[THE INVESTOR] LG Electronics plans to release a new smartwatch next month, seeking to accelerate efforts to revitalize its struggling mobile communication business, industry watchers said on May 9.

The new smartwatch would become the successor of the LG Watch Style released in March last year. The product is expected to hit shelves in Korea next month and gradually reach other markets, including the United States.

Sources said the 1.2-inch round smartwatch will become the first product in the market to be powered by the Google’s Wear operating system.

Although the upcoming smartwatch is the eighth of its kind released by LG, the Korean company only holds a weak presence in the market.

Industry watchers, however, claim that LG cannot give up on the smartwatch business, considering the market‘s growth potential going forward.

By Song Seung-hyun and newswires (ssh@heraldcorp.com)