LG must stop making phones as acquisitions fall

LG must stop making phones as acquisitions fall

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Only when we think that the LG Rollable phone is back in the game, Korean news agency DongA Ilbo (via Bloomberg) is reporting that LG’s plans to sell its deficient phone business have really failed this time.

Its sources in the local electronics industry said that LG now plans to close its smartphone division entirely after negotiations with VW and others to buy it failed.

This news comes right after the rumor last month that the development of the LG Rainbow has stalled, so where there is smoke, there is probably fire in LG’s phone manufacturing plans. The official unidentified industry source discloses that the reasons for LG’s pending decision to end the activity over the phone are as follows:

Even considering the Korean and North American markets, where LG Electronics’ smartphone business remains, the global market share is around 1%, so it is difficult to find a buyer to buy at a high price.

What a pity, since LG has a good market share and brand recognition as a phone manufacturer in the United States, and has brought us many intriguing devices, the last of which is the peculiar one LG Wing, with its rotating screen format. The LG Wing has not won the market commercially, however, and may have been the last nail in the coffin of the LG phone business.

News of the closing of the smartphone business and the reallocation of its resources to LG’s automotive, home appliance and battery departments will be reported to its employees in the coming weeks, and LG’s departure from the phone industry may be official in April.

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