Cho Joo-wan, CEO of LG Electronics, said of the VS (vehicle solutions) business unit, which oversees the auto parts business, "Eight of the top 10 OEMs (original equipment manufacturers), which account for about 55% of global car sales today, have adopted LG's automotive parts and solutions," adding, "We will further strengthen collaboration with OEMs, top-tier suppliers, and software developers going forward."
Cho Joo-wan, CEO, noted in a post on his LinkedIn on the 10th that the VS business unit achieved a record-high operating profit in the third quarter, emphasizing that it "has emerged as a strategic growth pillar in the B2B (business-to-business) space."
The eight OEMs Cho mentioned are Toyota, Volkswagen, Hyundai-Kia, GM, Stellantis, Ford, Honda, and Nissan. The cars of these eight corporations are equipped with LG Electronics' infotainment systems, electric vehicle components, and vehicle lighting, among others.
LG Electronics' VS business unit posted third-quarter revenue of 2.6467 trillion won and operating profit of 149.6 billion won this year. Operating profit reached an all-time high, and the quarterly operating margin topped 5% for the first time.
Cho cited a user-experience-centered value proposition as the secret behind these results. He stressed, "Based on decades of customer insight, we see the car not as a mere means of transportation but as a 'wheeled living space' that offers a differentiated in-cabin experience."
He continued, "From in-vehicle infotainment to interior sensing and telematics, we offer a complete lineup of solutions for the SDV era, and eight of the world's top 10 automakers (OEMs), which account for about 55% of global car sales today, use LG's automotive parts and vehicle solutions."
LG Electronics is strengthening its competitiveness in the SDV market by transforming mobility into a software-based, experience-centered space through solutions and partnerships, including its in-vehicle webOS.
Cho said, "LG Electronics is delivering new experiences and real value to customers through SDV solutions while setting new standards for the auto industry," adding, "Based on openness and collaboration, we will continue to expand the SDV ecosystem and lead sustainable Mobility Innovation."