LG shifting its focus away from smartphones? Absolutely not!
posted by Alan F. / Nov 22, 2013, 1:46 AM
"Reports of LG shifting its priorities away from smartphones are completely untrue. This is a rumor based on non-credible sources and uninformed speculation. We are more committed than ever that we will be a major player in the mobile space. But don’t just take our word on this, look at the products we’ve introduced this year as evidence of our commitment and capabilities."
You would think that these would be great days for LG in the smartphone industry. The LG G2 is one of the most powerful and popular Android models and the Korean OEM is also known for its most recent stock Android handset, the Nexus 5. Still, LG doesn't appear to be terribly happy with these achievements. Even launching a phone with a unique form factor in the LG G Flex has failed to keep LG from thinking about concentrating on other industries.
According to those in the Korean media, LG is going to reduce its focus on smartphones. This is sad considering how far the company has come. LG's first U.S. smartphone, the LG Incite, suffered from a poor build quality` and the company has worked hard to get to where it is now. Those in the know say that LG is shifting its manpower from smartphones to televisions. LG’s Vice-Chairman Koo Bon-joon allegedly still believes that smartphones will be an important industry in the long run, but in the short run, the executive feels that LG needs to play it safe by focusing on a business that it is doing very well in right now.
LG isn't sure if it will reduce headcount in its smartphone division gradually, or if it will do it all at once. R&D payroll will probably not get touched, but smartphone support staff will probably see the loss of a number of employees. LG might see the smartphone business as cyclical while producing televisions could be a steadier contributor to the bottom line.
Keep in mind that LG isn't disappearing from the smartphone industry completely, just cutting back on how much of the company will be devoted to the device.
source: ETNews via GforGames
Posts: 2933; Member since: Oct 08, 2012
Couldn't compete with the big monopoly (Samsung). Oh wells.
posted on Nov 20, 2013, 2:29 PM 15
Posts: 3718; Member since: Nov 03, 2012
That's not true, but this thing would keep them very much behind in the competition.
posted on Nov 20, 2013, 11:33 PM 2
Posts: 2248; Member since: Feb 14, 2011
I feel like people either don't actually read these articles or they are missing the big picture. No where does it say that LG is going to stop or even slow down on it's smartphone production. All it's saying is that they are shifting their focus to televisions so that they can take the revenue from that (since it's already a successful business and has the potential of getting them far more revenue than their smartphone business) and put that revenue back into investments in their smartphone industry. It is by far the smartest move they could ever make. They make more money by selling televisions than they do by having their entire focus on smartphones. If this works out the way they want it to, then it will mean the budget they have for their smartphone industry will be significantly more next year than it is this year. I mean just to give you some numbers: LG makes only a $200 million revenue from smartphone sales versus a $4.5 BILLION revenue from television sales. So now imagine if some of that revenue trickled back into their smartphone business. They could REALLY be making some innovative products then. By the way, Samsung "shifted their focus" to displays a couple of years ago as well which enabled them to produce some of the display technology you see in Samsung smartphones today.
posted on Nov 21, 2013, 1:13 AM 12
Posts: 308; Member since: Sep 14, 2013
Damn it lol... I just bought an LG G2 (The best phone I ever had) after owning Samsungs for years, oh well...
posted on Nov 20, 2013, 2:35 PM 19
Posts: 14; Member since: Dec 09, 2010
Yeah. Same here. Such a great phone! Now I'm sort of regretting getting it over the Nexus 5... Damn, oh well. :P
posted on Nov 20, 2013, 2:43 PM 3
Posts: 182; Member since: Oct 14, 2011
same boat here. :/
posted on Nov 20, 2013, 2:49 PM 0
Posts: 30778; Member since: Feb 05, 2011
Only two smartphone makers matter. Apple and Samsung, the rest just fill in the pie.
posted on Nov 20, 2013, 2:43 PM 11
Posts: 308; Member since: Sep 14, 2013
posted on Nov 20, 2013, 2:55 PM 20
Posts: 4062; Member since: Jul 23, 2013
But the problem is the US government, they are anti-competition to a ridiculous extreme. Not only will they not let the Chinese sell their phones here, they won't even let them make it locally and sell it (only the NSA can spy on US citizens). They won't even let the Koreans have justice on the locals. Without competition, everyone will suffer in the US other than Apple who largely sits on their laurels for years. So do not expect the monopolies to break in the US, expect it in the EU and other regions.
posted on Nov 21, 2013, 8:54 AM 1
Posts: 399; Member since: May 18, 2013
Yup. But Apple is going aside little by little. Who will take Apple's place? It's scary Samsung to take over all the market alone.
posted on Nov 20, 2013, 2:59 PM 1
Posts: 3535; Member since: Dec 21, 2012
You're so fuc*ing stupid that it annoys me. It's like you don't allow anything that you don't like to be in this world. Like you don't want ANY competition in this world. And that you don't want any changes. That you would buy even a toilet made by apple. Even if it looks the same, has the same features than a normal toilet but has an apple logo on it and costs 10x more. All that comes to my mind about you is Hitler. Just want's one thing to dominate the world. What a stupid idea.
posted on Nov 22, 2013, 12:01 PM 0
Posts: 520; Member since: May 02, 2013
I don't think the name calling was called for. Soon as you called dark fuc*ing stupid you lost all creditability. I think what he was meaning is that Apple and Samsung are the only ones making money and have the most marketshare, the ones that are most talked about. He never said anything like what your implying. He never said anything about wanting Apple to dominate the world. I think you need to chill and let others have their own opinions, just like you have yours. You obviously have a hate for Apple, but that doesn't mean everyone does or should. So what if dark has a preference for or likes Apple products, his choice and his money. I honestly don't think you should concern yourself so much with his preferences. He also never implied he didn't want any competition, your just freaking out on him over a simple post. I think you need some Ativan or just need to take a break from the computer as you sound pretty fanatic and are putting words in his mouth that he never said.
posted on Nov 22, 2013, 2:45 PM 0
Send a warning to post author
Send a warning to Selected user.
The user has 0 warnings currently.
Next warning will result in ban!
Ban user and delete all posts
Message to PhoneArena moderator (optional):