South Korea's LG company was once one of the giants of mobile phone manufacturers. As a former head manufacturer, but now reduced to "the Others", it is indeed a pity. According to LG's 2021 financial report, LG mobile phone business, which was originally profitable, has also suffered losses for several consecutive quarters. It seems that LG has to stop this "money-burning machine." In fact, the technology of LG is not bad, and it is not that they don’t have good products. Many technologies of LG company have also promoted the development of the entire industry. So, How can LG lose its users? 

The reason for LG's loss of competitiveness is, first of all, its high price. At the beginning of LG, most of its products were benchmarked against Samsung, but LG’s product competitiveness was not so high. Although it also adopted the latest technology, top industrial design, and industry’s top workmanship, the price of the product made most people feel not acceptable, and the LG brand can’t afford such a high premium price, coupled with relying too much on carrier shipments, resulting in almost every mobile phone being greatly discounted shortly after its launch. 

The price discount is a good thing for digital players. Many digital enthusiasts are willing to buy those phones, brand new or second hand. Even though it is troublesome to crack, it is great fun for geeks. But for LG companies, being unable to sustain the price is indeed a big problem. 

The high-end can't afford the price, and the low-end doesn't do "cost-effective". If the high is not low, the market will naturally lose its place. What's more, in the past two years, smartphones have suffered a "market winter", and the Matthew effect has become more and more serious. Large manufacturers have hundreds of R&D personnel in a single imaging department and can spend hundreds of millions of dollars on research and development for a single sensor, while small manufacturers may not even be able to hold a conference to lunch its new phones or productions. Domestic manufacturers have set up subsidiaries one after another to "kill indiscriminately" all over the world, occupying every price point in the market in an all-around way. The mobile phone brands that can barely survive in the operator channels are not left. There are many former kings. Now, even if they can "survive", they can only make some niche models and survive in the cracks. 

Even if LG does not make mobile phones, it is still a supplier upstream of the industry chain, with the rise of BOE and Huaxing Optoelectronics, presumably, the future will not be too easy. However, the good news is that LG’s OLED TVs still maintain a certain leading position, but the software has not embraced the Android system along with other manufacturers. Instead, using its unique webOS, LG has also chosen a different path in another field. We never know who is going to have the last laugh. 

Oriwhiz (Shenzhen DongYe Tengfei Electronics Co., Ltd) is a professional iPhone, iPad, iMac, Mac Book, Huawei, Samsung, Sony, ASUS, Xiaomi, LG repair parts and repair tools supplier. Oriwhiz team aims to provide the best quality cellphone replacement parts and repair tools to all customers. We provide comprehensive solutions for cellphone, digital devices, computer repair shops with powerful and handy cellphone repair packages, repair tools, and repair machines. Browse our product category to select an item you like or contact us for wholesale and distribution issues.