After suffering from several years of losses, LG will shut down its mobile division for good globally–and not just in the Philippines as it announced two years ago. In a decision made by the board of directors, the strategic decision is meant for LG to focus on growth areas like EV components, connected devices, smart homes, robotics, artificial intelligence, and b2b solutions. That being said, the Wing is LG’s last official smartphone, and that other LG phone prototypes will never see the light of day.
Because of the decision, LG will be selling all remaining phone inventory and provide support and software updates for its customers for a period of time. On the latter part, the G7 One–the brand’s only Android One Phone–is receiving Android 11, while users of the V60 ThinQ 5G Canada should be receiving Android 11 by now. As LG wraps up its mobile division, the Korean brand expects to completely wind down by July 31. For employees under the mobile division, LG has yet to announce details about it, though reports said that they will be relocated to the home appliances division.
This shut down news is not surprising, as the mobile division of LG has been incurring losses for close to six years, despite making $2.77 billion in revenues in 4Q 2017 thanks to the the Q6,the V30, and the X4.
Other factors that contributed to this development is LG’s constant struggle with establishing themselves against strong rivals like Xiaomi, vivo, OPPO, and fellow Korean brand Samsung. While LG will no longer make mobile phones, it will commit to develop mobility-related technologies such as the development of 6G networks.”Core technologies developed during the two decades of LG’s mobile business operations will also be retained and applied to existing and future products,” LG said in its press statement.