Fiber optic business shed by Samsung

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Fiber optic business shed by Samsung

Samsung Electronics said Tuesday it is selling off its fiber optic and optic cable business to the U.S. company Corning.

In a statement, Samsung said the deal includes plants that manufactures fiber optics and optic cable in Gumi, North Gyeongsang, and Hainan, China.

The company said the sale, including government approval, should be finalized in the first quarter of next year.

The sell-off is part of the company’s recent restructuring of core businesses, while shutting down or selling affiliates it considers less crucial.

It has become evident from Monday’s announcement of reshuffling of top executives and the sales and mergers of affiliates and business units that Jay Y. Lee, Samsung Electronics vice chairman and heir apparent, has been reordering the company’s priorities, which previously were centered on smartphones.

Instead, he has been giving more weight to other core businesses such as computer chips and consumer electronics, including TVs, that have been performing better than the smartphone business.

Meanwhile, Samsung lately has been trying to place more emphasis on software development by holding various forums on related fields. In addition, it has encouraged other software engineers to participate in building the foundation for Samsung’s own ecosystem.

The decision to sell its fiber optic and optic cable business follows last weeks sale of its defense contractor and chemical company to Hanwha Group.

BY LEE HO-JEONG [[email protected]]

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