The rumors and speculation will finally come to an end when LG Electronics Inc. has made an official announcement. LG has recently made a statement that it is moving away from the phone business. This means that manufacturing and sales are coming to a halt as South Korea’s other tech giant will focus more on the B2B solution, the Internet of Things (IoT) and electric vehicles (EV). LG executives have made a decision and have spoken: the mobile business unit is closing.
The board of directors approved the decision to close its mobile business division. This will be a strategic decision to focus your resources on other areas that are more profitable. We can expect LG to not introduce new smartphones, including the long-awaited LG Rollable Phone, LG Rainbow, and LG Q83.
LG will work more in growth areas such as connected devices, smart homes, artificial intelligence, robotics and electric vehicles. Business-to-business services, platforms and other solutions will receive increased focus in the coming months and years.
According to LG, the mobile devices that are part of your current product line will still be for sale. Software updates and customer service support (unlike a previous report) will be provided up to a period of time, but will depend on different regions.
The closure of the mobile phone business will come slowly. LG will continue to work with business partners and vendors collaboratively throughout the closing. The employees to be affected in South Korea have not yet received details on their fate, but we assume that they will be transferred to different units.
LG is determined to continue using its expertise in the mobile business. It will develop mobile-related technologies that can benefit many companies and millions of people. LG said it is already reviewing 6G.
Mobile operations and technologies will continue to apply to future and existing LG products. The unit is expected to close on July 31.
Sad day for LG. “Kamsahamnida” and “Annyeong”.