LG Smartphone Sales Slump, Slashes Forecast

Gartner analyst Carolina Milanesi via Reuters:

In mature markets, the LG brand is still considered a step down from Samsung, which makes their products less appealing. HTC now means more to many consumers than LG. LG has been struggling to deliver more than just hardware and with the weaker brand, they are left many times to compete on price.

Too bad LG can’t make use of its sister company’s 3.5-inch IPS-based Retina Display that’s in the iPhone 4.

LG is expected to report a fifth consecutive quarterly loss this month, partly because of its poor phone business. LG has slashed its 2011 sales forecast from 30 million smartphones to 24 million, and overall handset shipments from 150 million to 114. In the first half of this year LG sold just over 10 million smartphones. Compare that to Samsung, estimated to have sold 19 million smartphones in Q2 alone.

Apple has upped the smartphone game. To compete a company has to provide great industrial design, tight integration with the operating system, a healthy app ecosystem, a huge multimedia storefront, all coupled to a seamless cloud service for sharing and syncing.

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