Electronics giant LG has confirmed it will no longer make smartphones, shuttering its mobile business world side.
"LG's strategic decision to exit the incredibly competitive mobile phone sector will enable the company to focus resources in growth areas such as electric vehicle components, connected devices, smart homes, robotics, artificial intelligence and business-to-business solutions, as well as platforms and services," said the company in a statement.
"Current LG phone inventory will continue to be available for sale. LG will provide service support and software updates for customers of existing mobile products in accordance with its contractual obligations, manufacturer’s warranty and Australian consumer laws. LG will work collaboratively with suppliers and business partners throughout the closure of the mobile phone business. "
LG expects its mobile business will be fully wound down by July 31, although some stock may still be available after that date.
The division closure has been rumoured for several months, with reports popping up in January this year.
LG has made plenty of attempts to differentiate its smartphones in recent years, but none have had any significant cut through. These have included the modular LG G5 which featured removable components, the LG G8 with touch-free gestures, the LG V50 with a dual screen accessory, and most recently, the LG Wing swivel phone. The LG Wing was not made available in Australia.
LG's last launch in Australia was the Velvet. The Velvet marked a change in direction for the manufacturer; instead of going toe-to-toe with Apple and Samsung flagships, it was a semi-premium offering at a sub-$1,000 price point. Yet despite some trimmings like water-resistance and wireless charging, we found it failed to stand out from the increasingly crowded competition in the upper midrange space.
Given LG's decision to shut up shop, it seems unlikely its rollable device - the LG Rollable - will go on sale as reported in 2021. Manufacturers such as OPPO and TCL are however working on their own rollable devices.
Alex Choros
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