Rumors about it have been spreading for months, and now it’s finally official: LG announced that it would be leaving the smartphone industry this morning. In a press release, the company confirmed that it expects to complete exit formalities before July 31, 2021.
For most of our tech-savvy readers, LG’s announcement came as no surprise. The letter was on the wall of the smartphone department of a Korean company after being on a loss-making wave for six years. The losses were more than $ 4.5 billion, according to a Reuters report.
The final straw was the company’s inability to contract with potential buyers. LG was reportedly in talks with the Vietnamese Vingroup, which was interested in acquiring the mobile division. That didn’t happen, however, and negotiations ended with LG leaving no choice but to close the deal altogether.
When LG’s mobile division ceases to exist on July 31, 2021, a 19-year journey that began in 2002 with the launch of the LG B1200 mobile phone will end.
Interestingly, after Samsung and Apple, LG is still the third-largest smartphone supplier in the USA with a market share of around 10%. However, LG has been destroyed in other countries, particularly Asia, where the relentless onslaught of highly competitive Chinese brands proved too much for LG. The fact that LG also had a very confusing product strategy didn’t help their reason.
If you have an LG smartphone and are thinking about future software and support updates, there is an FAQ page that will attempt to answer your questions. The content of the FAQ page differs slightly in different markets. Here you can find links to FAQ pages for different countries