[IAA 2023] Jo Joo-wan, President of LG Electronics, "AlphaBl to be unveiled at CES next January... Automotive division spin-off not decided yet"

Meeting with reporters after the press conference on the 4th (local time)
Possibility of Jeonjang M&A remains open

"If you come to CES next January, you will be able to see 'Alpha-able.'

On the 4th (local time), Jo Joo-wan, CEO of LG Electronics, met with reporters after the press conference of Europe's largest motor show 'IAA Mobility 2023' held in Munich, Germany, and spoke about the timing of LG Electronics' next-generation mobility solution unveiling as above.

Jo said, "It will include more exciting content than last year's 'OMNIPOD,'" and explained, "We want to showcase LG Electronics' strengths as a software-defined vehicle (SDV)."

Cho Ju-wan, President of LG Electronics, is answering questions from the press at the motor show 'IAA Mobility 2023' held in Munich, Germany, on the 4th (local time).
[Photo by Han Ye-ju]

LG Electronics redefined the car as a 'personalized digital space' and presented an automotive vision called 'Alpha-able,' meaning enabling everything in the mobility space. Alpha-able is a concept combining three future mobility customer experience themes: ▲a transformable experience freely adaptable to customers' needs ▲an explorable experience newly enjoyed through content such as XR and webOS ▲a more relaxable experience for comfortable rest inside the vehicle.

Currently, LG Electronics is expanding its automotive business centered on three pillars: ▲vehicle infotainment systems (VS Business Division) ▲electric vehicle powertrains (LG Magna e-Powertrain) ▲vehicle lighting systems (ZKW).

The automotive business is also emerging as a performance driver within LG Group. In the first half of this year alone, the automotive business recorded sales of 5.051 trillion KRW, accounting for 12.5% of LG Electronics' total first-half sales. The order backlog is expected to approach 100 trillion KRW by the end of this year.

Regarding the growing automotive business, some have raised speculation about a spin-off, but on this day, CEO Jo drew a line on that. He said, "We do not have such thoughts yet," adding, "I don't know why such rumors are circulating, but perhaps because the automotive business is doing so well, people say it should go out and do even better."

The possibility of automotive M&A remains open. Jo said, "We are continuously looking for M&A targets," and explained, "Besides the current three pillars, we are focusing on software aspects including content."

Meanwhile, LG Electronics, participating in IAA for the first time this year, did not set up a separate exhibition hall but participated as a sponsor. Jo emphasized, "We need to discuss with the VS division, but we should think about how to most effectively utilize these three exhibitions: CES, IFA, and IAA."

This content was produced with the assistance of AI translation services.