South Korean company LG refuses to produce smartphones due to unprofitable work and high competition. This is reported by Yonhap agency with reference to the company’s statement.
In LG reported that the mobile unit will stop the production of phones from July 31. The company’s refusal from the production of smartphones will lead to a decrease in income in the short term, but ultimately improve its financial position and management efficiency, noted in LG.
According to the agency, Mobile Business LG began to incur losses in 2015. Last year, the total amount of damages amounted to $ 4.4 billion yonhap with reference to representatives of the industry conveys that LG discussed the sale of smartphones with the Vietnamese conglomerate Vingroup and the Volkswagen German AutoContander, but it was not possible to achieve success in the negotiations.
Reuters with reference to the application of the company transmits that the refusal to produce smartphones will focus on other areas, including electric cars, Internet of things and business solutions.