Poor Mobile Phone Sales Contribute To Poor LG Quarter [Korean Giant LG Suffers Poor Quarter, Do They Need To Get Serious About Smartphones?]

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Korea’s “other” electronics company, LG, had a pretty bad fiscal Q2 2010. They reported a net profit of $106 million, which is good, but it’s a 33% drop from Q2 2009. According to reports, their poor quarter was led by losses from their HDTV and mobile phone spaces.

During their statement regarding the supply issues for the iPad screen, LG did confirm that their HDTV business was having trouble. While they can’t make enough LCD screens for mobile devices, they said they were having to reduce production of HDTVs.

Likewise, their mobile phone business didn’t do so hot. LG is one of the biggest manufacturers of mobile phones, mainly led by their wide selection of featurephones. They’re #3 behind Nokia and Samsung – and like Nokia, they lack a good smartphone selection. Their LG Ally, their best Android smartphone you can find, is literally about a year out of date.

Smartphones are becoming increasingly popular for mobile phone manufacturers. Motorola and Samsung understand that. Samsung has jumped into the Android space with the Galaxy S. Nokia too, understands this, and they’re attempting to keep on top of things.

Despite losses in the mobile phone space this quarter, LG is hoping to come back. They’ve said that they’ll make 20 (!) Android phones by the end of 2010. We wish them the best. Competition is good. Before the Galaxy S, (LG’s rival) Samsung looked doomed in the smartphone space but they came back with an impressive new device. Let’s hope LG can do something similar.

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