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LG To Announce Exit From Smartphones Business Next Week

It was reported earlier that LG Electronics has been planning the exit strategy from its smartphones business segment, the reports earlier cited Korean sources via Bloomberg. The Korean electronics giant LG has apparently actually decided not to want to get involved in the smartphone market. The announcement of the exit from this business area is supposed to take place in the next week.

As the Korea Times reports, citing informed sources from the immediate vicinity of LG, the decision to exit the smartphone market has been made. According to the report, after extensive deliberation, LG decided not to continue investing in smartphones.

Selling Off Smartphones Segment Failed

LG recently tried to separate from its business division for mobile communication products and to sell them. Corresponding plans have since failed, although there are said to have been negotiations with a number of interested parties. However, no deal was reached, it continues.

An official announcement of LG’s exit from smartphone sales is slated for April 5, 2021, the report said. The farewell to LG had been in the room for a long time, there had been rumors about it for months. The group has not made any money with smartphones since 2015, but has always paid on top due to the sometimes massive losses in the division.

A company spokesman did not want to confirm that LG is actually exiting the smartphone market. All options are currently open before the further plans for this part of the group are officially announced. LG currently earns well, but only with its other business areas, as the demand for “white goods”, televisions and other electronic devices from the company’s range has increased significantly as a result of the coronavirus pandemic.

LG has been involved in the smartphone and mobile phone market for many years and was able to celebrate considerable success with devices such as the LG G2 and LG G3 and generate some sales with such products. However, since the LG G4 at the latest, the group has been leading a shadowy existence with smartphones, which is why they recently tried to draw attention to themselves with more unusual designs such as the LG Velvet and the LG Wing.