LG Electronics

Business
LG Electronics to shut down global mobile phone business
LG Electronics to shut down global mobile phone business
Credit: LG Electronics, via Wikimedia Commons (Creative Commons Attribution 2.0)

LG Electronics announced Monday that it will terminate the company's loss-making smartphone business unit.

"LG’s strategic decision to exit the incredibly competitive mobile phone sector will enable the company to focus resources in 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," the company said in a statement.

Technology • Smartphones, Hardware & Gadgets
LG might leave the smartphone market
LG K Series models
LG K Series models Credit: LG

LG CEO Kwon Bong-seok sent an internal memo to employees on Wednesday saying that "it’s about time" for the company to take a hard look at things and possibly make "the best choice."

"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," an LG official told the Korea Herald. "The company is considering all possible measures, including sale, withdrawal, and downsizing of the smartphone business."