Samsung Electronics will merge its mobile and consumer electronics divisions, the firm said on Tuesday, naming new co-chief executives in the biggest reshuffle since 2017 to simplify its structure and focus on the logic chip business.

Two co-chief executives, instead of three, will lead the South Korean firm as it pivots on the two business pillars of chips and consumer devices, including smartphones, to help lead the next phase of growth and boost competitiveness.

Samsung, whose Galaxy flagship brand helped it become the world’s biggest smartphone maker by volume, is seeking to revive slowing mobile growth, whose profit contribution shrank to 21 per cent last quarter from nearly 70 per cent at its peak in the early 2010s.

Instead, its component business, led by chips, has become the most profitable, helped by a boom in data storage and a recent shortage of global semiconductor supplies.

The business generated nearly three-quarters of Samsung’s 15.8 trillion won ($13.4 billion) operating profit last quarter.

Samsung said Han Jong-hee, the head of visual display business, will become a co-CEO, leading the newly merged division spanning mobile and consumer electronics as well as continuing to lead the television business.

Han has risen through the ranks in Samsung’s visual display business, without experience in mobile.

Kyung Kye-hyun, chief executive of component affiliate Samsung Electro-Mechanics and a former head of the flash memory chip and technology team, was named co-CEO to lead the chip and components division.

Other high-profile promotions included naming as vice chairman Chung Hyun-ho, the head of a “task force” that analysts said co-ordinates decision-making in Samsung Electronics and affiliates, and which media have said works closely with Lee.