##. The big handicap of LG at that time: The launch of this product was still 10~12 months in the future, was definitely not going to be a high-volume product and the brand needed investment in many countries to carry such a premium device.
Meanwhile sales of the last flagships LG G8, V50, V60 was behind expectations, the period required a massive increase in R&D investment to commercialize 5G technology and Chinese vendors (Xiaomi, Oppo/Vivo/OnePlus, Lenovo) made a huge push into international carrier-markets.
It was all on thin ice already, but there were also some great Mid/High-tier devices in the pipeline, LG was in the lead for commercializing 5G in many markets and had a few aces up its sleeve for the coming quarters like this rollable device.
Then COVID came. Global Sales of the industry collapsed, everything became slower and also semiconductor pricing exploded.
The companies which made it through COVID better than others were those who already had solid brands and high-volume sales before that period. They had the warehouses filled with tested and launched devices, they cut a bit on profit, increased a bit on price and prepared a semi-hibernation mode.
LG's mobile division was not in such a state in most markets. It wasn't profitable for several quarters at this point, and it was clear that it won't be profitable for several quarters to come.
Meanwhile sales of the last flagships LG G8, V50, V60 was behind expectations, the period required a massive increase in R&D investment to commercialize 5G technology and Chinese vendors (Xiaomi, Oppo/Vivo/OnePlus, Lenovo) made a huge push into international carrier-markets.
It was all on thin ice already, but there were also some great Mid/High-tier devices in the pipeline, LG was in the lead for commercializing 5G in many markets and had a few aces up its sleeve for the coming quarters like this rollable device.
Then COVID came. Global Sales of the industry collapsed, everything became slower and also semiconductor pricing exploded.
The companies which made it through COVID better than others were those who already had solid brands and high-volume sales before that period. They had the warehouses filled with tested and launched devices, they cut a bit on profit, increased a bit on price and prepared a semi-hibernation mode.
LG's mobile division was not in such a state in most markets. It wasn't profitable for several quarters at this point, and it was clear that it won't be profitable for several quarters to come.