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LG Electronics Taps Samsung Foundry for Custom AI Home Chips

LG is partnering with CoAsia SEMI and Samsung Foundry to develop ultra-low-power AI silicon for proactive home automation.

TechNewsReel Newsroom · August 31, 2026

LG Electronics is partnering with Samsung Foundry to produce specialized AI chips for its home appliance ecosystem. The move is designed to integrate advanced on-device AI capabilities directly into home products to enhance automation and the overall user experience.

According to reports from thelec.net, LG is working with design partner CoAsia SEMI to develop these AI IoT chips, which will be manufactured using Samsung Electronics' foundry. The initiative is part of a broader government-led effort known as the 'K-On-Device AI Semiconductor Technology Development' project, overseen by the Ministry of Trade, Industry and Resources. The primary technical goal of the project is the creation of ultra-low-power systems-on-chip (SoCs) specifically tailored for next-generation AI home platforms.

The Push for On-Device Intelligence

This strategic shift comes as LG Electronics aggressively pursues its 'Affectionate Intelligence' AI strategy. The company aims to transform traditional home appliances into proactive assistants that can anticipate user needs. To realize this vision, LG requires high-performance, low-power silicon capable of handling complex AI tasks locally on the device. By processing data on-device rather than relying solely on the cloud, LG can reduce latency, improve privacy, and ensure that smart features remain functional without a constant high-bandwidth internet connection.

Industry Implications

The partnership highlights a growing trend among consumer electronics giants to design custom silicon to optimize AI performance. By moving away from off-the-shelf components, LG can tune its hardware specifically for the workloads required by home automation. Furthermore, the collaboration underscores a complex competitive dynamic within South Korea. While LG and Samsung compete fiercely in the end-market for home appliances, they continue to collaborate within the supply chain to maintain a technological edge against global competitors.

Future Outlook

As the project progresses, the industry will be watching for the first wave of appliances featuring these custom SoCs. The success of the 'K-On-Device AI Semiconductor Technology Development' project could set a blueprint for how other appliance manufacturers integrate specialized AI hardware. While the manufacturing partnership is confirmed, the specific release timeline for the first products utilizing these Samsung-manufactured chips remains to be seen.

Sources

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