With piling losses, Korean company LG is set to exit the smartphone business. While many of the people aware of the financial state of the company’s smartphone business predicted this for a while, a recent report suggests the company will formally announce its departure from the smartphone industry on April 5th. As a pillar of smartphone innovation in the previous decades, would you miss LG if it no longer makes phones?
While the global pandemic was kind to no smartphone company, LG’s smartphone business has been suffering for much longer. The specific division has incurred recurring losses since 2015, even though the company has been doing well as a whole. While LG phones are still fairly common in its domestic South Korean market, the company had previously reported “sluggish sales in the overseas market with a sales decrease of mass-tier products in North America” regarding its smartphone business.
This lack of interest in LG’s products has prevailed despite its exciting and innovative products, such as the second-screen attachment for phones like the LG G8X or Velvet or the T-shaped Wing. In the past decade, LG has created some unique phones such as the slightly curved G Flex (or Flex 2) or the distinctive Optimus. Not to forget, the 2000s also witnessed some more interesting phones from LG, including the Chocolate series, surely as tempting as its eponym.
The news of LG shutting its smartphone business is disappointing for fans, and it also puts the future of its rollable display phone in the dark. The company had previously announced the phone with a rollable display will arrive next year.
The company had previously quashed rumors about exiting the smartphone business. Even more so, the company’s new CEO had promised to make its smartphone business profitable by 2021. However, repeated indications suggest LG may finally pull the plug to prevent excessive losses due to the awry smartphone arm.
The Korean company’s exit from the smartphone business will create a void for innovation, as in gems like the LG Wing. Do you agree? Let us know in the comments below!