Press Release

06/15/2005

Leading Mobile Phone Maker Retains Position as Number One CDMA Handset Maker And Shows Strong Growth in GSM Market

LG ELECTRONICS MOBILECOMM CAPTURES NUMBER TWO SPOT IN U.S. MOBILE HANDSET SALES

LG ELECTRONICS MOBILECOMM CAPTURES NUMBER TWO SPOT IN U.S. MOBILE HANDSET SALES

Leading Mobile Phone Maker Retains Position as Number One CDMA Handset Maker And Shows Strong Growth in GSM Market

SAN DIEGO, June 10, 2005 --- According to a recently released mobile phone market share study from leading information technology market research and advisory firm IDC, LG Electronics MobileComm (LG Mobile Phones) has significantly increased its overall share of the U.S. mobile handset market from Q1 2004 to their present position, moving into the number two spot for the first quarter of 2005. Selling nearly 5.5 million handsets in the first months of 2005, LG's overall market share is 17.6% for the quarter. LG sold more than 11 million handsets worldwide in Q1 05, establishing itself globally as the forth-ranked handset maker, according to IDC.

Additionally, the IDC report reveals that LG has once again won the largest share of the U.S. CDMA mobile handset market in Q1 05, shipping nearly 4.6 million units to garner 30.8 percent of total CDMA sales in the U.S, solidifying LG's dominance of the CDMA market in the first quarter of the year.

In addition to its robust leadership in the CDMA market, just over 18 months after the launch of its first GSM handset in the U.S., LG has continued its impressive growth in the GSM category. LG secured the number four spot in the U.S. GSM market in Q1 of 2005, with over 895,000 GSM handsets shipped, demonstrating a rapid rise from the number six spot the company occupied in Q1 2004. LG's GSM global market share has steadily increased since 2001, and the company's strong growth in the GSM market has LG poised to continue its major expansion into the U.S. GSM space throughout 2005.

"LG Mobile Phones is pleased to learn that we have outsold all but one wireless handset maker in the U.S., and that our domination of the U.S. CDMA market continues," said Juno Cho, president, LG Electronics MobileComm U.S.A., Inc. "Similarly, LG's ever-increasing presence in the GSM market is most encouraging. It is extremely gratifying to note that LG's products continue to appeal to consumers, offering them a wide variety of useful features that keep them informed, entertained and in touch. We look forward to continuing LG's upward momentum in the U.S., and will not rest until LG can claim the number one spot among mobile phone makers the world over."

Highly successful LG CDMA models launched to-date in 2005 include the flagship EV-DO-capable VX8000, the MM535 1.3 megapixel camera phone, the PM-125 device and the PTT capable AX4750. Extremely popular GSM handsets launched this year include the EDGE-capable A7110 handset and the stylish and functional F9100 Instant Messaging handset.

"Bolstering our ever-growing share of overall wireless handset sales in the U.S. continues to be a top priority for LG," said Jon Maron, director of marketing communications for LG Electronics MobileComm U.S.A., Inc. "By maintaining LG's strong position in the CDMA market and continuing to strengthen our presence in the GSM market, we are confident that we will be successful in this endeavor. In the end, capturing and maintaining market share comes down to offering the best product, which is why LG is committed above all else to providing consumers with the most practical, stylish and functional mobile phones available."

About LG Electronics

LG Electronics, Inc. (Korea Stock Exchange: 06657.KS) is a global force in electronics, information and communications products with 2004 annual sales of US $38 billion (consolidated). With more than 66,000 employees working in 76 subsidiaries in 39 countries around the world, LG Electronics is comprised of four main business companies including Mobile Communications, Digital Appliance, Digital Display, Digital Media.

LG Electronics Mobile Communications Company is the world's leading manufacturer of WCDMA (UMTS), CDMA and GSM handsets, and the fastest growing manufacturer of mobile phones worldwide. The company provides a total range of wired and wireless solutions, and is rapidly establishing a global presence as it cultivates international market share in 3G handsets. For more information please visit www.lgusa.com

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