LG spokesman Ken Hong, in an Monday, wrote, "We've decided to put all new development on the back burner for the time being in order to focus on ."

Hong also told Bloomberg that "LG doesn't see Surface competing with anything we're focusing on at the moment, Hong said.

LG makes the on the T-Mobile USA network, a dual-core Android Honeycomb tablet. It also announced the Optimus Pad LTE, which has not yet shipped. The Optimus Pad, also called the G-Slate, was originally priced at $529, but was later dropped to $399. The starts at $499.

LG is considered a small player in tablets, with Samsung the largest Android tablet maker. The iPad dominates the market with a more than 60% share.

There are dozens of tablet models on the market, and analysts have long predicted consolidation, even as Microsoft is entering the market for the first time with its .