LG's Smartphone Business On The Edge

JAKARTA - Rumors that LG will exit the smartphone business are increasingly being heard. Because for the last six years, LG's smartphone division has not provided satisfactory sales.

In fact, a report states that if there are Vietnamese companies interested in buying LG's smartphone division. Including the possibility that the South Korean mobile phone manufacturer will close the smartphone division instead of selling it.

"The accumulated operating losses of LG's smartphone business will reach USD 4.4 billion in 2020," as quoted from Ubergizmo, Friday, March 26.

This report claims, LG's smartphone business has actually suffered a loss since the second quarter of 2015. In fact, LG recently released a smartphone with a rotating screen.

For your information, LG had become the third smartphone maker in the world. However, this position is taken by smartphone companies from China such as Huawei, Oppo, and Xiaomi, which over time continue to dominate the smartphone market.

It's a bit sad if LG really leaves the smartphone business. But of course, LG will also not take the risk of surviving its low number of sales.

This rumor became more widespread after LG reportedly delayed the launch of their first roll screen smartphone, the LG Rollable. Quoted from Yonhap, an anonymous source said LG asked component suppliers to delay production.

"I firmly deny that action is being taken against the future of mobile products that the company has decided on," said a spokesman for LG as reported by The Verge.

Of course, with the current COVID-19 pandemic conditions, it is not impossible that the development and production of new smartphones will experience problems. Given, LG's plans for a comeback in the smartphone market will be delayed indefinitely.