Quick posting from while on the road, or should I say while Up In The Air doing some George Clooney-ish travel... LG numbers came in at 14.1 million smartphones. This is down 8% from Q1. Their preliminary market share is an even 4.0% and they barely registered a profit in their handset business. This is strongly against my expectation that LG would be biggest winner when Samsung was faltering and that the G4 flagship would pick up easily customers who were disappointed in lost features in the Galaxy S6. Samsung did lose those customers but not to LG, they have apparently gone mostly to Huawei who also has taken customers from LG (and even from the iPhone) in the past 3 months. Also for those interested, LG shipped 4.8 million dumbphones in the quarter so their total handsets were 19.9 million and 4.7% of the total handset market. LG smartphone migration rate at 71%. Oh and to be clear, as LG profit was so thin, we know they've priced the LG smartphones 'to take up share' and that strategy has not worked. There will be interesting lessons from this quarter once we have all the pieces to the pie and can dig in particularly to why Huawei is surging so much. I did expect LG to have a blowout quarter and they clearly didn't.
Ok, wanted to post this, we'll do more as numbers come in and I try to learn to sleep to the sound of exotic birds of paradise keeping me awake at night outside the hotel window (gosh they are loud, that is what it must feel like for those who didn't grow up in a city, to first visit Manhattan and hear all the sirens of emergency vehicles every night haha, boy what a cacophony and its nothing like sunrise here yet... don't these birds have a smartwatch to keep time?) :-)