LG's mobile phone business was liquidated after a huge loss of 29.5 billion. The next pit that LG will find difficult to escape may be the TV business.

After months of "rumors", the news that LG is liquidating its mobile phone business was confirmed by Korean media today: the company will directly announce its withdrawal from the smartphone business at the board meeting on April 5.

In the past five years, LG's mobile phone business suffered a huge loss of US$4.5 billion (RMB 29.5 billion). The overwhelmed LG Group has been looking for potential buyers for it several times, but ultimately failed due to various reasons as no one in the world was willing to take over. LG Mobile could only announce liquidation and close directly.

At that time, the Chinese mobile phone market was booming, with various mobile phone brands springing up like mushrooms after a rain. Everything was full of vitality and hope. Even the Xiaomi, Huami, and OV brands that are now dominating the market were actually gradually cultivated during that "wild growth".

However, the Korean brand LG showed an incredibly arrogant attitude towards this vibrant market. At that time, LG had a mobile phone model KT878 that had huge quality problems, including "cracked shell, poor signal, easy to freeze." The number of complaints about this single model exceeded 1.27 times the total number of complaints about LG mobile phones in 2009.

Although LG showed an arrogant side in dealing with quality issues, it not only shirked its responsibilities endlessly, but also ignored the reply documents from the General Administration of Quality Supervision, Inspection and Quarantine.

It is worth mentioning that when facing Chinese consumers' legitimate rights and interests, the two major Korean brands LG and Samsung have handled them in exactly the same way, full of an inexplicable sense of superiority. For example, when Samsung NOTE 7 mobile phone exploded, Chinese consumers Mr. Hui defended their rights countless times, but were still ignored by Samsung.

Coincidentally, these two major mobile phone brands currently have dismal sales in the Chinese market, which is tantamount to asking for trouble.

Weakness and ignorance are not obstacles to survival, but arrogance is. I believe LG should have a personal experience of this sentence now. Because in the Chinese market, not only its mobile phone business, but also its TV business is in danger.

Last year, three of the world's top four TV brands saw sales growth, but LG's sales fell again. Analysts pointed out that LG's TVs have entered a downward channel, and their status may decline again in the future, becoming a huge pit that LG Group cannot abandon but is extremely embarrassed about.

Although LG TVs still exist in the Chinese market, they have not appeared in the mainstream vision of consumers for a long time. Last year, many media pointed out that LG TVs were being withdrawn from the shelves on a large scale, and there was once news that it would withdraw from the Chinese market. It is foreseeable that when the voice of LG TVs gradually calms down, it is not impossible for it to slide down to the current situation of the mobile phone business in the future.

LG was absent from Yaowang at this year's AWE home appliance exhibition. Some analysts pointed out that this is an important manifestation of LG's further de-appliance. Because for LG itself, resolving family inheritance disputes through spin-offs is the biggest problem at the moment. After the spin-off, LG will shift its focus from consumer electronics business to automotive electronics supplier, just like Panasonic.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.