LG planning 30% staff cuts in mobile division?
9th Sep 2011 | 11:51
"No decision has been made," say Koreans
LG is reportedly planning to slash the workforce in its mobile phone division by 30 per cent after consistently poor results in the mobile space.
Reuters is reporting that the Korean giant is reacting by slashing the workforce to cut costs, but LG has come out and stated such a decision hasn't been reached as yet:
"We are always looking at opportunities to improve the performance of our mobile business but no decision has been made as to any job reductions," said an LG spokesperson.
Despite being one of the largest mobile phone manufacturers in the world, LG has been losing money from that sector - with losses of over £30 million in its recent financial results.
Therefore it seems highly likely some cuts will be necessary in this segment, given the poor performance of some devices - the LG Optimus 3D is the company's latest top-end smartphone, and while it's a powerful beast, there's no sign the market is ready to fully embrace 3D on the go as yet.
We think LG needs to have a look back in time for the next big hitter - let's get another Watch Phone on the market... it will DEFINITELY work this time around.