies that define entire industries. This progression represents one of the most impressive technological leapfrogs in corporate history.

1960s-1970s: Foundational Electronics Mastery

Samsung's 1969 entry into electronics began with monochrome television production—a seemingly modest start that belies the scientific foundations being established. The televisions themselves relied on relatively mature vacuum tube technology, with Samsung focusing on mastering the fundamentals:

  • Precision assembly techniques for reliable electronics manufacturing
  • Quality control methodologies for consistent performance
  • Supply chain management for efficient component sourcing
  • Basic electronic circuit design and optimisation

While technologically unsophisticated by today's standards, these early products required Samsung to develop core competencies in electronics manufacturing and testing. Their joint ventures with Japanese firms Sanyo and NEC provided crucial exposure to established production methods. Samsung didn't merely assemble products but systematically absorbed knowledge about electronic component selection, circuit design principles, and manufacturing tolerances—building a foundation for future innovation.

Late 1970s-1980s: Semiconductor Breakthrough

Samsung's 1974 acquisition of Korea Semiconductor marked their entry into what would become their technological cornerstone. Early semiconductor work focused on relatively simple integrated circuits and basic memory chips, but Samsung's scientific approach was far from basic:

  • Investing in clean room technology for semiconductor fabrication
  • Mastering photolithography processes for circuit pattern etching
  • Developing materials science expertise in silicon wafer production
  • Building precision engineering capabilities for increasingly miniaturised components

By 1983, Samsung made their definitive move into DRAM (Dynamic Random Access Memory) production, starting with the 64K DRAM. This represented a quantum leap in technological complexity, requiring:

  • Advanced materials science for semiconductor substrate development
  • Precision engineering at micron-level tolerances
  • Complex fabrication processes with hundreds of discrete steps
  • Sophisticated testing methodologies to ensure memory reliability

Their 1987 technological milestone—producing the 1-megabit DRAM chip after Japanese firms had pioneered it—demonstrated their rapid absorption and improvement of cutting-edge semiconductor technology. This wasn't mere imitation but systematic scientific advancement in semiconductor physics and manufacturing processes.

The establishment of the Samsung Advanced Institute of Technology (SAIT) in 1987 represented a pivotal scientific turning point. This dedicated corporate research centre initially focused on semiconductor technology but would eventually expand to explore fundamental science across multiple domains.

1990s: Scientific Acceleration and Manufacturing Excellence

The 1990s saw Samsung achieve technological parity and then leadership in semiconductor technology. Their breakthrough 1992 development of the world's first 64MB DRAM represented legitimate scientific innovation, not following. This achievement required:

  • Nanoscale engineering expertise for increasingly dense memory cells
  • Advanced materials science for improved semiconductor substrates
  • Novel manufacturing processes for multi-layer chip architecture
  • Pioneering testing methodologies for complex memory architectures

By 1994, Samsung had developed the industry's first 256MB DRAM, demonstrating their transition from fast follower to genuine technology pioneer. Their semiconductor progression followed an aggressive cadence of density doubling, consistently pushing the physical limits of memory technology.

This period also saw Samsung master increasingly sophisticated display technologies, including the scientific principles of:

  • Liquid crystal physics for improved LCD (Liquid Crystal Display) performance
  • Precision backlighting systems for display brightness uniformity
  • Colour reproduction science for accurate visual rendering
  • Materials engineering for more durable and responsive displays

Their 1996 declaration of the "Year of Design Revolution" wasn't merely aesthetic but represented a scientific approach to human-computer interaction, ergonomics, and product usability—disciplines that would become increasingly central to their technological development.

2000s: From Adoption to Innovation Leadership

The early 2000s marked Samsung's definitive transition from technology adopter to scientific innovator. Their research expanded beyond applied development to include fundamental scientific inquiry in multiple domains:

  • Materials science for novel display technologies
  • Organic chemistry for OLED (Organic Light Emitting Diode) development
  • Battery technology for improved energy storage
  • Wireless communications protocols for mobile technology
  • Software engineering for user interface design

By 2005, Samsung had emerged as a world leader in both LCD and emerging OLED display technologies, pioneering advancements in:

  • Thin-film transistor architecture for improved display responsiveness
  • Organic light-emitting compounds for OLED efficiency and longevity
  • Advanced manufacturing processes for larger, higher-resolution displays
  • Colour science for expanded gamut and improved accuracy

Their 2010 introduction of the Galaxy S smartphone with Super AMOLED display technology (Samsung Newsroom) demonstrated genuine technological leadership. The display incorporated several scientific breakthroughs:

  • Novel organic compounds for improved efficiency and colour reproduction
  • Advanced thin-film transistor designs for faster refresh rates
  • Materials science innovations for increased durability
  • Power management techniques for reduced energy consumption

The 2011 launch of the Galaxy Note with its S Pen technology introduced sophisticated electromagnetic resonance technology for pressure-sensitive input, requiring advancements in:

  • Precision electromagnetic field generation and detection
  • Real-time signal processing for accurate stylus tracking
  • Software algorithms for natural writing reproduction
  • Materials engineering for durable yet sensitive display surfaces

2010s-Present: Pioneering New Scientific Frontiers

The past decade has seen Samsung push scientific boundaries across multiple domains. Their semiconductor division achieved a series of technological breakthroughs in memory technology:

  • First mass production of 3D NAND flash memory in 2013
  • Development of 10nm-class DRAM in 2016
  • Introduction of 7th-generation V-NAND in 2019 (Samsung Semiconductor)

These advancements required fundamental innovations in:

  • Three-dimensional chip architecture design
  • Vertical interconnect technology for 3D memory cells
  • Etching processes at nanometre scales
  • Novel materials for improved performance and reliability

In display technology, Samsung pioneered flexible OLED screens, culminating in the 2020 launch of the Galaxy Z Fold with its foldable display. This breakthrough required solving numerous scientific challenges:

  • Development of flexible substrate materials that maintain optical properties
  • Creation of foldable electronic circuits that withstand repeated flexing
  • Engineering of ultrathin glass that combines flexibility with durability
  • Design of folding mechanisms that protect the display while ensuring reliability

Samsung's 2019 introduction of the first built-in 5G smartphone (Galaxy S10 5G) demonstrated their mastery of advanced wireless technologies:

  • Millimetre wave radio frequency engineering
  • Antenna array design for beamforming capabilities
  • Signal processing algorithms for higher data throughput
  • Power management solutions for energy-intensive communications

Most recently, Samsung has invested heavily in artificial intelligence research, integrating AI capabilities across their product line and developing:

  • Neural network architectures optimised for mobile devices
  • On-device machine learning algorithms that preserve privacy
  • Computer vision systems for camera enhancement
  • Natural language processing for intelligent assistants

Their 2024 introduction of AI-powered Galaxy A phones brings sophisticated machine learning to mid-range devices (Samsung Newsroom), demonstrating how their scientific advancements translate into mass-market technologies.

The Strategy

Throughout this remarkable evolution, Samsung transformed from a company that primarily absorbed external scientific knowledge to one that generates fundamental technological breakthroughs. Their R&D expenditure reached a record 35 trillion won in 2024 (Tech in Asia), funding not just applied development but pioneering research across multiple scientific domains. This progression from technology adopter to scientific innovator represents the core of Samsung's transformation from fast follower to global technology leader.The fast follower strategy isn't about being timid—it's calculated patience. Rather than gambling on unproven innovations, companies deliberately wait for pioneers to validate market concepts before entering with refined offerings. This approach demands exceptional market intelligence and competitive landscape awareness—you must know exactly what's working and where gaps exist.

Success hinges on lightning-fast imitation combined with meaningful improvement. Anyone can copy; fast followers must enhance the original offering, whether through additional features, better performance, or addressing shortcomings in the pioneer's product. The financial advantage is undeniable: dramatically lower initial R&D costs as pioneers shoulder the burden of cutting-edge development and market education. But make no mistake—execution and operational excellence become absolutely critical, requiring world-class manufacturing capabilities and ruthlessly efficient distribution.

The electronics landscape of the late 1960s and 1970s was dominated by Japanese and American giants with deep technological expertise and established distribution networks. Samsung entered at a distinct disadvantage but brilliantly pivoted this into a strategic opportunity (Berkeley). They concentrated on mass production excellence—a skill perfected in their textile and sugar ventures—while forging strategic partnerships with Japanese firms like Sanyo and NEC to bridge the knowledge gap.

Samsung's early R&D efforts weren't about groundbreaking innovation but rather absorbing and refining existing technologies. They leveraged OEM agreements where foreign buyers provided product designs and engineering support, allowing Samsung to master mass production techniques (Berkeley). Reverse engineering became a crucial practice, enabling them to deconstruct competitor products and develop their own iterations. Throughout this phase, Samsung maintained an uncompromising focus on production processes and quality control (Sobot), establishing the operational excellence that would become their hallmark.

Samsung's entry into electronics in 1969 wasn't mere opportunism—it was calculated strategic brilliance. They targeted black-and-white televisions precisely because they represented a proven product with established demand and clear technological parameters. This allowed Samsung to focus on manufacturing excellence rather than risky product development while learning the fundamentals of electronics production. The strategic joint ventures with Japanese electronics giants Sanyo and NEC weren't just technology access arrangements; they were sophisticated knowledge transfer vehicles that allowed Samsung to absorb critical production expertise while minimising risk (Berkeley).

These partnerships embodied the essence of effective fast following: Samsung wasn't reinventing the wheel but rather learning how the best wheels were made, then preparing to make them better and cheaper. The apprenticeship period was deliberate and targeted, providing Samsung with a rapid education in electronics manufacturing at a fraction of the cost and time it would have taken to develop this knowledge independently.

The fast follower strategy employed by Samsung was multi-faceted and exceptionally disciplined:

First, they practised strategic market selection—deliberately choosing electronics sectors where technology was relatively mature and market demand was proven. This approach minimised the uncertainty and risk inherent in pioneering entirely new product categories. Their careful portfolio expansion to include refrigerators and washing machines followed this same principle of targeting established markets with clear customer requirements.

Second, they mastered knowledge acquisition through multiple channels. Beyond their joint ventures, Samsung made extensive use of OEM (Original Equipment Manufacturer) agreements, where foreign buyers provided product designs and engineering support. This arrangement was brilliant—Samsung gained technical knowledge while focusing on production efficiency, their customers received competitively priced products, and Samsung built manufacturing scale that would later become a crucial competitive advantage (Berkeley).

Third, they employed reverse engineering as a systematic learning tool. Far from simple copying, Samsung's approach was methodical deconstruction of competitor products to understand design principles, component selections, and manufacturing techniques (Berkeley). This allowed them to rapidly absorb existing technological knowledge without the lengthy trial-and-error process of original development.

Fourth, they maintained relentless focus on manufacturing excellence. While early product designs may have resembled Japanese models, Samsung distinguished itself through production efficiency, quality control, and scale economics (Sobot). This manufacturing prowess became a foundational capability that would later enable them to rapidly commercialise innovative designs.

Finally, they pursued strategic vertical integration that would ultimately grant them structural advantages. Their acquisition of Korea Semiconductor—beating domestic rival Goldstar—demonstrated exceptional foresight in securing capabilities in a technology that would become fundamental to the entire electronics industry. This move laid the groundwork for their later dominance in memory chips and provided crucial component self-sufficiency.

What made Samsung's fast follower approach truly exceptional was their emphasis on accelerated capability building, not just product imitation. This distinction is critical. While their early televisions closely resembled established Japanese designs (Berkeley), the underlying goal wasn't merely to duplicate products but to rapidly develop the technological, manufacturing, and organisational capabilities needed for eventual leadership.

Their work in memory chips exemplifies this approach. Despite entering the market later than established players, Samsung narrowed the technological gap with incredible speed. This wasn't just imitation; it was accelerated capability development that combined knowledge absorption, rapid iteration, and manufacturing excellence to catch and ultimately surpass competitors.

Capability Building: The Bridge to Innovation Leadership

The transition from fast follower to innovation leader didn't happen overnight. Samsung strategically cultivated five critical capabilities during their fast follower phase that would later enable their innovation leadership:

  1. Manufacturing excellence: The relentless focus on production efficiency and quality during the fast follower period created world-class manufacturing capabilities that later allowed Samsung to rapidly scale innovative products once developed. This operational excellence became a key competitive advantage that many technology innovators lacked (Sobot).
  2. Technology absorption capacity: Through joint ventures, OEM arrangements, and reverse engineering, Samsung developed exceptional ability to understand, absorb and improve upon existing technologies. This capability later translated into superior integration of new technologies developed both internally and externally (Berkeley).
  3. Global market intelligence: As a fast follower, Samsung built sophisticated systems for monitoring global technology trends and consumer preferences. These market intelligence capabilities later became crucial for identifying emerging opportunities and anticipating consumer needs before competitors (Manufacturing.net).
  4. Rapid iteration skills: The fast follower approach required Samsung to quickly analyse, improve, and release products. These rapid development cycles created organisational muscles for iterative improvement that became invaluable when developing original innovations.
  5. Strategic patience with targeted aggression: Perhaps most importantly, Samsung developed the strategic discipline to patiently build capabilities while aggressively pursuing targeted opportunities. This balanced approach to timing and resource allocation would prove essential in their later technological leaps (London Business School).

Samsung's entry into electronics in 1969 was anything but tentative. They targeted black-and-white televisions—a proven product with established demand—forging strategic joint ventures with Japanese electronics giants Sanyo and NEC to secure critical technology access. This wasn't mere opportunity seeking; it was the first move in a meticulously planned expansion.

The company quickly broadened their portfolio to include refrigerators and washing machines, systematically building technological capabilities across multiple electronics categories. Their acquisition of Korea Semiconductor—beating domestic rival Goldstar to the punch—demonstrated remarkable foresight in securing vertical integration advantages in a technology that would become fundamental to the entire electronics industry.

During this phase, Samsung's product development unashamedly mirrored Japanese designs, with televisions that closely resembled established models (Berkeley). Yet they weren't content with simple replication—they rapidly improved upon existing technologies, notably in memory chips where they drastically narrowed the technological gap with industry leaders in record time. This wasn't just imitation; it was accelerated evolution.

The strategic inflection point came with Samsung's aggressive investment in internal R&D capabilities, establishing dedicated research centers in the 1980s. The expansion of the Suwon R&D Center signaled an unambiguous commitment to developing proprietary technology (Samsung Newsroom), marking the transition from technological dependence to self-determination.

As Samsung matured, they made two pivotal strategic shifts. First, they doubled down on semiconductor R&D with the explicit goal of dominating memory chip technology (Berkeley)—a prescient move that positioned them to capitalise on exponential growth in computing devices. Second, they recognised design's competitive importance, declaring 1996 the "Year of Design Revolution" and establishing global design centers to attract world-class creative talent. These weren't incremental adjustments but fundamental strategic pivots.

The Scale

The 2000s marked Samsung's definitive emergence as an innovation leader. They pioneered AMOLED displays that revolutionised smartphone visuals (Samsung Newsroom) and created entirely new product categories with the Galaxy Note series and S Pen (Samsung Newsroom). Their semiconductor division continued setting industry benchmarks in DRAM and NAND flash memory, while more recently, they've demonstrated technological leadership with foldable phones and early commercialisation of 5G and AI technologies (Samsung Newsroom).

This transformation wasn't merely about increased R&D spending—it required fundamental cultural and organisational transformation. Samsung deliberately cultivated an environment that rewards creativity and calculated risk-taking (Sobot). Their "New Management Initiative" of 1993 embedded design and quality as core values, while aggressive global talent acquisition ensured they attracted top-tier researchers and engineers (EUIYOUNG KIM). The establishment of advanced research institutes like SAIT (Samsung Advanced Institute of Technology) demonstrated unwavering commitment to fundamental research, complemented by enthusiastic embrace of open innovation through partnerships with universities, startups, and other companies (EUIYOUNG KIM).

The correlation between Samsung's strategic R&D evolution and product innovation is unmistakable:

1983 - Expansion into DRAM market64K DRAM

1987 - Establishment of Corporate R&D Center (SAIT)

1992 - Became world's largest memory chip producer; World's first 64MB DRAM

1996 - Declared "Year of Design Revolution"

2001 - Established Corporate Design Center

2010 - Launched first Galaxy S smartphone; Super AMOLED display

2011 - Launched Galaxy Note with S Pen

2019 - Unveiled world's first built-in 5G smartphone Galaxy S10 5G

2020 - Launched Galaxy Z Fold; Foldable display technology

2024 - R&D expenditure reached record high of 35 trillion won; AI-powered Galaxy A phones

This timeline demonstrates Samsung's transformation from fast follower to innovation leader through strategic R&D investment and focus on technological differentiation.The commercial impact of Samsung's evolved R&D strategy is nothing short of extraordinary. In smartphones, they've not just competed but dominated, overtaking early leaders like Nokia and establishing themselves as Apple's primary rival. Their ability to anticipate market shifts and rapidly introduce innovative features has been absolutely decisive in capturing market share (ResearchGate).

Samsung's position as the world's largest memory chip producer and leading semiconductor manufacturer overall isn't accidental—it's the direct result of their strategic R&D investments. This dominance in a fundamental technology provides them with unmatched competitive advantages across the entire electronics industry. Their commercial success extends far beyond smartphones and semiconductors to include market leadership in televisions and various home appliances, with substantial revenue and brand value growth directly attributable to their innovative product portfolio (Sobot).

Practitioner Insights

Samsung’s evolution from a fast follower to a global innovation leader offers a compelling case study for R&D executives navigating transformation. Rather than offering one-size-fits-all prescriptions, Samsung’s approach provides rich examples of how organisations might tackle innovation across strategy, culture, and execution.


Learning from the Fast Follower Model

Samsung’s early innovation strategy was built on fast following. For instance, the company institutionalised competitive product analysis at frequent intervals and invested in reverse engineering capabilities to closely examine and improve upon industry pioneers. It also created internal protocols to drastically shorten development cycles—sometimes aiming to halve typical timelines.

One notable element was the creation of cross-functional “market intelligence hubs” that tracked emerging features and technologies. These units didn’t just copy—they aimed to outdo. A principle observed in Samsung’s playbook: if a product couldn’t be developed and launched within 6–12 months of a competitor’s, it might not be worth pursuing. Importantly, every product needed to advance beyond the original, rather than merely replicating it.


Budgeting and Portfolio Focus: Examples from Samsung

To transition from follower to innovation frontrunner, Samsung reportedly increased its R&D budget over time while also seeking efficiency gains. In some periods, it structured its R&D investment using a 70/20/10 model—where the majority of funds focused on core improvements, with smaller allocations for adjacent innovations and high-risk, high-reward breakthroughs.

This approach reflects one possible way to balance short-term wins with long-term vision. It’s not a universal blueprint, but it demonstrates how a mature organisation can support multiple innovation horizons simultaneously. Similarly, Samsung built multi-year technology roadmaps tied to specific capability milestones, helping to organise innovation efforts around future leadership goals.


Innovation Culture: Rethinking Risk and Structure

Samsung's cultural transformation was equally instrumental. The company rethought how it evaluated performance, rewarding thoughtful risk-taking and curiosity. In parallel, it developed cross-divisional innovation teams with executive backing and freedom from immediate commercial pressure.

For example, its “skunkworks” initiatives operated outside traditional structures, providing spaces where failure was accepted—so long as learning was captured. Global talent recruitment also played a major role, as did the creation of dedicated innovation spaces that temporarily suspended corporate constraints.

What’s worth noting is the visible role senior leaders played—not just by funding innovation, but by participating directly in experiments and strategic decisions. Leadership engagement helped signal the seriousness of Samsung’s transformation effort.


From Lab to Market: Bridging the Gap

Samsung’s success also stemmed from its ability to commercialise innovation. Instead of handing off R&D to the business unit late in the process, Samsung embedded commercial functions into the innovation process from the beginning. Designers and marketers often worked alongside engineers from day one.

The company also used structured stage-gate processes to assess commercial viability, and maintained dedicated translation teams focused on bridging technology and business strategy. Portfolio management tools helped them balance risk, timeline, and strategic alignment.

While these mechanisms aren’t unique to Samsung, their integration and consistency offer a useful lens for thinking about the broader innovation lifecycle.


Making Strategic Bets: Samsung’s Resource Focus

Another key theme in Samsung’s rise was its focus. Rather than pursuing broad-based innovation, the company zeroed in on a few “strategic bet” areas—such as semiconductors and display technologies—where it believed it could build lasting leadership. In these domains, it committed significant budget, built internal capability roadmaps, and formed targeted partnerships.

This focused strategy wasn't about being everywhere—it was about going deep where it mattered most. While the specific choices may differ for other organisations, the underlying logic of resource concentration around high-potential technologies is broadly instructive.

Samsung’s journey illustrates what’s possible when strategy, culture, and execution align. While not every tactic will fit every organisation, the examples Samsung offers—from investment structuring to cultural redesign—provide a rich toolkit for R&D leaders looking to navigate their own paths toward innovation leadership.


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