LG may shift focus to smartphones, tablets

Michael Carroll
06 Jan 2014
00:00
News
Daily News

LG Electronics is tipped to be on the brink of cutting back production of PCs in favor of smartphones, tablets, and hybrid computers.

Ha Hyeon-hoe, chief of the firm’s Home Entertainment division, is expected to reveal the strategy shift in a press briefing at the Consumer Electronics Show in Las Vegas tomorrow (Jan 7), The Korea Times reports, citing a company executive

LG’s Home Entertainment unit produces PCs, TVs, and monitors, while mobile handsets are handled by its Mobile Communications division. Home Entertainment sales fell 7% year-on-year to 5 billion won ($4.7 million), and while the firm states profitability improved quarter-on-quarter, it doesn’t reveal the figure.

Traditional PC sales are waning as tablets become mainstream. Research firm Canalys predicts tablets will account for half of all PC shipments in 2014, up from 40% in 2013. The firm states tablets were largely responsible for an 18% year-on-year rise in overall PC shipments – desktop, notebook, laptop, and tablet – in 3Q13, as sales of notebooks and laptops fell year-on-year.

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