The Fall of a Giant: Why LG Had to Exit the Smartphone Business
The Fall of a Giant: Why LG Had to Exit the Smartphone Business For decades, LG was the king of innovation and "cool." From the legendary Chocolate Phone to the high-end Prada Phone , LG defined what a mobile device could be. However, in April 2021 , after 23 consecutive quarters of losses totaling nearly $4.5 billion, LG finally called it quits. While LG still thrives in home appliances and vehicle components , its absence in the smartphone market is still felt. Let’s look at the four major reasons why LG’s mobile division couldn't survive. 1. The "Sandwiched" Identity: Stuck Between Giants and Newcomers (샌드위치 신세: 거물과 신예 사이에서 길을 잃다) LG’s primary struggle was a lack of a clear market identity. In the premium segment, it was perpetually overshadowed by the "duopoly" of Apple and Samsung. Consumers who wanted prestige chose the iPhone ; those who wanted the best Android experience chose the Galaxy . On the other end of the spectrum, aggressive Chine...