LG Electronics, once a major player in the global mobile market, officially withdrew from the smartphone business on July 31, 2021. It was a difficult decision made after years of persistent losses, but it served as an opportunity for LG Electronics to prepare for a new leap forward. While many consumers expressed regret, remembering the unique designs and innovative features of LG smartphones, LG's innovative DNA is evolving more powerfully beyond the realm of mobile into other core business areas. This article examines how the legacy of LG Mobile is permeating LG Electronics' current diverse technologies and products to create new value.
LG Electronics' withdrawal from the smartphone business was due to 23 consecutive quarters of operating losses starting from the second quarter of 2015, resulting in accumulated losses of approximately 5 trillion Korean won. At the time, LG attempted a turnaround by introducing innovative form factors like the Rollable phone, but ultimately decided to end the business amidst the duopolistic market structure and fierce price competition. This was not a simple abandonment of business, but a strategic choice to optimize internal resources and concentrate capabilities on core businesses where competitive advantages could be secured. Following the withdrawal from the mobile business, LG Electronics has successfully restructured its business operations, focusing on securing future growth engines such as automotive components, smart home appliances, robotics, and artificial intelligence (AI).
Although the production of complete smartphones has ceased, LG Electronics continues its core mobile technology research and development for future preparedness. In particular, 6G mobile communication, high-performance camera modules, and software capabilities are essential elements for LG's diverse products and solutions, including next-generation TVs, premium home appliances, automotive components, and robots. For example, 6G communication technology will play a crucial role in the automotive business in preparation for the era of autonomous driving, and advanced software and sensor technologies are integrated into AI-based smart home solutions. LG is actively utilizing the technological assets and know-how accumulated from its mobile experience to enhance the competitiveness of its existing businesses and create new business opportunities.
LG Electronics has officially stated that there are no plans to re-enter the smartphone market. However, if LG were to reintroduce smartphones, expectations for innovative form factors like the past Rollable phone remain high. Furthermore, there have been recent reports that LG Uplus is collaborating with Samsung Electronics to launch the 'Galaxy ixi-O,' which enhances AI features. This represents a form where the telecommunications company's AI services are integrated, and it is distinct from LG Electronics' direct re-entry into smartphone manufacturing. Nevertheless, such movements are interesting examples showcasing how LG's AI and communication technologies can contribute to the mobile experience. Consumers still imagine new types of smart devices that combine LG's unique design philosophy with user-centric AI technology.
LG Electronics is focusing on building smart life solutions based on AI and the Internet of Things (IoT). A smart home ecosystem where home appliances, TVs, and automotive components are organically connected is LG's core vision. In this environment, smartphones can no longer be simple communication devices but can serve as 'smart hubs' that control all devices and integrate information. Through 'ThinQ,' its proprietary AI platform, LG offers users a more convenient and personalized experience, embedding the essence of mobile technology throughout its smart life solutions. LG's future lies not in smartphones themselves, but in the connected experiences extended by smartphone technology.
Although LG Electronics left the smartphone market, leaving a sense of regret, their spirit of innovative challenge has not disappeared. Instead, based on the technological assets and experience gained from mobile, they are building stronger competitiveness in future core business areas such as AI, 6G, automotive electronics, and smart homes. LG is now shifting its focus beyond the single product of smartphones to provide differentiated value to customers through 'smart life solutions' where all connected devices and services operate organically. LG's innovative DNA is still alive and evolving into new forms, enriching our lives. You can find the latest news from LG Electronics at the LG Electronics Newsroom.
Q1: Will LG Electronics release a new smartphone in 2026?
A1: No. LG Electronics officially withdrew from the smartphone business in July 2021 and has no plans to re-enter the smartphone market to date.
Q2: What happened to the Rollable phone that LG developed?
A2: The LG Rollable phone could not be officially released due to the decision to withdraw from the business. However, the technology may be utilized in LG's other display-related research and development.
Q3: Where is LG's mobile technology currently being utilized?
A3: LG Electronics continues its research and development of core mobile technologies such as 6G communication, cameras, and software, integrating them into various future business areas including next-generation TVs, home appliances, automotive components, and robots.
Q4: Is LG Uplus's 'Galaxy ixi-O' an LG smartphone?
A4: The 'Galaxy ixi-O' is known to be an AI phone that LG Uplus will introduce in collaboration with Samsung Electronics. While it will feature LG Uplus's AI services, it is not a smartphone directly manufactured by LG Electronics.
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