2021 will mark the year when LG mobile decided to close business– the company confirmed today. The decision 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,” LG said in a statement.
The company assures its users that the existing phones will remain on sale, and will continue to be supported “for a period of time which will vary by region.” There is no word when it comes to possible layoffs except that “details related to employment will be determined at the local level.” LG says it expects to have completed the business’ closure by the end of July this year.
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This news will not come as a surprise to smartphone pundits. Reports that LG has been considering exiting smartphones have been around since at least the beginning of this year. Following the division’s huge losses over the past five years. Once considered a rival to fellow South Korean manufacturer Samsung, LG’s recent high-end smartphones have struggled to compete, while its more affordable handsets have faced stiff competition from Chinese rivals like Xiaomi. Today’s news means LG’s long-teased rollable phone is unlikely to ever see the light of day.
