Samsung Electronics CEO resigns, says company is in “unprecedented crisis”

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Samsung will lose one other main government quickly. Shortly after posting the corporate’s third quarter monetary outcomes, CEO and Vice Chairman of Samsung Electronics Oh-Hyun Kwon introduced he’s leaving the corporate in March 2018.

In a letter to staff, Kwon provided an announcement:

It is one thing I had been pondering lengthy and exhausting about for fairly a while. It has not been a simple determination, however I really feel I can now not put it off. As we’re confronted with unprecedented disaster inside out, I consider that point has now come for the corporate to start out anew, with a brand new spirit and younger management to higher reply to challenges arising from the quickly altering IT trade.

The “unprecedented crisis” is outwardly a reference to Samsung Group’s de facto chief and Vice Chairman, Lee Jae-yong (aka, Jay Y. Lee) being sentenced to 5 years in jail after being discovered responsible of bribery, embezzlement, capital flight, and perjury costs. Lee Jae-yong’s conviction was a part of a bribery scandal that reached all the best way to the president of South Korea, Park Geun-hye, who was impeached final yr can also be serving time in jail.

Lee Jae-yong is the son of Lee Kun-hee, the chairman of Samsung Group, and is seen as the corporate’s inheritor obvious. While Lee Kun-hee is predicted to maintain the title of “Chairman” for all times, medical points have brought on him to step away from Samsung, and Lee Jae-yong had been operating the corporate since 2014.

Vice Chairman Kwon shall be leaving Samsung after 32 years with the corporate. Samsung Electronics has not but introduced a alternative.


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