Lenovo intends to become a bigger player in China’s mobile market, beginning with a grand expansion this year in Wuhan. Seeing many opportunities in the sector, CEO Yang Yuanqing boldly announced today his determination that, in addition to being the world’s PC leader, Lenovo will become the world’s mobile Internet leader. Over the next 5 years they will be expanding with $793 million of investment, a hefty amount that should capture the attention of its main competitors, especially in China.
Lenovo claims that its mobile production base in Xiamen has reached capacity, so this new phase of construction is necessary to expand the business. Believing that the PC industry has entered a new era, the company intends to broaden its operations and to move beyond PCs.
The expansion begins today with the announcement of a new industrial base in Wuhan for the purpose of R&D, production, and sales of their smart phones and tablet PCs. The ground-breaking ceremony, which took place this morning with great fanfare, officially marks the construction. If all goes as planned, they hope to have the base in operation by October 2013 with expected sales reaching $1.6 billion in 2014.
Source: Sina Tech