As expected of a MNO such as LG, the company has production plants and factories all over the world. However, a report from Korean publication Yonhap News Agency claims that LG could be considering halting the production of its smartphones over in Korea where they might try to seek out more affordable alternatives.
LG has yet to confirm anything, so take it with a grain of salt for now, but it does serve to highlight how the company seems to be struggling in the smartphone market. According to the reports, LG’s mobile business has apparently been losing money for at least seven quarters now, so by moving it to more affordable countries such as Vietnam could help curb their losses.
Now, this isn’t to say that LG is in trouble or that they are quitting smartphones entirely, but rather they are simply shifting operations from their home country to another. This isn’t a surprising move as companies such as Apple have long outsourced their production to countries such as China.
LG already has factories outside of Korea, which includes China, Brazil, Vietnam, and India, although its Korean factories are the ones that handle its higher-end mobile devices, such as the recently launched LG G8 ThinQ and the LG V50 ThinQ.