South Korea’s LG to exit loss-making mobile phone business

world
South Korea’s Lg To Exit Loss-Making Mobile Phone Business South Korea’s Lg To Exit Loss-Making Mobile Phone Business
LG sign, © AP/Press Association Images
Share this article

By Associated Press Reporter

South Korean electronics maker LG has said it is getting out of its loss-making mobile phone business to focus on electric vehicle components, robotics, artificial intelligence and other products and services.

LG’s board approved the shift in strategy and the company expects to fully exit the mobile phone business by the end of July, it said in a statement.

LG was once the third largest mobile phone maker but has lost market share to Chinese and other competitors.

It was still number three in North America, with a 13% market share behind Apple’s 39% and Samsung’s 30% as of the third quarter of 2020, according to Counterpoint Technology Market Research.


LG is getting out of its loss-making mobile phone business (LG/PA)

LG earlier said it was assessing its strategy as it reported that its sales rose 5% from a year earlier in the last quarter of 2020 but profitability declined due to sluggish sales of premium products.

Advertisement

The company said it was selling its phone inventory and would continue to provide services and support for various periods of time depending on where they are sold.

Details related to jobs would be decided “at the local level”, it said.

Read More

Want us to email you top stories each lunch time?

Download our Apps
© BreakingNews.ie 2022, developed by Square1 and powered by PublisherPlus.com