LG Electronics Inc. is shutting down its struggling mobile phone business. The company instead plans to refocus its efforts on electric vehicle components, connected devices, smart homes, robotics, artificial intelligence and business-to-business solutions and platforms and services.
The company said that while it will no longer be producing mobile devices, it will still provide software updates for its existing lineup of mobile products and offer support to customers for a certain period of time, which will vary by region.
It remains unclear how the company’s decision will impact its workforce.
Moving forward, the electronics giant plans to leverage its mobile expertise to develop mobility-related technologies such as 6G, which will help it gain a competitive edge in other business areas.
The mobile phone business is expected to officially close by July 31, 2021. Existing inventory of particular models, however, may still be available after that.