LG is preparing to sell its mobile business -
Geeko
Times are hard for the Korean group LG, which has seen its market share melt like snow in the sun in the mobile segment.
The Korean company may innovate, it no longer manages to attract young people.
The boldness of the manufacturer has been reflected in recent months through a series of models with very original looks, like the LG Wing, a smartphone with two superimposed screens.
Globally, LG currently has less than 3% market share in the mobile segment, compared to 15.4% five years ago.
The activity is no longer profitable for the group, which would now like to concentrate its efforts on other sectors.
In January 2021, LG had admitted to studying several options for its mobile activity.
"It is time for LG to make a cold judgment and the best choice," said an LG official in a statement sent to all employees and recovered in passing by the
Korea Herald
.
“The company is considering all possible measures, including the sale, withdrawal and downsizing of smartphones.
"
A buyer already approached
According to the BusinessKorea site, the Vietnamese company Vingroup has already made a takeover proposal to the Korean group.
The acquisition of LG's mobile business would allow the Vietnamese mass-market giant to get its hands on a major talent hub but also to tackle new markets.
In the United States, LG still represents no less than 13% of mobile sales.
Other players could also show up and raise the stakes.
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