Samsung is relatively new to the drug industry. Since 2011, it has invested billions in its pharmaceutical companies — Samsung Bioepis, which focuses on biosimilar drugs, and Samsung Biologics, which manufactures original drugs developed by other companies. Samsung's choice to invest in a different industry represents a shift in the company's focus as its main business, hardware, begins to slow. And its investments seems to be paying off. It currently has a biosimilar replica of the Pfizer drug Enbrel, which treats rheumatoid arthritis, available in the European market.
Samsung isn't the only big tech company with fingers in a different pie. Other tech giants have taken on side businesses, such as search engine giant Google, which is heavily invested in the renewable energy business. After securing a deal with the Federal Energy Regulatory Commission to buy and sell energy, Google has been steadily purchasing wind and solar farms from around the globe. Its latest purchase, a wind farm in Kenya slated to operate 365 wind turbines, is the company's 22nd renewable energy investment since 2009.
Canon, a Japanese hardware giant most known for its cameras, printers and photocopiers, just won exclusive rights to purchase medical equipment from struggling hardware manufacturer Toshiba. After a competitive auction process, Canon won the bid for Toshiba Medical Systems, a subsidiary of the larger Toshiba corporation that manufactures CT scan, X-ray and MRI machines. Canon has been working hard to focus and expand its medical machine offerings as demand for its high-end cameras, which are being replaced by smartphone devices, declines.
For these companies looking to branch out, the diversification strategy is one way to stay relevant in a quickly shifting market. Samsung is one such company moving full speed ahead in an entirely new market.