Lenovo Group Ltd., also known as Lenovo, is a China-based multinational company that operates in 180 markets across the globe. Lenovo manufactures and offers a wide portfolio of connected products such as PCs (Yoga, ThinkPad, Lenovo Legion), smartphones (Motorola), workstations, tablets, as well as augmented reality and virtual reality (AR and VR) devices, and smart home/office solutions.
In addition, Lenovo’s data center solutions (ThinkAgile a ThinkSystem) are creating capacity and computing power for the connections that are changing business and society. Lenovo is the world’s major personal computer vendor by unit sales since 2013. It markets the Yoga series, ThinkPad laptops, IdeaCentre, and ThinkCentre lines of desktops. The company is also among the top four manufacturers of supercomputers worldwide, after HPE, IBM, and Dell.
- 1984: Lenovo’s founding chairman, Liu Chuanzhi, together with 10 like-minded colleagues launched the New Technology Developer Inc. (the predecessor of the Legend Group) funded by the Chinese Academy of Sciences.
- 1988: Legend Hong Kong was established.
- 1990: The company launched its very first Legend PC and entered the personal computer market with its own brand.
- 1993: Legend entered the Pentium era by producing China’s first ‘586’ PC.
- 1995: Company introduced the first Legend-brand server.
- 1996: Company introduced the first Legend brand laptop.
- 1999: The company became the top PC vendor in the Asia Pacific region.
- 2002: Legend’s supercomputer, the DeepComp 1800, was launched.
- 2003: Legend announced its new logo ‘Lenovo’ to prepare for its expansion and growth.
- 2004: Lenovo and IBM announced an agreement by which Lenovo would acquire IBM’s Personal Computing Division.
- 2005: The company acquired IBM’s Personal Computing Division and became the third-largest personal computer company in the world.
- 2008: Lenovo’s ThinkPad X300 was called ‘the best laptop ever’ by BusinessWeek magazine.
- 2011: Lenovo entered a joint venture with NEC Corporation, creating the largest PC company in Japan. The company acquired Medion, which is a PC and consumer electronics company based in Germany, in order to strengthen its presence in Western Europe.
- 2012: Lenovo entered into a joint venture with EMC Corporation to sell servers in China and develop storage solutions. The company acquired Stoneware, which is a software firm focused on cloud computing.
- 2013: Lenovo acquired CCE, which is a leading consumer electronics company in Brazil.
- 2014: Lenovo purchased the System X server from IBM and Motorola Mobility from Google.
- 2016: The company expanded its partnership with SAP to develop agile cloud solutions. Lenovo announced a strategic partnership to develop, market, and sell a new family of Lenovo hyper-converged appliances powered by Nutanix software. The company collaborated with Google to develop the world’s first mobile device with 3D motion tracking, advanced computer vision, and depth sensing.
The shareholding structure of Lenovo Group Ltd., according to the interest disclosed under the Securities and Futures Ordinance as of 31 March 2019, was Public – 64.8%, Legend Holdings Corporation (Parent Company) – 29.1%, Mr. Yang Yuanqing – 5.9%, and Directors – 0.2%
Financial Results in Perspective
- In 2020/21, Lenovo generated revenue of 60,742 US$ Million.
- In Q1 2020/21, Lenovo generated revenue of 13,348 US$ Million.
Lenovo- Market Share Analysis, by Segment- 2020
- The PC and Smart Devices Group, which is one of Intelligent Device Groups’ (IDGs) two business units, recorded revenue of US$ 48.5 Billion in 2020, representing around 80% of the group’s total revenue.
- The remaining 20% of revenue is split between the Data Centre Group, the Mobile Business Group, and IDG – Others with 10%, 9%, and 1% respectively.
- The Data Center Group achieved the fastest Year-on-Year growth, with revenue of US$ 6.07 billion, owing to the acquisition of IBM’s x86 server business. In addition, the Mobile Business Group business unit has recorded revenue of 5.4 Billion.
Performance of Geographies
- The Asia Pacific is estimated to account for 43% of the company’s total revenue.
- The company accelerated the execution of strategic transformation and further invested in five major areas: smart edge computing, Internet of Things (IoT), cloud, Artificial Intelligence (AI), and big data in vertical industries.
- The company is focusing on investing in innovation, providing better user experience, and core component technical specification, along with developing better end-to-end application platforms.
- The company is focusing on extending its leadership position, increasing profitability in China, and related businesses in mature markets.
- The company continues to invest in building a global brand, which makes it more competitive in consumer sales, improves profitability, and also enhances the value of products.
Achievements in 2016 – 2017
- The company revealed the industry’s first modular smartphone Moto Z.
- The company introduced the Low-Temperature Solder (LTS) manufacturing process, estimated to lower carbon emissions by 35%, while also increasing efficiency.
- Evolved focus beyond tablets and PCs to personal computing as well as launching the industry’s first Google Tango-enabled Augmented Reality (AR) device.
- The company was awarded 18 Red Dot Design, 6 iF, and 149 awards across major industry events such as MWC, CES, and IFA, on the basis of innovation, value/selection, warranty, support, and design. In addition, Laptop Magazine named Lenovo the ‘Best Laptop Brand’.
Achievements in 2018 – 2019
- In February 2019, Lenovo launched its new set of laptops and other devices at MWC 2019. These include a Bluetooth 5-enabled headset and a portable monitor.
- In January 2019, Lenovo launched a smart clock with its smart display and smart home essentials devices.
- In August 2018, Lenovo launched multiple Yoga series devices, which include the latest 2-in-1 laptop Lenovo Yoga C930, and Yoga S730. The highlight of the new series is the ultraportable dual-display Yoga Book C930 laptop with LCD and e-ink screens.
- In May 2018, Fujitsu sold a 51% stake of its subsidiary Fujitsu Client Computing Limited (FCCL) to Lenovo Group Ltd.
- In July 2018, Google LLC partnered with Lenovo to manufacture a new category of devices called ‘Smart Displays’, which are interactive screens for smart home devices with Google Assistant.
- In January 2018, Google LLC collaborated with Lenovo to launch a stand-alone headset, which connects to PCs or smartphones wirelessly.
- In October 2018, Sony Interactive Entertainment (SIE) and Lenovo group signed a two-year patent license agreement. This agreement allows the use of PlayStation VR’s (PS VR) industrial design for the Lenovo Mirage Solo VR headset.
What’s Happening in 2020
- Lenovo has set to achieve science-based greenhouse gas emission reduction targets for 2030, to limit climate change to a 1.5 degree Celsius increase in global temperature to reduce the environmental damage in terms of what scientist has predicted as an increase of 4-6 degree celsius due to global warming by 2050.
- Lenovo in fiscal year 19/20 hit a sustainable achievement of 92% reduced emissions.
- Lenovo in 2020 is about a US$50 billion Fortune Global 500 company.
- Lenovo’s Mobile Business Group (MBG) is impacted by COVID-19, with revenue decreased by YoY in Q1 2020-2021.
- Lenovo’s Data Center Group (DCG) showed revenue growth of almost 20% to US$1.6 billion in Q1 2020-2021.
- Lenovo’s Software and Services revenue grew up to 38% year-on-year to over US$1 billion in Q1 2020-2021.
- Lenovo enabled space architects to test Lunar Housing in Greenland which will rely on Lenovo technology for survival and data collection.
- According to the Lenovo Q1 report, it holds its place first in the global market for PC and tablets as compared to HP and Apple.
- Lenovo’s mobile group outgrew in the markets like Latin America, North America, and Europe.
Lenovo Group Recent Developments-2021
- Contracts/Agreements; In February, the company entered into a partnership with Ducati MotoGP for advanced hardware technology in powering AI and smart software solutions in the world of motorbike racing.
- New Products/Services; In May, Lenovo introduced the new YOGA CC65 Dual Port GaN Charger.
- New Products/Services; In June, Lenovo introduced new ThinkPad laptops for productivity and creative professionals.
Lenovo Group Recent Developments-2020
- New Products/Services; In October, Lenovo announced to launch of a gaming smartphone in the Philippines.
- New Products/Services; In November, Lenovo launched the Lenovo K12 Note in Saudi Arabia.
- Contracts/Agreements; In August, Lenovo’s LanSchool and DNSFilter entered into a partnership to keep schools and students safer from harmful online content and cyber threats.
- New Products/Services; In April, Lenovo announced to launch ThinkAgile MX1021 and ThinkSystem DM7100 to expand its portfolio of IT infrastructure solutions.
- Contracts/Agreements; In April, the company and Posiflex Technology announced to the formation of a joint venture for marketing integrated online to offline management solutions.
- New Products/Services; In March, the company launched Lenovo ThinkAgile MX1021 and ThinkSystem DM7100, hyperconverged systems integrated with Microsoft Azure.
- Contracts/Agreements; In March, the company partnered Consensys with Ernst & Young to introduce the Baseline protocol, an open-source initiative for the public Ethereum blockchain.
- Contracts/Agreements; In April, Lenovo and Veative Labs entered into a global collaboration for an integrated distance learning and virtual reality classroom solution.
- Contracts/Agreements; In April, Lenovo entered into a partnership with Dev Clever for the distribution and commercialization of Dev Clever’s career guidance platforms, Launchyourcareer.com and VICTAR VR.
- New Products/Services; In May, Lenovo launched a new server platform to perform heavy computing tasks inside data centers by using chips from Advanced Micro Devices Inc.
- Plans/Strategy; In May, Lenovo Group announced its plans to launch the Lenovo K5 Play, the Lenovo K5 Pro, and the Lenovo S5 Pro model smartphones in the Philippines.
- New Products/Services; In June, Lenovo announced the launch of a new virtual reality headset, Lenovo Mirage VR S3.
- New Products/Services; In June, Lenovo launched a new IdeaPad Gaming 3i laptop in India.
- New Products/Services; In June, Lenovo launched a new IdeaPad Slim 3 laptop in India.
- New Products/Services; In June, Lenovo launched new ThinkPad laptops with 10th-gen Intel chipsets.
- New Products/Services; In June, Lenovo launched Lenovo K5 Play, Lenovo K5 Pro, and Lenovo S5 Pro smartphones, and smart home devices in the Philippines.
- New Products/Services; In July, Lenovo in partnership with Vianova Health launched Lenovo Virtual Care, a full patient-to-provider virtual solution to remotely monitor and educate patients with various chronic health conditions.
- New Products/Services; In July, Lenovo introduced the gaming phone, the Legion Phone Duel, in China.
- New Products/Services; In July, Lenovo announced to launch of its new Lenovo Partner Hub to offer personalized sales tool transformation.
- Contracts/Agreements; In July, Lenovo entered into a partnership with MyPhyzio, and Featherlite to create an effective work from home (WFH) guideline for an efficient remote working experience.
- Contracts/Agreements; In August, Lenovo entered into a US$24 million worth contract to provide some 85,000 laptops to students of Wake schools.
- Corporate Changes/Expansions; In August, Lenovo launched a new global partner hub in the APAC region.
- New Products/Services; In September, Lenovo introduced ThinkBook Plus, a dual-screen notebook built for enhancing productivity for the modern workforce.
Lenovo Group Recent Developments-2019
- Contracts/Agreements; In February, Lenovo Group along with NetApp formed a joint venture, Lenovo Lingtuo and Hong Kong-headquartered Lenovo and Sunnyvale.
- Contracts/Agreements; In March, Lenovo entered into a partnership with Oculus to launch a new version of virtual reality and augmented reality headset.
- Contracts/Agreements; In June, Lenovo and Innovative Technology Solutions announced to expand its partnership to provide comprehensive field services to more than 30 Lenovo offices.
- Contracts/Agreements; In January, Lenovo entered into a partnership with B-Soft to promote the application of the internet of things (IoT) technologies in healthcare.
- Plans/Strategy; In February, Lenovo announced its plans to launch a Qualcomm Snapdragon 8cx laptop with 5G.
- Contracts/Agreements; In November, Lenovo and Starlight Children’s Foundation entered into a partnership to enhance the power of virtual reality in pain management.
- Contracts/Agreements; In May, Lenovo and China Mobile collaborated to provide global communication services.
- Contracts/Agreements; In May, Lenovo North America partnered with Team SoloMid to advance the company’s focus on the gaming industry.
- New Products/Services; In September, Lenovo introduced new audio products including Airbus, Bluetooth headsets, and a Digital Voice Recorder, among others in India.
- New Products/Services; In September, Lenovo Group introduced the new ThinkPad T490, ThinkPad X390, ThinkCentre M90n-1 Nano, ThinkCentre M90n-1 Nano IoT, ThinkPad P43s, ThinkPad P1 Gen 2 products in India.
- New Products/Services; In September, the company launched the new Lenovo K10 Plus in India.
- Contracts/Agreements; In October, the company partnered with Ducati Motor to design a new superbike.
Lenovo Group Recent Developments-2018
- New Products/Services; In August, the company announced the launch of the Yoga C930 2-in-1 laptop, at IFA 2018.
- Corporate Changes/Expansions; In February, the company opened a new smart retail store in Beijing, China.
- New Products/Services; In January, the company launch a new laptop embedded with Chromebooks and Windows.
- New Products/Services; In January, the company introduced ThinkPad X1 PCs with Dolby Vision HDR and Amazon Alexa.
- Contracts/Agreements; In May, the company partnered with Ubisoft, as its official PC and monitor sponsor for Tom Clancy’s Rainbow Six Siege Pro League and majors.
- New Products/Services; In July, the company launched a composable cloud platform into the market.
- New Products/Services; In August, Lenovo introduced Android tablets for household sharing and entertainment that include Lenovo Tab E7, Lenovo Tab E8, Lenovo Tab E10, Lenovo Tab M10, and Lenovo Tab P10.
- New Products/Services; In August, the company announced the launch of a smart light bulb, plug, and connected security camera.
- New Products/Services; In August, the company launched the ThinkPad X1 Extreme laptop with a 15-inch form factor, at IFA in Berlin.
- New Products/Services; In September, Lenovo Group launched Legion Y530, Y730 gaming laptops, T730, T530, C370 desktops, and Y25f-10 Gaming Monitors in India.
- Contracts/Agreements; In September, the company entered into a strategic partnership with NetApp to drive customers’ digital transformation.
- New Products/Services; In October, the company announced to launch of its S5 Pro model mobile device in October.
- New Products/Services; In September, the company, in partnership with Ampere announced the launch of the Ampere eMAG processor for hyper-scale cloud computing.
- Contracts/Agreements; In October, Lenovo entered into a partnership with Scale Computing to deliver edge solutions for retailers.
- Contracts/Agreements; In October, Lenovo entered into a two-year patent license agreement with Sony Interactive Entertainment to utilize SIE’s patented PlayStation VR (PS VR) industrial design for the Lenovo Mirage Solo virtual reality headset.
- Contracts/Agreements; In November, the company, LG, Huawei, and Xiaomi enter into a partnership to deliver foldable smartphones.
- Contracts/Agreements; In April, the company partnered with Bufferzone to offer its patented virtual container security solution.
- Corporate Changes/Expansions; In April, the company launched Lecco, the company’s Smart Home Arm.
- Contracts/Agreements; In May, the company partnered with MobileIron to build and bring to commercialize a new offering that supports companies to offer modern work experiences to employees.
- Corporate Changes/Expansions; In June, the company launched LanSchool Air, a cloud-based classroom.
- New Products/Services; In July, the company introduced its P330 workstations with Xeon E CPUs.
- New Products/Services; In June, Lenovo launched the Lenovo Z5 in Indigo Blue color variant smartphone.
- New Products/Services; In December, the company introduced ThinkShield, a new security platform to enhance enterprise security.
- Contracts/Agreements; In December, Lenovo Group signed a reseller agreement with HYCU to deliver Purpose-Built Data Protection For Joint Nutanix Customers Worldwide.