Samsung has completed the long-overdue acquisition of Harman, one of the leading audio and connected car systems brands, to strengthen its position in various fields of technology. This means a great deal for consumers as well, who will benefit from the innovations that will unfold with Samsung and Harman's collaboration.
The deal was announced last November, but was subjected to resistance from Harman shareholders and pending regulatory approvals. The acquired company's shareholders will receive $112 per share as a result of this acquisition by Samsung. The South Korean tech titan has also received necessary approvals from the regulatory bodies in the US and other countries.
Harman's expertise in areas such as connected car systems, audio and visual products, enterprise automation solutions; and connected services will open new opportunities for Samsung to build new products for consumers. Speaking of the acquisition, Samsung's President and Chief Strategy Officer Young Sohn said that the company sees "transformative opportunities in the car – and a future which seamlessly connects lifestyle across automotive, home, mobile and work."
This certainly means Samsung's fortified entry into the connected car play systems, where rivals Apple and Google have made a mark. But there's also going to be some profound development in the audio and video experiences for end users.
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"Samsung's and HARMAN's leadership in these spaces perfectly positions Samsung to be the preferred partner to our OEM customers. In addition, bringing together HARMAN's iconic audio brands and capabilities paired with Samsung's leading display technologies will deliver enhanced audio and video experiences to consumers and professional end markets. And most importantly, we are enthusiastic about our common vision, the similarities in our culture of innovation, and the added value we can create for customers," Sohn said in an statement on Saturday, March 11.
Elaborating on Samsung's future expeditions following the acquisition, Harman's CEO Dinesh Paliwal said that both companies will work together to drive the future of automotive.
"Samsung provides HARMAN with the scale, platform and complementary technologies to accelerate growth and extend our global market leadership in automotive, smart audio and connected technologies. Recognizing the importance of partnerships in an increasingly connected world, particularly in automotive, we are poised to leverage our combined teams and resources to produce even greater value for our customers," Paliwal said.
Samsung's acquisition of Harman will not bring any changes to the company as the audio brand will continue to operate as a standalone entity. Paliwal will continue his role and the work force, headquarters and other facilities will remain intact. Sohn will be the chairman of the board to supervise Harman's operations.