LG Electronics Ousts CEO Amid Poor Smartphone Sales
LG Electronics CEO Nam Young has been replaced by Koo Bon-joon, head of the trading firm LG International, with the company’s lackluster performance in the smartphone market seen as the primary motivation behind the ousting. Koo is a younger brother of LG Group Chairman Koo Bon-moo, according to Reuters, and has previously led LG.Phillips LCD with success. Analysts reportedly expect Koo to replace other top executives — include mobile head Skott Ahn — in an effort to become more nimble and responsive to the rapidly changing market.
While LG once had some success with its featurephones, especially its Chocolate line, the handset maker has struggled to translate that into popular smartphones, having never reached one million in unit sales on any of its models. The company obviously hopes to turn things around with its upcoming Windows Phone 7-powered C900 and E900 units, as well as the forthcoming Optimus line, but it has an uphill battle ahead of it in order to make consumers forget about generally poorly-received offerings of the past such as the Windows Mobile-powered Incite.