Samsung’s PR Pitch: “The Best Salesman” in the Middle of a Legal Storm
As the big name of Samsung, Jay Y. Lee, gears up for another court show next month, the tech giant has quietly turned on the PR lights. The company is betting big on his reputation as a deal‑making wizard, especially after clinching a $6.6 billion contract with Verizon.
From Reluctant Public Image to “Star of the Show”
Over the past year, Samsung has been busy sprinkling the news cycle with photos and statements about Lee’s visits to its various sites. The goal? Show the world a side of Lee that’s usually shy. With a bribery scandal still dimming his shine, the company has decided to flip the narrative and paint him as the company’s top salesman.
- “Samsung Keeps Exposing Lee to the Media” to send a clear message: He’s the man who keeps the ship sailing.
- Messaged local media that the cutting‑edge network business will become “the first flagship business of the Lee Jae‑yong era.”
- Showcased his direct talks with Verizon CEO Hans Vestberg during a visit to South Korea last year, including several video calls that sealed the deal.
Legal Drama Meets Political Reform
Lee has been hauled up last week on charges of accounting fraud and stock price manipulation. The trial’s set to kick off on October 22. The stakes are high: if he lands behind bars, the company could find itself in turmoil, and the South Korean economy might feel the ripple effect.
“If he goes to jail or faces lengthy trials, this would disrupt management, put Samsung in difficulty, and Korean economy in difficulty,” warned Professor Park Sang‑in of Seoul National University, a governance expert.
Winning Deals Amidst the Storm
Samsung announced the Verizon contract on Monday, a major win that could help the firm close the gap in the 5G market against rivals like Huawei, which is battling U.S. restrictions. Lee also played a pivotal role in the 5G deal with Japan’s KDDI last year, despite the flapping of diplomatic relations.
In a note to reporters, Samsung said:
“Vice Chairman Jay Y. Lee has played a key role in developing new growth businesses and relationship with global clients and partners.”
It added that responding to media inquiries about his role and client relations was part of normal communication with journalists.
Reputational damage
Big Trouble for Samsung’s Legacy — Lee Jae‑Hyun’s Latest Scandal
When the 52‑year‑old “sibling” of the tech titan Lee Jae‑Hyun faces fresh charges, the shock‑wave ripples through Samsung’s reputation. It happens at a moment when the world’s top memory chip maker and second‑largest phone maker are already battling fierce rivals, grappling with a pandemic, and watching a global economy tighten its grip.
Two Trials on the Horizon
- One case sues him for bribing former President Park Gye‑who‑nam in a plot to wrest the conglomerate from his own father, Lee Kun‑hee, who’s been out of the spotlight since a 2014 heart attack.
- Another trial tackles alleged influence‑peddling that helped Park step into the role of head of Samsung.
The Broader Picture
President Moon’s recent vow to curb the over‑reach of South Korea’s chaebols (family‑owned mega‑enterprises) has been more than a cosmetic promise—policymakers are seriously tightening the screws on power‑heavy “family kingdoms.”
From Leniency to Lock‑up
Historically, courts have played the “good Samaritan” card with business heavyweights, leaving them in the lashroom while rewarding their economic muscle. Lee’s case broke that trend: he was locked up for almost a full year in the Park bribery fiasco.
Interestingly, Lee’s father was earlier convicted of breach of trust and tax evasion but later received a presidential pardon—quite the rollercoaster of legal outcomes.
Samsung’s Fanfare Fails to Dazzle
In an attempt to shore up pressure, Samsung in June countered the media buzz that hints he’ve done wrong: “These rumors are never desirable—whether for Samsung’s future or Korea’s economy.” They tried to paint a soothing picture, but the world seems more cautious.
Economic Significance
Samsung Electronics is the crown jewel of the conglomerate, with 2019 revenue bumping into 12% of South Korea’s gross output. That’s a serious slice of the national economy, meaning what happens to its leader could ripple far beyond the boardroom.
PR’s Gotta‑Be‑Real Tune
Park Ju‑gun from CEO Score insights: “Samsung’s public relations seem focused on restoring Lee’s image. If he can’t lead, it could hurt the economy. That’s the underlying message.”
So, as the saga unfolds, the tech world watches, clutches their phones, and wonders—will a single man’s rise or fall set South Korea’s tech future spinning?
