<Anchor>
LG Electronics decided to withdraw from the mobile phone business after 26 years.
We will no longer be able to see new mobile phones made by LG in the future, but after-sales service for existing customers will be maintained.
This is reporter Han Ji-yeon.
<Reporter> With
the popularity of feature phones such as chocolate phones and Prada phones, LG Electronics' mobile business once rose to the third place in the world market.
However, entering into smartphones later than competitors was a decisive factor of failure.
Eventually, we could not overcome the deficit for 23 consecutive quarters and 5 trillion won in accumulated deficit, and decided to close the phone business after 26 years as of July 31st.
The sale was negotiated with German Volkswagen and others, but nothing happened.
With LG's abandonment of business, which had a 10% market share in the domestic market, Samsung Electronics' focus is expected to intensify.
[Kwon Seong-ryul/DB Financial Investment Industry Analysis Team Leader: I have to go to Samsung or Apple, but if someone who continues to use Android wants to use an Apple iPhone, it is a bit burdensome.
It's only Samsung Electronics.]
Chinese products such as Xiaomi will also make some progress in the mid- to low-end market, but the limited brand credibility is low.
LG Electronics said that it will continue to follow-up management such as quality assurance, repairs, and OS upgrades even after the business is over.
[LG Electronics Service Center: Consumables for mobile phones can be purchased according to the parts retention period of existing products.
We are preparing to support OS upgrade as well.] More
than 3,700 people in the mobile division are relocated to affiliates, and the R&D of core mobile technologies such as next-generation TVs and robots continues.