[Edaily Reporter Song Jae-min] "Samsung and LG remain at the forefront of global home appliance innovation. However, they need to take a longer-term approach in the European market."

Leif Lindner, CEO of IFA, gave this response on the 18th during a press conference for the German International Consumer Electronics Fair (IFA) 2026 held at COEX in Gangnam-gu, Seoul, when asked about the competitiveness of Samsung Electronics and LG Electronics in the European market.

Drawing on his 15 years of experience working at Samsung Electronics’ German subsidiary, CEO Lindner explained the strengths and challenges facing Korean companies. “As recently as eight or nine years ago, a significant portion of the innovation in the global home appliance market came from Korea,” he said. “Samsung and LG led the market, and I believe they still possess outstanding innovation capabilities.”

However, he noted that the recent market environment has changed significantly from the past. This is because Chinese companies are expanding their influence in the global market by leveraging both technological prowess and price competitiveness. “Chinese companies such as Dreamy, TCL, Hisense, and Xiaomi are now also launching innovative products,” he said, adding, “The intensity of competition has become much higher than in the past.”

“Innovation Still Lies with Korea” Amid Chinese Catch-Up

He particularly emphasized that it is difficult to compete solely on product competitiveness in the European market. CEO Lindner explained, “Looking at the built-in appliance market, German companies have maintained a consistent product strategy for years, building trust with distribution partners and consumers,” adding, “If you frequently change product lines just because profitability is low, it’s difficult to gain dealers’ trust.”

He added, “Samsung is a company that moves quickly and responds nimbly to change,” noting, “While that is a clear strength, a long-term perspective is also important in the European market.”

CEO Lindner predicted that the key to future competition will be expanding consumer touchpoints rather than technology. “In the past, brand loyalty was strong, but today’s consumers make purchasing decisions much more rationally,” he said. “They evaluate what value a product offers them before making a choice.”

He continued, “Samsung and LG have excellent products and strong brands,” emphasizing, “Now, they must more actively explain to consumers why they should choose Samsung and LG products over other innovative products.”

“AI Will Drive the Next Wave of Replacement Demand”

CEO Lindner also predicted that artificial intelligence (AI) will become the biggest growth driver in the home appliance and IT markets going forward. He explained, “Currently, the value that global consumers expect from AI can be summarized into four areas: improved productivity, enhanced smart features, automation, and personalized services,” adding, “South Korea is the market showing the highest level of interest and expectation in all four of these areas.”

According to market research firm NIQ, South Korean consumers expressed the highest level of expectations among major countries regarding the productivity gains, smart features, automation, and personalized services that AI will bring. CEO Lindner assessed, “South Korea is one of the world’s most important innovation markets,” adding, “It is leading the future of global consumer technology in areas such as AI home appliances, connected devices, semiconductors, and displays.”

He offered a cautious outlook on the European home appliance market. He explained that demand for large home appliances is under pressure due to high energy costs, an economic slowdown, and a decline in housing construction. “The market for large home appliances is facing some challenges, and it is difficult to expect the same rapid replacement demand for TVs as in the past,” he said. “However, as new replacement demand is emerging centered on AI features, opportunities still exist for the industry.”

He paid particular attention to the AI PC and laptop markets. CEO Lindner predicted, “Many consumers are considering upgrading to higher-performance products to take advantage of AI,” adding, “Over the next few years, AI will be the key driver of replacement demand for IT devices.”

Meanwhile, this year’s IFA will take place in Berlin, Germany, from September 4 to 8 (local time). IFA plans to highlight AI-based lifestyles, next-generation smart homes, robotics, and digital health as key themes, while strengthening its role as a global platform supporting Korean companies’ entry into the European market.