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LG Stops Production Of Smartphones, Repurposes Facilities For Home Appliances

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LG has officially stopped the production of smartphones. The company announced its exit from the smartphone business early last month but continued the production of some models to supply to carriers who had already placed orders for the phones. As of May 31st, the Korean firm has reportedly completed the delivery of those orders. It has now closed operations at its smartphone production facility in Vietnam and is in the process of converting it into a household appliance production line.

Since LG began winding down the smartphone business last month itself, the company has already transitioned some of the smartphone production capacity at its Vietnam factory to home appliances. This is to ensure that employees working in the smartphone sector don’t lose employment during this transition process. According to the Korean media, remaining workers from the smartphone lines will also soon move to other sectors.

Along with smartphones and home appliances, LG also makes TVs at its factory in the Haiphong city of Vietnam. Its sister firms LG Display and LG Innotek also run some production lines at this facility. However, it was the company’s largest smartphone production base until it decided to quit this industry altogether.

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After quitting the smartphone business, LG is now focusing on the home appliances industry, which is evident from the fact that it is converting the facilities used for manufacturing smartphones into appliance production lines. The company is aiming to extend the lead over arch-rival Whirlpool in this industry.

According to the Korea Herald, the Korean firm overtook the US company in sales revenues in Q1 2021 for the first time in years. It is now reportedly on track to extend that lead in the second quarter as well. Industry experts believe LG has the potential to overtake Whirlpool in annual sales this year.

LG stops smartphone production but will continue to support existing models

LG last month said that it will wind down the smartphone business by July 31st, although it will continue to sell the existing inventory. The company will also continue to offer four years of after-sales support from the date of manufacture of the device. Remember, it’s not the date of purchase but the date of manufacture. So you might want to carefully look for the manufacturing date if you’re planning to get an LG phone.

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Depending on the model, you might be eligible for up to three years of software updates as well. LG will provide three major Android OS update to its high-end phones such as LG Wing and LG Velvet. Some lower-cost models will get two iteration updates of Google’s operating system.

According to a report last month, three LG smartphone models will get updates up to Android 13 while six other phones will get updates up to Android 12. The company is currently rolling out the Android 11 update to its eligible phones.