It was reported earlier this year that LG could be looking to exit the smartphone market. The company was initially planning on selling off its smartphone division and the reports suggested that there could be an interested buyer in Vietnam, but unfortunately it seems that those discussions did not pan out.
So much so that according to a report from Yonhap News in Korea, LG might simply shut down the division instead of selling it. The report claims that LG’s smartphone business has actually been losing the company money since the second quarter of 2015, with accumulated operating losses hitting around $4.4 billion last year.
This means that for every day that the company’s smartphone business continues to operate, the more the company is losing money. LG was initially developing a rollable smartphone that they planned to launch later this year, but it was reported last month that the company had put those plans on hold.
LG used to be the third largest smartphone maker in the world, but unsurprisingly their position has since been usurped by the influx of Chinese smartphone makers, like Huawei, Oppo, and Xiaomi, who have dominated the market since. It will be kind of sad to see LG exit the market, but we suppose it doesn’t make sense for them to stay if they are unable to make a comeback and start being profitable again.