LG is going through some hard times. The G2X was pretty good but it was plagued with issues and quickly tossed aside by T-Mobile USA once the HTC Sensation came onto the scene. And we never really heard anything more about the tablet since, well, right after launch. The hype of the G-Slate was louder than the actual launch.
It's no wonder LG is ridding itself of 30% of its mobile workforce.
It probably makes sense for it to do that. LG is a big company that makes components as well. It might make more sense to concentrate its efforts on making components that goes into Android devices or iPhones where it is probably more profitable than actually competing against HTC and Samsung.