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Home Market dynamics

Reports suggest LG may decide to restructure its business or withdraw from the mobile phone market.

Author: Mash Yang
2021-01-20
in Market dynamics, 手機
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Although the Wing, a dual-screen phone with a flip-up top screen, launched last year as part of the Explorer series, attracted a lot of attention, it also previewed a phone that can change the screen size by stretching it during CES 2021.rollable, and at a time when the market has changed its perception of LG's mobile phone product R&D technology, LG is rumored to be able to readjust its mobile phone business development model.

Reports suggest LG may decide to restructure its business or withdraw from the mobile phone market.

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according toThe Korea Herald reportedIt is said that LG CEO Kwon Bong-seok revealed in a statement to internal employees that in the current increasingly fierce competition in the smartphone market, he will review his own situation and expects to make the best decision for future development.

LG has not yet disclosed whether it will withdraw from the mobile phone market, readjust its product strategy, or even further reduce its product scale. Previously, relevant news had indicated that LG planned to use the OEM licensing model in the future.Transfer to external partiesCreate mid-range and entry-level mobile phones, while retaining the research and development business of the Explorer series of mobile phones, which has higher profit opportunities.

LG's past mobile phone products have actually incorporated a lot of innovative ideas, such as being the first to introduce OLED screens in mobile phone products, adding curved screens and self-repairing back cover designs. In addition, it has also added a lot of operating experiences using floating gestures, as well as dual-screen usage and multi-lens photography application modes.

The Wing launched last year and the Rollable unveiled earlier this year actually show that LG does have certain strengths in innovative design of mobile phone products. However, unfortunately, it has never been able to successfully drive sales in the market. As a result, LG has considered whether to withdraw from the mobile phone market competition in the past, and even decided to cancel the update of the G series and V series flagship phones.

Even though last year it was expected that mobile communication services would be available in 2021Restore profitabilityAt the same time, the implementation of the new phone strategy last year did make the mobile phone businessRecoveryHowever, considering that it is still in a loss-making state, LG may have to carefully consider whether to continue to develop its mobile phone business.

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Tags: ExploreLGrollableWing
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Mash Yang

Mash Yang

Founder and editor of mashdigi.com, and student of technology journalism.

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