Koo Kwang-mo leads 2027 strategy talks focused on investment efficiency, Nvidia and Microsoft partnerships
LG Group began a monthlong series of business reviews across its affiliates on Monday, with artificial intelligence, investment efficiency and global technology partnerships expected to dominate discussions as the conglomerate prepares its 2027 business strategy.
LG Corp. CEO Koo Kwang-mo will lead the meetings with affiliate CEOs and business division heads to assess this year's performance and set priorities for next year, according to the group.
The reviews will start with electronics affiliates, including LG Electronics, LG Display and LG Innotek, followed by battery and chemical units such as LG Energy Solution and LG Chem. Telecommunications and services affiliates, including LG Uplus and LG CNS, will follow.
The annual exercise comes as LG seeks to sharpen its business portfolio and turn its growing AI investments into tangible results amid intensifying global competition.
Throughout this year, LG's top executives have held quarterly strategy meetings focused on improving execution in key growth areas.
In March, discussions centered on accelerating AI-driven business transformation, or AX. A June meeting focused on "Winning R&D," the group's initiative to strengthen research competitiveness, while September's discussions examined investment efficiency and strategic priorities.
At the September meeting, executives reviewed investments in AI factories, physical AI and enterprise-wide AI transformation, identifying areas where the group could gain a competitive edge.
Koo called on affiliate leaders to "move with speed and execute relentlessly to win in the key battlegrounds that will shape the future of AI."
The latest reviews are expected to turn those broad priorities into concrete business plans, with each affiliate assessing investment returns, growth opportunities and potential areas for cooperation within the group.
Particular attention is expected to fall on LG's expanding partnerships with US technology giants Nvidia and Microsoft.
LG has strengthened cooperation with Nvidia in AI factories, physical AI and mobility, while its partnership with Microsoft focuses on expanding AI infrastructure and related business opportunities.
The collaborations are central to LG's "One LG" strategy, which seeks to combine the technological capabilities of multiple affiliates to pursue opportunities that would be difficult to capture individually.
For example, AI infrastructure projects could draw on LG Electronics' cooling systems, LG Energy Solution's batteries and LG CNS' expertise in building and operating enterprise technology systems.
The reviews are also expected to examine how affiliates can improve profitability and allocate capital more efficiently while balancing investments in emerging technologies with their existing businesses.
For LG, the challenge is moving beyond AI partnerships and investment announcements to deliver measurable commercial results. The monthlong reviews will help determine how quickly its affiliates can translate the group's AI ambitions into revenue growth, stronger competitiveness and more disciplined investment plans for 2027.
herim@heraldcorp.com