LG To Shut Down Mobile Phone Business

South Korean electronics manufacturer, LG is closing its loss-making mobile phone business.

LG Electronics said this in a statement released in Seoul that the board of directors approved the new move on Monday.

The total closure of LG’s mobile phone sector ought to be finalized by the end of July.

The statement read; “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, and artificial intelligence.

“It will also focus on business-to-business solutions as well as platforms and services.”

LG intends to “continue to leverage its mobile expertise and develop mobility-related technologies such as 6G to help further strengthen competitiveness in other business areas’’.

“Core technologies developed during the two decades of LG’s mobile business operations are to be retained and applied to existing and future products”, the company said.

LG’s withdrawal from the smartphone business had been on the horizon for some time.

The division has revealed an operating loss for several years.