LG to shut down its brand of smartphones in Nigeria.anyevalentine | 06.04.2021 | 0 | Tech , World
LG who has been struggling to compete with other smart brands in Nigeria is due to shut down its business in Nigeria. LG to shut down its brand of smartphones in Nigeria
LG to shut down its brand of smartphones in Nigeria. The closure of the mobile business will not only be in Nigeria, as the electronics manufacturer is planning the winding up for its global market. LG is losing out in the competitive market to iPhone, Samsung and Huawei, and other budding brands.
The South Korean company has laid out its plan to shut down not only in Nigeria but Africa as a whole. Its smartphone sales dropped more than its electronics. They are faced with powerful brands like, Infinix, Tecno, Samsung, Intel, etc, who have taken over the market.
As of March 2021, Tecno holds 27.35%, Infinix accounts for 19.09%, Samsung has 11.95% and Apple takes 8.25% of the phone vendor market according to togs. StatCounter, while itel and Gionee are also ahead of LG, which wasn’t listed.
The financial department of LG has account a consecutive loss especially in the third quarter of 2020, where a whopping sum of $750.53millions lost due to a drop in sales.
Operating loss recorded from October to December 2020 was put at $222.93 million by the company. This reflects the negative financial situation the phone business is caught in Nigeria and other markets.
LG says it will shut down in those and cut resources in those areas where they experience a drop in sales and concentrate on areas with high sales. They will also concentrate their intelligence on electric cars, robotics, high intelligence devices, etc. LG to shut down its brand of smartphones in Nigeria
Despite their fall in sales in this area like Nigeria, their shutdown won’t be completely cos inventory sales will continue. Read their company’s statement below…
“LG will provide service support and software updates for customers of existing mobile products for a period of time which will vary by region. LG will work collaboratively with suppliers and business partners throughout the closure of the mobile phone business. Details related to employment will be determined at the local level. “Moving forward, LG will continue to leverage its mobile expertise and develop mobility-related technologies such as 6G to help further strengthen competitiveness in other business areas. Core technologies developed during the two decades of LG’s mobile business operations will also be retained and applied to existing and future products.”