LG management has admitted that they are considering withdrawing from the smartphone market, although they initially declined. The company may sell its mobile device division to the Vietnamese Vingroup holding, which offers a very attractive offer
There were reports recently that LG was planning to withdraw from the smartphone market by selling its mobile device division. However, company officials described these allegations as “unfounded”.
For the company, which is going through tough times, divesting its mobile device division seems to be the “inevitable end”. LG Electronics CEO Kwon Bong-Seok recently announced that the company could withdraw from the mobile market.
Potential buyers began to become clear with the LG management changing their mouths and accepting the situation. According to Business Korea’s report, LG may sell its mobile device segment to the Vietnamese Vingroup holding.
The offer is very attractive
Vingroup is said to have made an attractive offer to LG. Most likely the company will accept this. For those who don’t know, let’s say that Vingroup is Vietnam’s third largest smartphone manufacturer after Samsung Electronics and OPPO.
LG’s mobile device division has been at a loss for 23 quarters. The company tried to change that by launching smartphones with new designs and unusual form factors, but failed. The company’s latest project was the LG Rollable model with a rolling screen, which was exhibited at CES 2021.