LG expects a 10% market share

LG after the launch of its 4G LTE device G3 said it is the most important smartphone for them in the second half year of the current fiscal year. The market share of LG is estimated now by tech pundits is about 4%. With G3 by the end of the year South Korean vendor hopes to have a shelf space of at least 10%.

This means that G3 should contribute about 40% of its revenue in the second half year of the remaining financial year. LG is expecting a Rs. 2,500 crore revenue this fiscal year from its smartphone business, triple froma year earlier. The company is investing Rs 800 crore for R&D and marketing its cellphones in 2014-2015.

According to IDC, the Indian smartphone market nearly tripled to 44 mn devices shipped in 2013, compared to 16.2 million shipped over 2012. The research body expects 80.57 million units to be shipped into India by the end of 2014.

By the end of this year, LG would have launched 25 smartphones, which would also include a new affordable range of 4G LTE smartphones in the second half of the year.
launch smartphones at various price points. LG's smartphone range will be priced between Rs 8,000 to Rs 65,000.

In the aggressive market like India where the pool is already full of smartphones and many are trying to revive themselves. For LG earning 40% revenues through G3 seems like a challenge.