LG Electronics is ceasing to produce smartphones due to strong competition in the market.
It is specified that over the past six years the company has lost about 4.5 billion dollars.
LG said that it constantly faces software problems with its smartphones amid the dominance of the market by Samsung and Apple phones. Because of the losses, the company was negotiating to sell part of the business. However, it was not successful.
“LG’s strategic decision to exit the extremely competitive cell phone sector will allow the company to focus resources in growth areas such as electric vehicle components, peripherals, smart homes, robotics and artificial intelligence,” the press release said.
LG shipped 28 million phones last year, while Samsung shipped 256 million, according to a report by research firm Counterpoint.