Saturday, August 30, 2014
Search
  
Submit your own News for
inclusion in our Site.
Click here...
Breaking News
Intel Hopes To Improve Its Mobile Business With Ex-Qualcomm exec
Kingston HyperX Demos DDR4 Memory at PAX Prime
Corsair and ASUS Fastest DDR4 Memory Kit
Intel Unleashes its First 8-Core Desktop Processor For Gaming
Samsung Partners with Nike On Running App
Samsung Applied for Samsung Quantum Dot TV Trademark
New iPhones Expected at Sept. 9 Event
Google Tests Drones For Delivery Of Goods
Active Discussions
help questions structure DVDR
Made video, won't play back easily
Questions durability monitor LCD
Questions fungus CD/DVD Media, Some expert engineer in optical media can help me?
CD, DVD and Blu-ray burning for Android in development
IBM supercharges Power servers with graphics chips
Werner Vogels: four cloud computing trends for 2014
Video editing software.
 Home > News > General Computing > Lenovo'...
Last 7 Days News : SU MO TU WE TH FR SA All News

Saturday, February 05, 2005
Lenovo's step back


Lenovo Group, the Chinese computer maker that most Americans had never heard of before December, made news today by reporting a slight rise in third-quarter profit on lower revenue. Despite the dip in sales, China's PC market is still fertile ground for U.S. companies.

Lenovo said net profit rose to $41.9 million, from $41.6 million a year ago. Sales fell to $809 million, from $839 million, despite what it said was a "significant" rise in notebook-PC sales.

IBM said in December that it was selling its PC business to Lenovo for about $1.25 billion. Lenovo, formerly known as Legend Computer, dominates the Chinese PC market with about a 28% market share. The company hopes its IBM acquisition will now help it to expand outside its borders to the U.S.--where it has virtually no presence--and to Europe.

Lenovo's third-quarter blip notwithstanding, China's PC market is flourishing. The country recently surpassed Japan as the second-largest PC market in the world, with a total of nearly 16 million units sold. Intel (nasdaq: INTC - news - people ), whose semiconductors power most of the world's PCs, saw its fourth-quarter sales to the Asia Pacific region soar 46%, to $4.4 billion--more than double the rate of growth for its Americas region.

Intel points out that China's market is ripe for selling unique systems for specific markets. In a recent presentation, the company disclosed a PC platform specifically for China's 100,000 Internet cafes.

Computer makers are also taking heed, marketing systems that probably would not sell well in the U.S. Hewlett-Packard is selling a sub-$500 system with the FreeDOS operating system. Others are selling PCs pre-installed with Linux. HP has reportedly stated that it wants to become the number-one seller of notebook PCs in China.

After it absorbs IBM's PC business, Lenovo's market share in China will near 35%. But, it doesn't register worldwide. IDC's preliminary fourth-quarter market-share numbers place Dell (nasdaq: DELL - news - people ) at number one with 17%, on 21% unit growth. HP came in at number two, with a 16% share on much slower growth of 9%. IBM has a 5.7% share worldwide, on 9.4% growth for the quarter.

In total, the worldwide PC market grew 14.7% in 2004, to 177 million units. China's PC market is unlikely to retain the 20% growth of the last several years, but should outpace IDC's projection of 10% growth this year.


Previous
Next
TiVo chief optimistic about future        All News        Abit USA announces 2004 results
TiVo chief optimistic about future     General Computing News      Digital cameras and TV's lift Matsushita profit 47%

Get RSS feed Easy Print E-Mail this Message

Related News
IBM Tries To Strengthen Its Presence In China With Local Vendor Deal
Lenovo Expands Its ThinkCentre Range with Affordable Desktop PCs
U.S. Regulators Clear Sale Of IBM's Server Business to Lenovo
New IBM Chip Simulates Brain Functions
Lenovo Releases The 6-inch QHD Vibe Z2 Pro
IBM Offered Globalfoundries 1bn Dollars To Take Chip unit: report
IBM Talks With Globalfoundries Stall Over Price: report
Vuzix And Lenovo Launch M100 Smart Glasses Product
Lenovo Says It remains Committed To Windows Tablets in the U.S.
Apple and IBM Partner On Enterprise Mobility
New Lenovo IdeaPad Y50 UHD Shipped With 4K Display
IBM Announces $3 Billion Investment In Future Chip Research

Most Popular News
 
Home | News | All News | Reviews | Articles | Guides | Download | Expert Area | Forum | Site Info
Site best viewed at 1024x768+ - CDRINFO.COM 1998-2014 - All rights reserved -
Privacy policy - Contact Us .