LG to quit making smartphones in 2021. LG is thinking of leaving the smartphone business in 2021. Just after losing closely $4.5 billion for the past five years, the smartphone business of LG has been striving to compete with its competitors.
Now, Kwon Bong-Seok, the CEO of the company has informed its staff that the company is planning on making great changes to its smartphone business.
the Korea Herald also reports that Kwon Bong-Seok, the Chief Executive Officer of LG sent out an internal memo to all its employees on Wednesday, focusing on a change in direction for the business of LG phone.
LG Official’s statement to The Korean Herald
Here is what the company’s official mentioned in a statement to The Korean Herald. The company’s official said:
“Since the competition in the global market for mobile devices is getting fiercer, it is about time for LG to make a cold judgment and the best choice”.
He further mentioned:
“The company is considering all possible measures, including the sale, withdrawal, and downsizing of the smartphone business”.
The company also said that the internal memo that was sent to every member of its staff was valid in a statement to The Verge, pointing that nothing really has been said yet.
An LG spokesperson also said:
“LG Electronics management is committed to making whatever decision is necessary to resolve its mobile business challenges in 2021.”
He concluded by saying:
“As of today, nothing has been finalized”.
The latest internal memo follows a recently deleted report from TheElec, a Korean outlet earlier this January. That asserted that LG was making plans to quit the smartphone business. a week ago, the company branded that report totally false and with no merit in a statement to Android Police.
The Company Formerly Promised “wow factors”
Also, LG has formerly promised wow factors to try to attract consumers. And also make its flagging mobile division productive and worthwhile. The company has as well tried so many times with the V40, G7, G8, and the V50 to challenge Huawei and Samsung. However, it has not been enough to move its market share in the appropriate decision.
The latest Velvet by LG as well as Wing smartphones has made plans in trying out something new. However, none of them were well received.
Huawei, Vivo, Samsung, Apple, and Xiaomi all kept on dominating global smartphone shipments. This was according to IDC. The company is now changing its main focus to its Rollable phone. In an attempt to make it different from the competition.
The company again teased its Rollable smartphone at the Consumer Electronics Show. With a great resizable screen that expands from a phone to a small tablet display.
However, LG has promised its Rollable device is genuine and will be released in 2021. The company considering its mobile plan again, it could be one of the last LG phones that we will ever see.