China’s Lenovo Competes with Taiwan’s Acer for Acquisition
The Lenovo chairman thinks the world's PC market will be controlled by a few players.
The top three are currently:
1. HP
2. Dell
3. Lenovo
Lenovo announced it had acquired exclusive rights to buy Packard Bell, Europe's fifth largest.
However…Acer of Taiwan announced its own plan to buy Gateway, the US's fourth largest.
If Acer succeeds, Acer will become the world's number three. Also…Gateway has the first right to buy Packard Bell, possibly keeping Lenovo from doing so.
In the second quarter of this year, the world's top five PC makers gained a 9.2% of world market share.
Lenovo's profits grew 23%…much more than HP's 4.4 or Dell's 5.6%. Acer's profits went down 0.25.
Besides acquisitions, Lenovo is also keen on expanding business in other product categories and regions outside China…says its chairman.
Seems Lenovo has done quite well at integrating the former IBM business.
What do you think?
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