It turns out negotiations between LG and Volkswagen and Vingroup JSC in Vietnam on the possible sale of the smartphone business has failed. Also, LG has suspended its plans to launch all new smartphones in the first half of the year. In other words, because LG has not found a suitable buyer to take over its smartphone business, it had to shut it down.
LG’s smartphone business has suffered losses for 23 consecutive quarters since the second quarter of 2015. As of the fourth quarter of last year, the department’s accumulated losses reached 5 trillion won (approximately US$4.43 billion). So this could become a good deal.
In this regard, some users expressed regret that in the field of smartphones, LG once became the world’s third largest smartphone manufacturer, second only to Nokia and Samsung. However, it is a pity that the former ‘overlord’ is now rumored to close the smartphone business.