Samsung India, a manufacturer of appliances and consumer electronics, intends to re-enter the domestic air conditioner sector, which saw historically high summer sales this year.

The business intends to introduce more than a dozen inverter air conditioner models for its 2025 portfolio in the coming weeks, bringing the total number of stock-keeping units (SKUs) to 15–16.

Targeting customers wishing to purchase high-end air conditioners and additional features, its room air conditioner (RAC) would contain Samsung's DNA of intelligent features, including its exclusive Bespoke AI solutions, he said.

With a market share of more than 15% in the 2014–15 fiscal year, Samsung was the second-largest player in the RAC segment ten years ago. However, Samsung lost market share after focusing its resources and efforts on high-growth industries like smartphones, smart TVs, LED screens, etc.

The premiumization trend in the Indian appliance market is characterized by consumers choosing higher average selling price (ASP) products and being willing to pay more for high-end, connected, and energy-efficient devices.

Samsung anticipates double-digit volume growth in the RAC segment in 2025, riding the wave of premiumization and aspirations in that year.

Samsung has a low single-digit market share, having sold about half a million units in 2024. With its new AC portfolio and its highly regarded Bespoke AI platform, Samsung hopes to capture a double-digit portion of the fiercely competitive Indian RAC market.

In India, sales of air conditioners usually begin in mid-February in the southern areas. Rising temperatures, urbanization, and rising affluence are some of the causes driving up demand for it in India.

With an estimated 11 million units, the Indian RAC market is dominated by companies like LG, Daikin, BlueStar, Hitachi-Johnson, Panasonic, Lloyd, and the Tata group company Voltas.

The sector reported "record-breaking figures for sales in May and June, with a surge of 30-40 per cent in volume growth due to the unrelenting heatwave in most parts of the country" .

Additionally, the Indian RAC market is developing due to investments made by corporations in domestic component manufacturing facilities and energy-efficient models that are appropriate for all income levels.