The rumors were true. South Korean electronics giant LG officially announced today that it is closing its phone business. After failing to find a buyer, the company is leaving the smartphone market. However, the decision is not at all surprising The company’s phone business has been unprofitable in a while and continued to bleed despite LG trying to innovate with products such as the swiveling screen LG Wing and the upcoming LG Rollable. After saying goodbye to the phone business, the company will internally relocate employees from its smartphone department to other departments.
“LG Electronics Inc. (LG) announced that it is closing its mobile business. The decision was approved by the Board of Directors today. LG’s strategic decision to leave the incredibly competitive cellular sector allows the company to focus resources on growth areas such as electric vehicle components, connected devices, smart homes, robotics, artificial intelligence and business-to-business solutions, as well as platforms and services . “
A step we saw coming has finally received the seal of official approval.
LG says its existing portfolio of products will continue to be available through authorized partners until stocks last. The company announces that it will provide “software updates for customers of existing mobile products for a period of time” on a regional basis. However, given the miserable state of LG’s Android update launch, I’m not very hopeful about that promise. The much-anticipated rollable is the biggest casualty of LG’s smartphone business exit.
The phone shop shutdown is expected to be completed by July 31stalthough the inventory of some existing models may still be available afterwards. After exiting the smartphone industry, LG will focus on areas like 6G, electric vehicles, connected devices, smart homes, robotics, AI and other relevant business solutions – both products and services.
LG will continue to offer software updates for some phones, but I’m not too hopeful
LG was once among the top brands making high-end Android phones. The company launched the first flexible curved display phone – the LG G Flex and its successor. It was also among the early adopters of the dual rear camera trend that introduced the idea of a wide + ultrawide camera setup on phones, and was among the last Android manufacturers to add features like DAC and 3.5 mm headphone jack. And oh, the dual-screen form factor was in their arsenal too. The brand attempted a comeback with the LG Velvet and Wing, but it was too little, too late.
REST IN PEACE, OLD FRIEND!
I’ve been writing about consumer technology for over three years, having worked with names like NDTV and Beebom in the past. Leaving the latest news aside, I’ve checked out my fair share of devices that range from smartphones and laptops to smart home devices. I’ve also interviewed tech managers and appeared as a moderator on YouTube videos talking about the latest and greatest gadgets.