Struggling Pantech outlines normalization planPantech, the nation’s smallest smartphone maker that underwent court receivership last month, has announced the steps it plans to take to revive the company.
“Although we are having difficulties as we undergo court receivership, we will maximize our customers’ satisfaction by providing unprecedented after-sale services and benefits,” said Pantech in a press release yesterday.
The company also said it plans to launch new smartphones.
“We are constantly in discussions with mobile carriers on launching new products,” said a Pantech spokesman. “We also will put more effort into our overseas businesses to tap new markets. In order to boost sluggish sales, we are studying various strategies.”
The company also plans to develop variations of products that already exist in Korea and launch them overseas.
The company said sales of its smartphones overseas have been growing.
In particular, it is preparing a wearable device.
It also is seeking to enter the Internet of Things (IoT) market with continuous research and development after getting into the machine to machine (M2M) business.
M2M, which connects machines through communications technologies and sensors, is cited as a core business in the IoT industry, and Pantech says it has been seeing a positive performance in the M2M business since last year.
“The M2M market is posting more than 20 percent growth. We will create new customer values by promoting convergence of information and communications technology, finance and different kinds of industries,” said the company.
In a bid to contain damage to its brand reputation in the wake of the court receivership, the company intends to enhance after-sale services as well.
Pantech started upgrading KitKat, the operating system for its Vega No. 6, this month and is planning to upgrade the operating system of the Vega R3 in the fourth quarter.
In addition, it is preparing to offer Vega gift packs to customers.
“Like the slogan we announced last October, ‘We do not stop, therefore we are,’ we need to be continuously challenged,” said Pantech.
Pantech filed for court receivership last month after it failed to overcome a severe cash crunch.
Founded in 1991, the company is one of Korea’s first generation of startups and grew to generate 3 trillion won ($2.8 billion) in annual revenue by the mid-2000s to become the world’s No. 7 mobile phone maker.
However, the company entered its first workout program in April 2007, while competing with Samsung Electronics, Apple, LG Electronics and other companies.
BY KIM JUNG-YOON [email@example.com]