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 The CEO of Samsung Electronics has called for the need to establish stronger technology leadership to address looming challenges and secure its dominant position in the evolving tech landscape. 

"Securing technology and quality for our customers is the foundation of our competitiveness and the only way we can lead the paradigm shift," Han Jong-hee, Samsung's vice chairman and CEO, said at an event marking the 55th anniversary of Samsung Electronics' foundation held in Suwon, a city on the southern outskirts of Seoul.

"Let's make desperate efforts to further strengthen our technology leadership, ensuring a level of quality that remains unmatched," he said, reports Yonhap news agency.

Han's comments come as the South Korean tech giant faces increased pressure in its semiconductor business, especially in the high-bandwidth memory (HBM) chip market, a crucial component in AI computing.

Its chipmaking rival SK hynix is leading the industry, supplying U.S. AI chip giant Nvidia Corp. with advanced 12-layer HBM3E products.

Han said Samsung Electronics will focus more on AI technology, which will define the next decade, urging its employees to get ready for the new paradigm.

"AI will move from a period of a bubble and uncertainty to an era of AI democratization, where unimaginable changes will become everyday realities," he said. "We must adapt our approach, from how we work to how we identify new growth engines, beyond specific products or business lines."

The ceremony saw attendance from senior executives and employees, including Han and Vice Chairman Jun Young-hyun, who recently took on the leadership of the semiconductor division in May. Samsung Electronics Chairman Lee Jae-yong did not attend the event.

Samsung Electronics was first established in January 1969, but the foundation date is commemorated on Nov. 1, as the company merged with a semiconductor arm on the date in 1988.