Electronics giant LG has announced that it is closing its mobile phone division, with the expected wind down of the business expected to be completed by 31 July.
Once the third-largest smartphone supplier in the world, responsible for industry innovations such as introducing wide-angle cameras, the South Korean behemoth has seen its phone division bleed $4.5 billion (approximately £3.2 billion / AU$5.9 billion) in the past six years.
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"LG Electronics Inc. (LG) announced that it is closing its mobile business unit," said the company in an official statement.
"LG will provide service support and software updates for customers of existing mobile products for a period of time which will vary by region," adding that, "the wind down of the mobile phone business is expected to be completed by July 31 although inventory of some existing models may still be available after that."
In a separate statement, LG confirmed that warranties for existing products would be honored and replacement parts would continue to be available. It also noted that the Android 12 OS update would be rolled out, though noted that LG applications Qlens and PC Tool for products released before 2019: PC Suite / LG Mirror Drive will no longer be supported after mobile business operations end.
"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," stated the company on its future.
"Moving forward, LG will continue to leverage its mobile expertise and develop mobility-related technologies such as 6G to help further strengthen competitiveness in other business areas. Core technologies developed during the two decades of LG’s mobile business operations will also be retained and applied to existing and future products."