Combined Lenovo smartphone and tablet sales beat PCs for the first time in Q2 2013-- the company says smartphone sales reach 11.4 million units and tablets total 1.5m.
When it comes to PCs Lenovo sees growth in laptops, with sales reaching $4.5 billion with 4.7% Y-o-Y growth, while Q2 2013 desktop sales drop by -2.8% on a Y-o-Y basis.
According to Gartner Lenovo is the only top 5 vendor seeing growth in the W. European Q2 2013 PC market-- 18.9% Y-o-Y to be precise, far ahead from the struggling likes of HP, Acer and Dell. The company comes 3rd in the vendor rankings with 11.5% share (up from 7.8% in Q2 2012).
“While driving profitable growth in our core PC business, we are rapidly transforming our company into a PC Plus company." CEO Yang yuanqing says. "The PC Plus market requires fast, efficient innovation as it moves quickly from premium products to mainstream ones and from mature market domination to emerging market hyper growth."
Lenovo sees most smartphone and tablet growth through low-cost device sales in its home China and Asia/Pacific-- meaning such devices generate only 14% of company revenues despite impressive unit numbers, and therefore PCs remain vital for its bottom line.
In order to improve said bottom line in the long run Lenovo appears to be moving more notebook production in-house. According to DigiTimes Lenovo plans to produce 60% of notebooks in-house by 2014 by dropping some amounts of Compal and Wistron outsourcing, before buying back purchasing rights from ODMs in order to create a Chinese manufacturing ecosystem.
The company is also ramping production in its N. American production lines, where it already makes devices such as the ThinkCentre M29p, ThinkPad 2 tablet and ThinkPad Helix ultrabook.
2013 sees 75% of Lenovo notebook production outsourced to Taiwan-based ODMs.
Go Lenovo to Produce 60% of Notebooks In-House in 2014 (DigiTimes)
