LG officially closes its cellphone business

KOMPAS.com – LG Electronics officially closed business his cell phone as a whole. The decision was announced directly by LG’s board of directors on Monday (5/4/2021).

According to LG in written statement, this closure was caused by the very tight competition in the smart phone business.

Although the business unit was closed, LG said that cellphone accessories and accessories are still available.

Also read: LG to build electric vehicle battery factory by the end of March 2021

LG will also continue to support service and software updates (software) for users with varying durations in each region.

Neither the employees’ fate nor their status after the closure of the LG mobile phone business remains unclear. The process of closing the business itself is expected to be completed around the middle of this year.

“The closure will be completed on July 31, 2021, although some stock models will still be available after that date,” wrote LG.

Earlier in January, it was reported that LG wanted to sell its cellphone business to a Vietnamese conglomerate company, Vingroup Co.

With the closure of the mobile phone business unit, LG has also halted development of its folding screen phones, and postponed all plans to launch new phones in the first half of 2021, as compiled. KompasTekno from The Verge, Monday (5/4/2021).

Also read: LG Announces Velvet, New Mobile Line to Substitute the G Series

Although often spawned innovative models, the LG name itself is less shining in the cellphone industry. Efforts to rise up by launching LG Red Velvet and LG Wing products in 2020 have not succeeded in lifting the LG cellphone business.

After closing the cell phone business, LG said it would focus on developing other business units such as electric vehicle components, smart devices, technology robotics, Artificial Intelligence (artificial intelligence, AI), as well platform others on various fronts.

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