South Korea's LG becomes first major smartphone brand to withdraw from market

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SEOUL: South Korea's LG Electronics will wind down its loss-making mobile division after failing to find a buyer, a move that is set to make it ...

SEOUL: South Korea's LG Electronics will wind down its loss-making mobile division after failing to find a buyer, a move that is set to make it the first major smartphone brand to completely withdraw from the market.

In better times, LG was early to market with a number of cell phone innovations including ultra-wide angle cameras and at its peak in 2013, it was the world's third-largest smartphone manufacturer behind Samsung and Apple.But later, its flagship models suffered from both software and hardware mishaps which combined with slower software updates saw the brand steadily slip in favour. Analysts have also criticised the company for lack of expertise in marketing compared to Chinese rivals.

In addition to North America, it does have a sizeable presence in Latin America, where it ranks as the fifth-largest brand. In South Korea, the division's employees will be moved to other LG Electronics businesses and affiliates, while elsewhere decisions on employment will be made at the local level.Analysts said they were told in a conference call that LG plans to retain its 4G and 5G core technology patents as well as core R&D personnel, and will continue to develop communication technologies for 6G. It has yet to decide whether to license out such intellectual property in the future, they added.

 

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Well it isn't a very reliable nor aesthetically beautiful phone anyway

That's too regretful.

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