Digi Times — In the second quarter of 2015, worldwide server shipments grew 8% on year, while revenues increased 7.2% from the second quarter of 2014, according to Gartner. “The second quarter on-year growth for 2015 slowed compared with the annual growth of the first quarter of the year,” said Jeffrey Hewitt, research vice president at Gartner.
Want China Times — Faced with increasingly acute competition, Lenovo, China’s leading IT firm, will have its mobile communications division, except for the operations of its Zuk smartphone brand, incorporated into Motorola, which it acquired in early 2014, Lenovo Mobile president Chen Xudong said on Aug. 27. The decision is in line with the strategy of the new CEO focusing on a few select models in order to survive the cut-throat competition on the market, according to the Chinese-language Beijing Daily.
China Tech News — China’s Lenovo Group announced that they will cut about 3,200 non-manufacturing employees worldwide. Lenovo announced this decision in its financial report for the first quarter of the 2015/16 financial year. The company said facing the dramatic decline of PC sales, Lenovo Group must continue to improve effectiveness and cut expenses. They will reduce about 3,200 non-manufacturing employees around the world, accounting for 10% of its total non-manufacturing employees and about 5% of its total employees. The company reportedly has 60,000 employees worldwide.
Chinese vendors tripled shipments year-on-year in the second quarter in the Indian market, indicating that low-cost vendors are posing a challenge to global players like Apple in a very price-sensitive market. The Chinese vendors have been successful by a combination of strategies, including online flash sales and by pushing low-cost 4G phones, priced at between US$100-150, a market that was unattended by Indian and global vendors, according to research firm IDC.
Want China Times — With the domestic market increasingly saturated, Chinese handset makers have turned their focus on India with its similarly huge population but it has proved a tough market to crack, according to a technology blog on web portal Sina. Although brands including ZTE, Huawei, Coolpad, Lenovo and Xiaomi have successfully snatched up the medium and low-end market in China from HTC and Samsung, they face tough home-grown rivals in India.
Lenovo Group, the world’s biggest PC maker by sales, said on Thursday that it aims to grab a “double-digit” share in Taiwan’s consumer PC market that is currently dominated by the local brands Asustek Computer and Acer. Lenovo currently accounts for 6%-7% of the Taiwan consumer PC market by unit sales, which the Chinese giant expects will reach 10% by the end of current fiscal year that will conclude in March 2016, said Lenovo Taiwan general manager Paul Tseng, who took office on April 1 this year.
BEIJING-based global technology giant Lenovo Inc said it has big plans for Malaysia, with new business models and strategies for 2015. This is part of its continuous shift to the device and connected ecosystem, which will see increased emphasis on human-centric design in everything from wearables and smartphones to tablets, PCs, servers and software, as well as cloud services, the company said in a statement. As part of Lenovo’s transformation, the company will continue to invest more in the Malaysian market.
KUALA LUMPUR: Lenovo, a global technology leader, on Wednesday unveiled its transformation via new business models and strategy for 2015 to its Malaysian channel partners. This is part of its continuous shift on the entire device and connected ecosystem with increased emphasis on human-centric design, from wearables, smartphones, tablets, personal computers, servers, softwares as well as cloud services.
Search engine Google is reportedly in talks with Chinese phone makers on introducing its Play app store to the country, where the mobile market has recorded explosive growth, according to Shanghai’s China Business News. Sources told the newspaper that three of China’s six major handset makers–ZTE, Huawei, Coolpad, Lenovo, Vivo and Oppo–received offers from Google, which would pay US$1 for each phone that is pre-installed with a version of Google Play. “For Chinese handset makers that post thin margins, a subsidy of 6 yuan (US$1) is a lot,” said Wang Yanhui, director of Mobile China Alliance.
China’s X86 server market scale reached USD1.6 billion, a year-on-year increase of 23%, according to a report from market research firm Gartner. Inspur, Dell, and Lenovo ranked the top three in this market. Statistics from Gartner show that during the first quarter of 2015, the global server market saw obvious growth with shipments of 2.67 million units, representing a year-on-year increase of 13%. This was reportedly the first time for the global server market to reach double-digit growth since the global economic crisis in 2008.
In the first quarter of 2015, worldwide server shipments grew 13% on year, while revenues increased 17.9% from the first quarter of 2014, according to Gartner. “The first quarter of 2015 was a particularly strong start to the year, with the strongest shipment growth since the third quarter of 2010, when the market was recovering from the downturn. It was also the second-largest-volume quarter ever,” said Adrian O’Connell, research director at Gartner.
Google will continue to roll out its next-generation Nexus smartphones, and a number of handset vendors including Lenovo, Xiaomi Technology, Huawei and LG Electronics are likely to gear up efforts for winning the cooperation project, according to sources at Taiwan’s supply chain. But since LG has produced the Nexus 4 and Nexus 5, Google is more likely to choose China-based handset makers as new partners, either for strengthening its presence in China or supporting the development of new production partners, said the sources.
Lenovo Group’s television unit will likely cooperate with Alibaba Group to jointly set up a joint-venture firm with other investors, and will introduce a brand-new smart television brand “17” beginning on May 20, our sister paper Want Daily reports, citing Chinese online media outlet Jiemian.com. Via the cooperation, Lenovo aims to transform itself in terms of internet operations, while keeping its existing supply chains and reputation as a renowned hardware manufacturer, according to an unnamed Lenovo executive.
Lenovo has been accused of putting users at “massive security risk” through newly-discovered flaws in its online product update service which allow hackers to download malware onto user systems through a man-in-the-middle (MiTM) attack. The holes were revealed by security firm IOActive, just weeks after Lenovo was found to be shipping PCs with pre-installed ‘Superfish’ adware that also left its users open to MITM attacks.
HP and Lenovo will share in a $250 million desktop, notebook and tablet contract for the NSW Department of Education & Communities (DEC). Each PC maker has secured a $125 million deal with DEC, set to run until the end of 2017, with the option of two one-year extensions. The supply panel spans 2200 NSW public schools with 750,000 students, plus 130 TAFE campuses across NSW with 500,000 students. Public schools must buy from the panel, but TAFEs have discretion to purchase from other state contract suppliers.
Manufacturers in different industries are jumping into the smartphone business in China, resulting in fiercer competition and a less profitable market, reports the Beijing Morning Post. Over the past few months, several Chinese hardware and software makers alike, including 360 Security, LeTV, Gree Electric, Meitu, Datang and others, announced the launch of smartphones. The newcomers are carrying their brands from different industries hoping to make as much money as existing players.
Ever since reaching a sales zenith in 2013, Samsung smartphones have been facing an increasing challenge from their Chinese counterparts, losing ground to Chinese brands such as Huawei, Lenovo and Xiaomi in the mainland market in 2014 and also suffering strong competition from Chinese rivals in international markets, according to the Shanghai-based China Business News (CBN).
Lenovo’s smartphone shipments in first-quarter 2015 reached only 8-9 million units, lower than the volume that Digitimes Research had previously estimated and about the same as the level a year ago due to high inventory built up during the fourth quarter of 2014. Lenovo brand image is relatively weak in the smartphone market and the fact that it has two smartphone brands – Lenovo and Motorola Mobility – is not helping its marketing. The two brands overlap in their targeting market segments and pricing ranges.
As the first circular Android Wear watch the Moto 360 certainly impressed in terms of style, but a better successor was always inevitable. It looks like that successor might be here sooner rather than later, as an image of it has apparently been spied. The photo was posted to Weibo by none other than Lenovo’s own CEO Yang Yuanqing, so it seems likely that it’s the real deal.
CHANDIGARH: Leading personal computer player Lenovo today announced the launch of a financing support scheme to help consumers especially youth to buy computers and laptops. “As part of the initiative, Lenovo is providing an end-to-end package to make computers more accessible to youth across these markets. This includes an attractive finance scheme, Internet access and huge-scale promotion to drive awareness,” said company’s Director- Home and Small Business, Shailendra Katyal here today.