LG closing its mobile phone business

LG Electronics Inc. (LG) announced that it is closing its mobile business unit. The decision was approved by its board of directors earlier today.

LG’s strategic decision to exit the incredibly competitive mobile phone sector will enable the company to focus resources in growth areas such as electric vehicle components, connected devices, smart homes, robotics, artificial intelligence and business-to-business solutions, as well as platforms and services.

I really like LG as a company. I have several LG TVs and they make quality products, but the smartphone business is dominated by Apple and Samsung. It makes sense for LG to focus its efforts in places it can have a larger impact.