Connect with us

Hi, what are you looking for?

News

LG Electronics Shuts Down Smartphone Production Over Multi Billion Dollar Losses

LG Electronics, South Korea’s second-largest appliance firm, has announced it will be closing down its mobile phone business, after losing billions of dollars in recent years.

The company announced Monday, April 5 that the phone production unit has recorded losses for 23 consecutive quarters since 2015, with the cumulative deficit reaching about 5 trillion won ($4.4 billion) by the end of last year.

The firm was once considered a pioneer of the Android operating system, collaborating with Google in the early 2010s but it has struggled to increase sales, entering the market late and facing tough competition from cheaper Chinese rivals such as Huawei.

The division has “failed to produce results” amid “intensifying price competition among major competitors in the entry-level mobile phone market”, the company said in a statement.

The decision will enable the firm to “focus resources in growth areas such as electric vehicle components”, robotics and smart homes, it added

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

ad

You May Also Like

Tech

Samsung Electronics has taken a bold step in enhancing user experience and inclusivity by introducing Hausa, Igbo, and Yoruba as official language options on...

Tech

National Identity Management Commission (NIMC) has announced a milestone achievement, with over 117 million Nigerians now enrolled for the National Identity Number (NIN) as...

News

MTN Media Innovation Program (MIP), a six-month fully-funded certificate fellowship designed for media professionals, is redefining journalism and content creation in Nigeria. Now in...

News

Arik Air in 2024, airlifted 2,239,176 passengers between January 1, 2024, to December 31, 2024, a report sourced from the Nigeria Civil Aviation Authority...