Lenovo back in lead after buyout

PUBLISHED : Thursday, 21 July, 2005, 12:00am
UPDATED : Thursday, 21 July, 2005, 12:00am

Lenovo Group, with IBM's desktop and notebook products now in its portfolio, trumped rival Hewlett-Packard to regain the top spot in Asia-Pacific PC sales.

The computer giant rode a seasonal second-quarter market recovery in the mainland to post impressive 90.9 per cent year-on-year growth in regional unit sales.

It was a strong comeback for perennial Asian market leader Lenovo, which was overtaken by HP in the first quarter when its PC sales dipped in the Lunar New Year holiday, said Bryan Ma Bor-yuan, associate director at research firm IDC.

Lenovo's return to form was expected, after it completed the acquisition of IBM's personal computing unit and its Think brand family of desktops and notebooks.

'That provided Lenovo with an even more significant lead over second-place HP,' Mr Ma said.

'We remain very strong in the corporate market segment,' said Stephen Chan Wah-on, general manager at Lenovo Hong Kong.

IDC said total PC sales in the Asia-Pacific, excluding Japan, increased 17.2 per cent in the second quarter on the back of increased price competition among vendors and greater demand for notebooks.

Despite that trend, Taiwan was the only market to register a year-on-year decline in personal computer sales in the second quarter. IDC said this resulted from the closure of several distribution channels and the delay in a major government tender.