Categories: LifeNews & Alerts

LG is shutting down its smartphone business

The third-largest manufacturer of mobile phones in North America has decided to focus on other areas of its business, from robotics and artificial intelligence to electric vehicle components.

LG Electronics announced on April 5 that it will be ending its production of cellphones and smartphones. Apple and Samsung, who are ahead of LG in terms of the U.S. market share for smartphones, have produced far more smartphones in the last several years.

While it once was early to pioneer new cellphone features like ultra-wide-angle cameras, LG has lost $4.5 billion in its mobile division in the past six years, according to Forbes.

The South Korean company also had many innovation fails, as Tech Radar pointed out.

Adobe

Apple has dominated the mobile phone business in recent years, with more than 40% of the U.S. market share every quarter between 2019-2020. Samsung is the next largest maker, with about 20-30% in the same time period. LG hovered between 9-13%.

“LG’s strategic decision to exit the incredibly 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,” LG said in its announcement.

Wireless carriers AT&T, Verizon and T-Mobile have LG phones as part of their plans, and those mobile phones are often cheaper than Apple or Samsung devices.

Adobe

LG expects to “wind down” its mobile production by July 31, though you may still be able to find existing inventory after that date. The company said it would continue support for existing LG phone customers for a period of time that will vary by region. Whether it keeps up with Android OS updates remains to be seen. This was a problem area for the company even before its announcement that it was stopping phone manufacturing.

Do you have an LG phone? What do you think about the company’s decision to stop making cellphones?

Anna Weaver

Anna Weaver is a writer and multimedia journalist born, raised, and living back in her home state of Hawaii. Her two young kids keep her on her toes and hooked on online shopping.

Recent Posts

Chipotle is raising wages and hiring 20,000 workers

In a bid to attract more employees, Chipotle is raising its average hourly wage to…

22 hours ago

Applebee’s is hiring 10,000 employees, from dishwashers to managers

Applebee's is holding a National Hiring Day at all 1,600 of its restaurants nationwide on…

2 days ago

Free Crocs for healthcare workers: Here’s how to get your pair

In March 2020, Crocs gave away more than 860,000 (valued at $40 million) pairs of…

2 days ago

Best Fitness Trampoline 2021

If you are getting bored with your home fitness equipment and are ready to add…

3 days ago

Hershey’s recalls chocolate shell topping nationwide

If you've purchased Hershey's chocolate shell topping recently, you may want to check your cupboard.…

6 days ago

Peloton recall: What you need to know about the treadmills that have caused injuries and 1 death

At-home fitness company Peloton recalled two of its exercise equipment products on May 5, reversing…

7 days ago