LG has finally ended its smartphone business in the US by officially passing its patents to Oppo.
The decision, nonetheless, is not entirely surprising, as talks about LG quitting the business have been making the rounds for years now. Also, the competition in the industry has been growing stronger. Needless to say, LG is one of the brands at the bottom of the competition in the US market, which is being dominated by Apple and Samsung. In global markets, on the other hand, a handful of Chinese brands make LG a needle in a haystack.
Despite this, LG has managed to make decent earnings in the past few years thanks to its different patents. It allowed the company to monetize its patented ideas and technologies in the smartphone industry.
Sadly, in the end, the South Korean company still came up with the decision to sell 48 patents to Oppo. According to a report, the transaction was made in November concerning patents related to video and audio streaming signal compression codecs.
For Oppo, the deal is considered a lifesaver, given its earlier issues involving patents, including recently resolved disputes with Nokia. According to reports, the Chinese company is willing to pay a hefty amount for patents as it plans to grow its patent portfolio in order to prevent issues in the future.
