Executives at South Korea's LG Electronics are planning to wind down their loss-making mobile phone business by the end of July.
LG has struggled to compete with Apple and domestic rival Samsung Electronics in the market for high-end smartphones.
The company has also been losing ground to Chinese and other makers in the battle over cheaper models.
LG started selling handsets in 1995. South Korean media say the firm once commanded the third biggest share of the global mobile-phone market. But its sales have tumbled since 2015.
LG says it will focus on growth sectors such as AI, robotics and EV components. It also plans to continue developing mobility-related technologies such as 6G.