China’s Lenovo Pushing to be Third-biggest Company in Global Smartphone Market

Picture: REUTERS
Picture: REUTERS

The chairman of Chinese computer giant Lenovo pledged on Thursday to make the company the world’s third-biggest smartphone seller following an acquisition binge as the firm announced a 30% profit surge. Lenovo, already the world’s largest personal computer vendor, snapped up US telecom firm Motorola Mobility for $2.91bn and IBM’s low-end server business for $2.3bn within days of each other last month.

“We will become the number-three smartphone player in the world,” Lenovo chairman Yang Yuanqing told journalists on a conference call. “With the combined business of Motorola smartphone and Lenovo smartphone, we will have much larger scale.”

That would put it in position to challenge US tech giant Apple, maker of the iPhone, which is currently the global number two behind South Korea’s Samsung.

Lenovo is seeking to grow its business in the highly competitive smartphone market as consumers shift away from personal computers to mobile devices.

The Chinese firm was ranked fifth in the global smartphone market last year with a 4.5% share, trailing Samsung, Apple, compatriot Huawei and South Korea’s LG, according to market research firm IDC.

But analysts say Motorola is deeply unprofitable with losses approaching $1bn and some question whether Lenovo can turn the business around.

Click here to continue reading… 

SOURCE:

When you purchase a book below it supports the Number #1 Black Christian Newspaper BLACK CHRISTIAN NEWS NETWORK ONE (BCNN1.com) and it also allows us to spread the Gospel around the world.