LG looks to outsource more, shuns low-end

BARCELONA Tue Feb 12, 2008 9:19pm IST

Related Topics

BARCELONA (Reuters) - Rapid sales growth at South Korea's LG Electronics will spur higher outsourcing of handset production this year, a senior company official said on Tuesday.

LG, like rival Samsung Electronics, has retained a vast share of its production but Chang Ma, LG's vice president for marketing strategy, said that is about to change.

"Starting this year, we will take outsourcing more seriously," Chang Ma told Reuters in an interview at Mobile World Congress trade show.

Some European and U.S. cellphone vendors have outsourced more than half of their production to firms such as Flextronics, Foxconn or Elcoteq.

LG's Ma also said the world's fifth largest cellphone maker has no intention to enter the ultra low-end of the market for phones which sell for less than 30 euros ($44), the fastest growing segment.

"We do not have any intention to go there," he said.

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

TECH DEAL

A view of Microsoft and Nokia signs in Peltola, Oulu July 16, 2014. Microsoft Corp said on Thursday it would cut up to 18,000 jobs, or about 14 percent of its workforce, as it halves the size of its recent Nokia acquisition and trims down other operations. REUTERS/Markku Ruottinen/Lehtikuva

Microsoft to use Opera browser on low, mid-market phones

Microsoft has agreed to install Opera Software's Internet browser on low and mid-market mobile phones it inherited from Nokia, potentially putting Opera Mini on another 100 million phones year.  Full Article 

Reuters Showcase

Photo

Privacy Violation

Class action against Facebook attracts 60,000 users.  Full Article 

Taxi to Space

Taxi to Space

Boeing says completed key design review for space taxi.  Full Article 

PayPal Unit

PayPal Unit

EBay considering PayPal spinoff - report.  Full Article 

Hack Alert

Hack Alert

FBI warns healthcare companies they are targeted by hackers .  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage