Samsung Electronics is stepping into the subscription-based home appliance market, challenging rival LG Electronics’ decade-long dominance in the sector. The new “AI Subscription Club,” launched December 1, offers customers access to AI-enabled appliances through monthly payment plans.
The service covers a wide range of products from TVs to vacuum cleaners, with over 90% of the devices featuring artificial intelligence capabilities. Customers can choose between comprehensive 60-month packages or customizable 36-month plans that include maintenance and care services.
Through Samsung’s SmartThings platform, subscribers receive monthly reports on device performance, usage patterns, and energy consumption. The company has also secured partnerships with credit card providers for billing discounts.
The move comes as LG Electronics’ subscription business continues to show strong growth, with revenue exceeding 1 trillion won ($770 million) in the third quarter of 2023. LG’s head start began in 2009 with water purifier rentals before expanding to other appliances.
Samsung’s domestic market chief Kim Yong-hoon indicated plans to broaden the subscription lineup. The shift reflects growing consumer preference for recurring payments over large upfront purchases, particularly for smart home devices requiring regular updates and maintenance.
