The future of the hyper-connected era, communication technology is the key… “Preparing for the All-Intelligent Internet”
Full-fledged growth in the three major axes of’VS Headquarters, ZKW, Magna’
While LG Electronics officially announced on the 5th that it will discontinue its smartphone business in 26 years, the industry is paying attention to LG Electronics’ mobile patents. Nokia withdrew from the smartphone business, but still exerts influence in the mobile market with a powerful patent.
LG Electronics also holds 5G (5th generation mobile communication) patents, which is the third largest in the world after Samsung Electronics and Nokia. As of the end of February of this year, LG Electronics is believed to have 3700 5G standard patents.
The industry predicts that LG Electronics will use mobile and communication patents to focus on the electronic equipment business, rather than aiming for patent revenue like Nokia. Communication technology is the key to the electrification of automobiles that have become full-fledged with 5G. In fact, various communication technologies are widely applied to automobiles in recent years, such as starting with a smartphone. Digital keys that can open and close cars or door locks using UWB (ultra-wideband) technology have also begun to be implemented.
In the end, communication technology must be supported for the era of connecting cars and cars while running on the road beyond the connection between objects and cars.
LG Electronics spurs on securing original 6G technologies that are expected to be commercialized in 2029 after standardization around 2025, while creating the era of AIoE and Ambient IoE, where people, objects, and spaces are closely and organically connected as well as autonomous driving He announced his goal to prepare.
In addition to securing communication technology, the auto parts business will also be strengthened. LG Electronics plans to focus more on the electronics business with the establishment of a joint venture (JV) with Magna, the world’s third-largest Canadian auto parts maker, and the reorganization of the manpower of the MC (mobile communication) business headquarters.
(Photo courtesy = LG Electronics)
Recently, Swiss software company Looksoft and Vehicle Infotainment’Aluto’ were launched, and in July, an electric vehicle powertrain joint venture will be established with Magna International.
It will be on the path of full-fledged growth with three major axes: the VS (automotive parts) business division centered on infotainment, ZKW in the lamp business, and’LG Magna ePowertrain’ in charge of powertrain.
LG Electronics’ VS business division investment is also steadily increasing from 207.2 billion won in 2015 to 4721 billion won last year. This year, it is planning to invest 6138 billion won in the VS business headquarters to improve production capacity. It is expected to become the largest in 2019, exceeding 60.7 billion won.
The proportion of the VS business division of the total investment amount of LG Electronics’ business division also increased from 9% in 2015 to 18% last year.
An industry insider said, “As seen in the Apple car release and Xiaomi’s electric car challenge, the future car will be a battle between software and communication technology.” “LG Electronics, which has secured powerful communication technology, is expected to be more aggressive in the electronics business. It is expected.”