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The phone industry is turning into a painful demolition derby


LG just reported a surprisingly large 43 billion won loss in its mobile communications division, despite 54% unit volume growth during the Christmas quarter of 2013. This is particularly depressing, because LG had launched an aggressive marketing campaign to support the well-reviewed, highly sophisticated LG G2 phablet. During the Christmas quarter in 2012, LG was enjoying massive volume growth, strong reviews of a fresh flagship phone and robust carrier/retail support across Europe, North America and Brazil. It wasn’t enough. The whole strategy of second-tier phone vendors spending massive sums to support ambitious high-end phone launches is falling apart. Motorola, HTC, Nokia and LG have failed with their recent high-impact launches and are now facing a brutal Q1 2014. As their flagship models from 2014 are already

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