LG's next hit product might not come from LG

LG Electronics has announced it is spinning off two in-house ideas into their own entities - and plans to do the same with future projects.

It's part of what the company calls its "open innovation" strategy, which could lead to more interesting ideas getting off the ground.

The first two to be spun off, Acanvas and Infit & Company Inc, will be managed by former LG employees and be responsible for their own fundraising and strategy. Meanwhile LG will give them the use of the patented technology.

Acanvas is a digital picture frame for hanging up in the home, which recently launched on Kickstarter. The fact it's digital obviously means you can change the art it displays as you wish, all controlled by your phone.

It also has an interesting charging feature whereby a small charge connector drops down from the frame on a wire at night and slots into a dock connected to the mains.

Meanwhile Canvas is Infit & Company Inc has made what it calls a Modular Diagnosis Machine, which uses a more affordable and safe alternative to radiation to diagnose conditions such as rheumatoid arthritis.

Just the start

But this is just the start: LG says it wants to expand the number of initiatives, getting more innovative ideas off the ground and spun out into their own programs.

As an incentive to get these projects off the ground. LG has promised employees joining the new companies they will have jobs at LG if they decide to return to the mothership within three years.

"By giving these two startups their own identity and freedom from the bureaucracies of a larger organisation, we are sending a very clear message to innovators and the public that were are not interesting in maintaining the status quo," said Dr. Skott Ahn, President and CTO of LG Electronics.