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Will Sony, LG, and Acer Pull Out of Flagship Market?


News by Luke Jones on Friday March 13, 2015.

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LG to stop making flagships?
LG to stop making flagships?

A report out of Taipei is suggesting that some of the most renowned names in the smartphone world will begin focusing on lower end devices as opposed to flagship handsets. The companies mentioned are Sony, Acer, and LG, with the report saying that declining sales in the high end market will force these companies to focus their attention on other price points.

It is a nice theory for sure, but at the moment at least it seems utterly untrue. Let?s start with Sony; the Japanese company said less than six months ago that it would be streamlining its smartphone output and focusing on the mid-range and high end. It was a bold move considering the budget market is thriving right now, but nevertheless Sony's own strategy flies in the face of this report. What we could see happen is Sony revert back to launching a flagship every year instead of every six months. The Xperia Z4 is expected to land in the summer, but could be the only true flagship the company launches this year.

LG is also launching a flagship soon, the G4, which if it is anything like the G3 will be a very special handset. If anything, all the signs point to LG increasing its flagship output and taking the high end of the market more seriously. The company is a major player in the market these days, and it has a slew of lower end devices that do well. However, the flagship market is the chance to boost the brands appeal further, the G4 will do that more than a $120 L Series device could. The G Flex 2 has already been launched, and there are reports of a phablet flagship later in the year. By the end of 2015, LG could have three flagship quality smartphones out there; not exactly shying away from the high end market is it?

That leaves Acer, a company that already is more focused on the mid-range and budget market. The Taiwanese company is not pumping out market leading flagships anyway, so focusing on lower end devices is hardly a revelation and more just continuing the current business model the company employs.

There are some reports that suggest the high end market is slowing, but ask Apple if that is true, or indeed ask Samsung. The problem for other companies is not declining sales overall, but that sales are being monopolized by just a few companies. While Acer is unlikely to break into those sales, Sony and especially LG still have a chance to do it, so don?t expect their flagships to go away anytime soon.

 
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About the author

Luke Jones
Luke Jones is the Managing Editor at MobileBurn.com and is the person you need to speak to about the content on the site. Luke studied creative writing at degree level before carving out a reputation as a freelance tech writer. He settled here at MobileBurn, where he reviews devices and contributes to the news, as well as overseeing the site's content and direction.

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