LG hasn't turned a profit on smartphones for years, but it says that will change by 2021. No really, for real this time. The promise comes from LG Electronics CEO Kwon Bong-seok, who addressed the company's mobile struggles during a press conference at CES. Bong-seok didn't offer any specifics on how LG would do this, but it sounds like we might be in for some weird phones.
Here's the full quote from Kwon Bong-seok.
LG Electronics mobile business is going to be profitable by 2021. I can say we can make that happen as LG Electronics will expand our mobile lineup and steadily release new ones attached with some wow factors to woo consumers.
LG, as an overall company, makes plenty of money, thanks mostly to its highly successful appliance and entertainment divisions. LG Mobile was profitable during the first half of the last decade, but it's been eating away at the bottom line ever since. The best LG has been able to hope for is losing less money on smartphones, which it has managed to do in the last few quarters.
Now, the goal is to actually earn a profit on mobile devices by next year. Kwon Bong-seok didn't offer any examples of the "wow factors" we can expect in LG phones. He was, however, clear that LG will expand its mobile offerings. More phones might not get the job done if the wow factors end up being more dual-screen gimmicks. We'll keep an eye on the company's financial results -- data for the last quarter of 2019 should be available soon. That'll show how far LG has to go before it can fulfill its promise.
- Korea Times