LG confirms closing of mobile phone business worldwide
LG Electronics Inc. (LG) has officially announced to close its mobile business unit. The company revealed that the decision was approved today, April 5, by its board of directors.
According to LG, the decision to exit the 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.
However, the current LG phone inventory will continue to be available for sale. LG will still provide service support and software updates for customers with existing mobile products for a period of time, varying by region. Additionally, the company mentioned working collaboratively with suppliers and business partners throughout the mobile phone business’s closure. Meanwhile, the details related to employment will be determined at the local level.
Furthermore, LG revealed that it would continue to power its mobile expertise and develop mobility-related technologies such as 6G to strengthen competitiveness in other business areas. Core technologies developed during the two decades of LG’s mobile business operations will also be retained and applied to existing and future products.
Shutting down of LG’s mobile phone business is expected to be completed by July 31.