Samsung Electronics is reportedly pursuing an investment in the artificial intelligence (AI) search engine startup Purplecity. If the deal goes through, the AI search feature of Purplecity is expected to be integrated into the Galaxy S smartphones. The industry analysts believe that Samsung Electronics is speeding up the establishment of its AI-based operating system (OS), aiming to reduce dependence on Google Gemini while pursuing an 'open platform' format.
On the 1st (local time), Bloomberg reported that Samsung Electronics plans to enter into a broad investment agreement with Purplecity by the end of this year. Purplecity is an American AI startup often referred to as a competitor to OpenAI and Google, founded in 2022 by Aravind Srinivasan and others from OpenAI. So far, it has received investments from Nvidia, SoftBank's Vision Fund 2, Amazon founder Jeff Bezos, OpenAI co-founder Andrii Kaparti, and Google AI chief Jeff Dean.
Bloomberg, citing multiple sources, reported that Samsung Electronics plans to position Purplecity's search technology as a major feature in its devices. According to insiders, 'the two companies are discussing plans to pre-install Purplecity's app and AI assistant on future Samsung devices and integrate their search functionalities into the Samsung Internet browser.' It was also explained that the plan to incorporate Purplecity's technology into Samsung's voice assistant, Bixby, is under discussion.
Bloomberg explained that Purplecity is seeking to raise funds of $500 million (approximately 689.5 billion won), valuing the company at $14 billion (approximately 19.36 trillion won).
Experts believe that by contracting with Purplecity, Samsung Electronics will reduce its reliance on Google and establish a foundation for collaborating with various AI development companies. Currently, the latest smartphones, including the Galaxy S24 and S25, utilize Google Gemini as the default AI engine.
Samsung Electronics' U.S. investment subsidiary, Samsung Next, invested in Purplecity last year. At that time, Samsung Next stated that 'Purplecity focuses on AI information interpretation based on the latest data,' and that 'a team of over 50 has positioned itself as a leader in the field of information interpretation just one year after its launch, boasting superior performance compared to existing solutions.'
On this day, Samsung Electronics responded to questions regarding its investment in Purplecity and the integration of functionalities, saying, 'We cannot confirm.'