LG
After nearly 60 years in the TV market, LG is reportedly considering selling its TV business to Chinese electronics giant Hisense. Driven by declining revenue and fierce competition from rival manufacturers, LG executives have allegedly met with Hisense in Beijing to discuss a possible sale.
LG may be preparing another major exit from the consumer electronics arena. A fascinating new report from Korean news outlet EBN claims that LG is in talks to sell its entire TV business to Chinese electronics giant Hisense.
According to the report, senior LG executives visited Beijing recently for talks with Hisense officials on a possible restructuring or total sale of the unit.
If the sale happens, it would be the end of an era. For nearly 60 years, LG has been a mainstay in the TV industry, originating in 1966 when its predecessor, GoldStar, brought out Korea’s first black-and-white TV.
However, LG has recently faced declining revenue and fierce competition from Chinese TV brands that are aggressively undercutting established manufacturers on price. This is the same reason that recently caused Sony to sell a majority stake in its own TV business to TCL.
LG also made the difficult decision in 2021 to pull the plug on its popular but failing smartphone division after years of growing losses. The company at the time shifted focus and resources to more profitable ventures like electric vehicle components, robotics, and smart home technology.
It appears LG may be doing the same with its TV business, prepared to cut its losses in an intensely competitive hardware market.
