LG Electronics (LG) will expand its business line into the electric car battery sector. What LG does is certainly not free from business opportunities that are believed to grow rapidly in the future.
It has acquired a South Korean electric vehicle (EV) charger provider company, AppleMango. In addition, acquisitions were also made for EV charging station operator GS Energy, and information technology (IT) provider GS Neotek.
“The EV charging market is expected to grow rapidly due to a surge in demand for more environmentally friendly vehicles,” said Paik Ki-mun, senior vice president of LG Electronics Business Solutions Company in a statement.
This acquisition will make LG an integrated solutions provider, bringing together new charger development capabilities and a fully self-developed electric vehicle charge management system.
In addition, this move is expected to create synergies with ongoing efforts in the vehicle components field, including in the development and supply efforts of EV batteries and related products, such as energy storage systems (ESS) and energy management solutions.
This strategic move will also be combined with LG’s expertise and experience in the B2C (business-to-consumer) and B2B (business-to-business) segments, enabling them to create full-featured charging stations with a user-friendly interface. and real-time control/management.
“By leveraging our knowledge and experience in the B2B sector, we will offer customized integrated vehicle charging solutions for a wide range of customers, enhancing the competitiveness of our existing business and ensuring our readiness for future opportunities,” said Paik Ki-mun.
With this acquisition, the South Korean company’s portfolio is complete in the electric car industry. Where they first set foot in 2013, by establishing the company LG Vehicle Component Solutions.
Prior to getting into the charging business, LG had also formed a joint venture with Magna International in December 2020 to manufacture e-motors, inverters and onboard charges.
Going forward, the tech giant, which has decided to leave the mobile phone industry, also plans to set up an EV charger production line at the LG Digital Park in South Korea by the end of this year. The goal is that they will be able to provide customized electric car charging solutions for private residences, shopping centers, hotels and public institutions.
