LG to Focus on Electronics and Communications

LG Group's CEO Koo Bon Mu on March 12 emphasized that the company as a whole will be concentrating on being the world's top electronics and communications company in the 21st century.
He addressed a meeting at the LG Technique Institute and stated, 'After the restructuring of the semiconductor industry is over, we have to find a new way to survive. Our primary concern is self-development, although if circumstances arise we will form joint businesses with the most developed countries and share research and development and possibly outsource part of our operations if it will be more effective.'
Chairman Koo has been keeping a low profile since he lost control of LG's semiconductor business to Hyundai. The merger was sponsored by the government and an independent consultant ruled that Hyundai should be the majority shareholder in the combined business. Koo was devastated by the decision, and after trying to block the deal he eventually decided to hand over LG's entire semiconductor operations.
Since that time Koo did not appear or speak publicly about LG's outlook, as he contemplated the future course of LG.
A source from LG asserted, 'If we are compensated from Hyundai for surrendering our semiconductor business, most of the money will be used to develop our electronics and communications operations for the future.'
He added there will be another meeting soon to discuss in more detail LG's future plans.