South Korean manufacturer, LG, had a really hard time competing in the smartphone market. After consecutive quarters of losses, the company eventually had to pull out of the Chinese smartphone market. However, the losses were not just in China, it continues even in its home country, South Korea where the likes of Samsung is running riot. Eventually, LG had to pull out of the smartphone market entirely. Despite LG’s pull out of the smartphone market, some of its devices were still on the shelves. The company will still provide software updates for these smartphones for three years.
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Recent reports reveal that LG’s last smartphone, LG Velvet, has been removed from AT&T’s website, (US carrier ). This means that the era of LG smartphones is officially over. In April 2021, LG announced its withdrawal from the smartphone market due to continued losses in the mobile phone business.
LG claims that in the case of intense competition in the industry, the performance of the company’s mobile division is too sluggish. Thus, it had no option but to exit the market. Going forward, LG will focus its resources on developing other emerging growth areas. Some of these areas include electric vehicle spare parts, IoT devices and smart home products.
LG glory days are over
After announcing its withdrawal, LG mobile phones on the market will continue to sell. However, the company will not make any new units. This time, the US operator AT&T removed LG mobile phones from the website, which means that LG mobile phones are officially exhausted.
According to public reports, in 1995, LG established a mobile phone research and development department. This department hit its peak in 2013. At the time, LG was the third-largest smartphone maker in the world, after Samsung and Apple. But later, software and hardware failures on LG’s flagship products, coupled with slow system software updates, made the brand gradually lose popularity among consumers.