Lenovo Group Ltd, the world's third biggest personal computer
maker, said mobile phones may become the company's second largest
business after computers.
"Our handset sales volume and revenue is doubling from a year ago
every month and we hope this will become our second pillar," said
Chen Shaopeng, 36, Lenovo's vice-president and general manager of
China. In the second quarter, Lenovo was the biggest local maker of
mobile phones in China and was the fifth largest, including foreign
brands, Shao said.
In the three months that ended on September 30, Lenovo sold 1.4
million mobile phones, a rise of 139 per cent from a year earlier,
the Purchase, New York-based company said in its earnings statement
on November 1. Revenue from handset businesses, mostly from China,
more than doubled from 2004 to HK$1.1 billion (US$142
million).
Overseas phone makers such as Finland's Nokia Oyj and Motorola Inc
are trying to win market share in China as the nation prepares to
introduce high-speed wireless licences, which may spur demand in
the world's largest cell-phone market by users. China had 378
million subscribers at the end of September.
Competition intensified after China approved 16 companies in the
first nine months of this year to make and sell handsets. Huawei
Technologies Co, Benq Corp and other manufacturers will add annual
production capacity of 25 million mobile phones.
Lenovo is also planning to develop other businesses such as
printers and digital products, Shao said.