Follow-up to LG dreams of smartphones.
LG Doesn’t See Return To Operating Profit Until Early Next Year
By Roger Cheng and Jung-Ah Lee Of DOW JONES NEWSWIRES
SEOUL (Dow Jones)–LG Electronics (066570.SE), which readily concedes it is late to the smartphone game, said it plans to launch 10 more smartphones and sell 5 million devices by the end of the year as it scrambles to catch up with the rest of the industry.
But the aggressive move, which includes increasing the research and development budget by a third and ramping up its spending on marketing, means the company’s once-flagship mobile devices unit won’t likely return to an operating profit until early next year, said Chang Ma, vice president of marketing for the division.
“We have to just bear it,” Ma told Dow Jones Newswires on Wednesday, adding that he hopes to see a turnaround after the fourth quarter.
It takes R&D to make an Android phone?
(Thanks to MfH for link.)