Samsung plans big for India's AC market; to launch over a dozen models with 'connected features' and more

After a record-breaking summer for air conditioner sales in India, Samsung India is set to relaunch its residential AC business with a focus on premium, smart features. The company plans to introduce over a dozen inverter AC models in its 2025 lineup within the next few weeks, expanding its offerings to 15-16 SKUs, according to industry sources.

These new room air conditioners (RACs) will incorporate Samsung's Bespoke AI solutions , targeting consumers seeking high-end ACs with advanced features. This move marks Samsung's return to a market where it once held a significant position, boasting over 15% market share in 2014-15 before shifting focus to other product categories like mobile phones and smart TVs.

The Indian appliance market is currently experiencing a trend of premiumization, with consumers increasingly willing to pay more for energy-efficient and connected devices. Samsung aims to capitalize on this trend, projecting double-digit volume growth in its RAC segment in 2025. While Samsung sold approximately half a million units in 2024, holding a low single-digit market share, the company anticipates achieving a double-digit share with its new Bespoke AI-powered lineup in the highly competitive Indian RAC market.

The Indian RAC market, estimated at around 11 million units, is dominated by established players like Voltas, LG, Daikin, BlueStar, Hitachi-Johnson, Panasonic, and Lloyd. The industry saw exceptional sales growth of 30-40% in May and June due to a severe heatwave. Factors such as rising temperatures, urbanization, and increasing incomes are driving demand for ACs in India. The market is also evolving with the availability of more energy-efficient models and increased domestic manufacturing of components.

While an email to Samsung India for comment went unanswered at the time of reporting, the company's re-entry into the RAC market signals a renewed focus on this growing segment.