LG CEO OUTLINES 2025 STRATEGY FOR STRUCTURAL COMPETITIVENESS AND QUALITATIVE GROWTH
LG Electronics unveiled its 2025 business strategy, focusing on building structural competitiveness and accelerating qualitative growth. CEO William Cho highlighted the company's progress in subscription services and webOS-based business, which saw revenue rise over 75% YoY in 2024, approaching KRW 2 trillion.
The company plans to expand its platform-based services business by more than five times by 2030, aiming to account for 20% of total operating profit. The webOS-based advertising and content business exceeded its KRW 1 trillion revenue target last year.
LG is strengthening its B2B sector, particularly in HVAC, through the new LG Eco Solution Company. B2B revenue increased from 27% of total revenue in 2021 to 35% by end of last year, with a target of 45% by 2030. The company is also revamping its R&D portfolio, with over 75% focusing on strategic business technologies and future fields like quantum computing.
LG Electronics ha svelato la sua strategia commerciale per il 2025, concentrandosi sulla costruzione della competitività strutturale e sull'accelerazione della crescita qualitativa. Il CEO William Cho ha evidenziato i progressi dell'azienda nei servizi in abbonamento e nel business basato su webOS, che ha visto un aumento del fatturato di oltre il 75% rispetto all'anno precedente nel 2024, avvicinandosi ai 2 trilioni di KRW.
L'azienda prevede di espandere il suo business di servizi basati su piattaforme di oltre cinque volte entro il 2030, puntando a rappresentare il 20% del profitto operativo totale. Il business pubblicitario e dei contenuti basato su webOS ha superato l'obiettivo di fatturato di 1 trilione di KRW lo scorso anno.
LG sta rafforzando il suo settore B2B, in particolare nel campo HVAC, attraverso la nuova LG Eco Solution Company. Il fatturato B2B è aumentato dal 27% del fatturato totale nel 2021 al 35% entro la fine dello scorso anno, con un obiettivo del 45% entro il 2030. L'azienda sta anche ristrutturando il suo portafoglio R&D, con oltre il 75% focalizzato su tecnologie commerciali strategiche e settori futuri come il calcolo quantistico.
LG Electronics presentó su estrategia comercial para 2025, enfocándose en construir competitividad estructural y acelerar el crecimiento cualitativo. El CEO William Cho destacó el progreso de la empresa en servicios de suscripción y en el negocio basado en webOS, que vio un aumento de ingresos de más del 75% interanual en 2024, acercándose a los 2 billones de KRW.
La empresa planea expandir su negocio de servicios basados en plataformas más de cinco veces para 2030, con el objetivo de que represente el 20% del beneficio operativo total. El negocio de publicidad y contenido basado en webOS superó el objetivo de ingresos de 1 billón de KRW el año pasado.
LG está reforzando su sector B2B, especialmente en HVAC, a través de la nueva LG Eco Solution Company. Los ingresos B2B aumentaron del 27% del total de ingresos en 2021 al 35% a finales del año pasado, con una meta del 45% para 2030. La empresa también está reorganizando su cartera de I+D, con más del 75% centrado en tecnologías comerciales estratégicas y campos futuros como la computación cuántica.
LG 전자가 2025년 사업 전략을 발표하며, 구조 경쟁력을 강화하고 질적 성장을 가속화하는 데 주력하겠다고 밝혔습니다. CEO 윌리엄 조는 회사의 구독 서비스 및 webOS 기반 비즈니스의 진행 상황을 강조하며, 2024년에는 전년 대비 75% 이상의 수익 증가를 기록하고 2조 원에 가까워졌습니다.
회사는 2030년까지 플랫폼 기반 서비스 사업을 5배 이상 확장할 계획이며, 전체 운영 이익의 20%를 차지하는 것을 목표로 하고 있습니다. webOS 기반 광고 및 콘텐츠 비즈니스는 지난해 1조 원의 수익 목표를 초과 달성했습니다.
LG는 새로운 LG 에코 솔루션 회사를 통해 HVAC 분야에서 B2B 부문을 강화하고 있습니다. B2B 수익은 2021년 총 수익의 27%에서 지난해 말까지 35%로 증가했으며, 2030년까지 45%를 목표로 하고 있습니다. 회사는 또한 R&D 포트폴리오를 재구성하고 있으며, 그 중 75% 이상이 전략적 사업 기술 및 양자 컴퓨팅과 같은 미래 분야에 집중되고 있습니다.
LG Electronics a dévoilé sa stratégie commerciale pour 2025, axée sur le renforcement de la compétitivité structurelle et l'accélération de la croissance qualitative. Le PDG William Cho a mis en avant les progrès de l'entreprise dans les services d'abonnement et le business basé sur webOS, qui a vu son chiffre d'affaires augmenter de plus de 75 % d'une année sur l'autre en 2024, approchant 2 trillions de KRW.
L'entreprise prévoit d'élargir son activité de services basés sur des plateformes de plus de cinq fois d'ici 2030, visant à représenter 20 % du bénéfice d'exploitation total. Le business publicitaire et de contenu basé sur webOS a dépassé l'objectif de chiffre d'affaires de 1 trillion de KRW l'année dernière.
LG renforce son secteur B2B, notamment dans le domaine du CVC, à travers la nouvelle LG Eco Solution Company. Le chiffre d'affaires B2B a augmenté de 27 % du chiffre d'affaires total en 2021 à 35 % à la fin de l'année dernière, avec un objectif de 45 % d'ici 2030. L'entreprise restructure également son portefeuille de R&D, avec plus de 75 % axé sur les technologies commerciales stratégiques et les domaines futurs comme l'informatique quantique.
LG Electronics hat seine Geschäftsstrategie für 2025 vorgestellt, die sich auf den Aufbau struktureller Wettbewerbsfähigkeit und die Beschleunigung qualitativem Wachstums konzentriert. CEO William Cho hob die Fortschritte des Unternehmens im Bereich der Abonnementsdienste und des webOS-basierten Geschäfts hervor, das im Jahr 2024 einen Umsatzanstieg von über 75 % im Vergleich zum Vorjahr verzeichnete und sich der 2 Billionen KRW-Marke näherte.
Das Unternehmen plant, sein plattformbasiertes Dienstleistungsgeschäft bis 2030 mehr als fünfmal auszuweiten, mit dem Ziel, 20 % des gesamten operativen Gewinns auszumachen. Das auf webOS basierende Werbe- und Content-Geschäft hat im letzten Jahr das Umsatzziel von 1 Billion KRW übertroffen.
LG stärkt seinen B2B-Sektor, insbesondere im Bereich HVAC, durch die neue LG Eco Solution Company. Der B2B-Umsatz stieg von 27 % des Gesamtumsatzes im Jahr 2021 auf 35 % bis Ende des letzten Jahres, mit dem Ziel von 45 % bis 2030. Das Unternehmen überarbeitet auch sein F&E-Portfolio, wobei über 75 % auf strategische Geschäftstechnologien und zukünftige Bereiche wie Quantencomputing fokussiert sind.
- Subscription service revenue grew 75% YoY in 2024, reaching nearly KRW 2 trillion
- WebOS-based advertising and content business exceeded KRW 1 trillion revenue target
- B2B revenue share increased from 27% to 35% of total revenue (2021-2024)
- Online brand shop sales surged over 80% YoY during Black Friday period
- Global market recovery experiencing prolonged delays
- Increasing geopolitical risks and trade policy shifts
- Intensifying competition from Chinese companies
Company Strengthens Long-term Strategy With Agile Adaptability in Rapidly Changing Business Environments
Cho highlighted positive progress achieved through innovative business models, such as subscription service business and webOS-based advertising and content business, which demonstrate LG's agile responsiveness to evolving market demands. "Amidst unprecedented market uncertainties and a shifting competitive landscape, we require a fundamentally different level of strategies and precise execution," he stressed.
Compared to two years ago when LG first presented its Future Vision 2030, the global market recovery is experiencing prolonged delays, while geopolitical risks, such as shifts in trade policies in major nations, are becoming more pronounced. The competitive paradigm with Chinese companies is also shifting from price-based competition to a more sophisticated focus on technology.
As a part of the Future Vision 2030, LG aims to expand its existing device-centric business into mobility and commercial spaces. By leveraging decades of customer understanding, know-how and technological expertise, the company seeks to transform into a smart life solutions provider that connects and enhances customer experiences.
"Despite the challenging environment, significant opportunities remain," Cho added. "By focusing on delivering differentiated customer value, we will create continuous growth."
Shifting Business Paradigms to Meet Market Demands
LG is increasing its market presence through new business models like subscription based-services and the online brand shop. Capitalizing on the company's strengths, the subscription business combines devices and services to provide greater convenience and flexibility, moving beyond price-driven competition. Customers can use products for a duration that best suits their needs and receive optimized care services, allowing LG to maintain closer customer relationships and generate recurring revenue.
LG is also strengthening its competitive edge by enhancing on-site care services and diversifying sales channels. This year, the company is expanding the service to
In 2024, LG's revenue from subscription services rose more than 75 percent year-over-year (YoY), surpassing the company's original target (
The company's data-driven online brand shop is also growing at a rapid pace, with sales surging over 80 percent YoY during last November's Black Friday period.
Expanding Platform-based Services Business Through webOS
The platform-based service business, which is contributing to the transformation of the company's business structure into a high-profit model, aims to increase its revenue by more than five times by 2030 – ultimately accounting for 20 percent of LG's total operating profit. This business model leverages hundreds of millions of LG products sold worldwide as a platform to generate revenue by providing customers with content, tailored advertising and services.
A prime example of LG's current success in this area is the advertising and content business based on the company's webOS smart TV operating system. Last year, the webOS-based advertising and content business exceeded its revenue target of
Starting this year, webOS will become a comprehensive content platform for various devices and solutions, including IT products and vehicle infotainment systems. It will also broaden its scope to encompass AI-powered Digital Out of Home (DOOH) solutions to advertisers, evolving into an "integrated media advertising platform" that delivers differentiated content experiences across diverse indoor and outdoor spaces.
To this end, LG initiated the integration of its display-based businesses – including TVs, signage, monitors and laptops – through an organizational realignment at the end of last year. The company is also exploring various opportunities to secure additional capabilities through mergers and acquisitions (M&A) and partnerships.
Accelerating Growth in B2B exemplified with HVAC
To accelerate growth in the B2B sector, the company is focusing on its heating, ventilation, and air conditioning (HVAC) business, which is projected to expand rapidly in the AI era. LG has established a dedicated business division, the LG Eco Solution (ES) Company, to take its existing HVAC business to new heights. The HVAC business, alongside LG's automotive component and smart factory business, will play a significant role in driving the company's B2B business to greater success.
LG HVAC boasts a comprehensive portfolio of high-efficiency, high-performance solutions employing the company's industry-leading core technologies. Its state-of-the-art products range from residential air conditioners to commercial air conditioners for buildings, schools and public institutions; heating solutions designed to replace fossil fuel boilers; and advanced chiller technology, which are now being applied to optimize energy efficiency in data centers – a pivotal backbone of AI infrastructure. Additionally, in key markets, LG is hastening the establishment of a localized, end-to-end business structure that encompasses R&D, production, sales and maintenance, and has the ability to develop region-specific solutions.
By 2030, LG expects its B2B business to account for around 45 percent of all revenue generated by the company. B2B revenue made up approximately 27 percent of total revenue in 2021 – a figure that rose to 35 percent by the end of last year.
Taking on Bold R&D Initiatives to Tackle Future Megatrends
The company is also revamping its future technology R&D portfolio to align with key strategic directions: maximizing business potential, expanding platform-based service businesses, accelerating B2B businesses and rapidly commercializing new growth engines. Over 75 percent of LG's advanced R&D efforts will focus on technologies for businesses aligned with the company's mid- to long-term strategies, and on securing pivotal technologies in promising future fields.
LG will continue to concentrate on strengthening core technologies across eight core technologies: software, system on chip, AI, robotics, materials and parts, standards, next-generation computing and cloud/data. Specifically, the company will apply CEO Cho's "3B" strategy – Build, Borrow and Buy – by fostering internal capabilities, leveraging external expertise and acquiring technologies. This approach includes forming partnerships with global tech giants as well as promising startups and academia in order to solidify technological leadership. Additionally, LG will further bolster its R&D efforts in high-potential future fields, such as quantum computing and space technology.
CEO-led Task Force System to Enhance Structural Competitiveness
In addition to transforming its business portfolio, LG is focusing on strengthening its structural competitiveness – represented by Quality, Cost and Delivery – to address intensifying global competition.
This year, LG is establishing a new CEO-led review system to drive these efforts. Each business division and headquarters organization will set up a task force to secure leadership in products and technology, manufacturing efficiency, R&D and operations, with CEO Cho personally overseeing their progress. Key objectives for each task force include securing product and technology innovations, enhancing manufacturing capabilities and improving R&D capabilities.
LG is also carrying out meticulous preparations to improve its ability to respond strategically to external uncertainties. Working with internal and external experts, the company is crafting predictive scenarios for key issues and developing a "playbook" to identify optimal responses. This forward-looking approach is expected to minimize the impact of outside factors on the business and uncover new opportunities.
Sustained Investment in Future Growth
While it anticipates that the business environment will continue to face considerable uncertainties in the years ahead, LG is committed to maintaining its strategic investments. Aimed at securing fundamental business competitiveness and sustaining future growth, these investments will be 'maximized' based on strategic priorities.
In addition to investing in facilities and R&D, LG is actively exploring the strategic allocation of investment resources for equity investments and M&As to further accelerate the company's growth. Previously, LG announced its plan to inject over
About LG Electronics, Inc.
LG Electronics is a global innovator in technology and consumer electronics with a presence in almost every country and an international workforce of more than 74,000. LG's four Companies – Home Appliance Solution, Media Entertainment Solution, Vehicle Solution and Eco Solution – combined for global revenue of over
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SOURCE LG Electronics
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