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  (Source: androidspin.com)
Lenovo's mobile devices business had a revenue increase of 105 percent year-over-year for the quarter

As PC popularity shrinks, some tech companies are moving to the more lucrative mobile sector. For Lenovo, this seems to be a step in the right direction as its smartphones and tablets outsell PCs in the first quarter.

For the quarter ended June 30, 2013, Lenovo reported smartphone sales of 11.4 million units, which represents a 131 percent year-over-year increase. As for tablets, the company sold 1.5 million units.

Lenovo's entire mobile devices business (includes both smartphones and tablets) had a revenue increase of 105 percent year-over-year for the quarter, achieving $1.2 billion USD. This accounted for 14 percent of Lenovos' total quarterly revenue. 

Lenovo's smartphone business largely stands on China's shoulders, with about 80 percent of sales coming from the country alone. In fact, Lenovo has become the second largest smartphone vendor in China (behind Samsung). This has made Lenovo the fourth largest smartphone maker in the world for the quarter with a market share of 4.7 percent (up from 3.1 percent a year earlier).

Lenovo is expanding its mobile products to ther countries as well, such as Southeast Asia, Russia and India. It also plans to sell smartphones to the U.S. and Europe at some point in the future. 

The PC business, on the other hand, slipped 1.4 percent to $12.6 million USD. However, it wasn't all bad considering Lenovo took Hewlett-Packard's (HP) spot as the No. 1 ranked PC maker in the world.

Also, IDC said the PC market declined 11 percent overall in the quarter.

“In a tough PC market, Lenovo became the clear #1 for the first time and continues to improve profitability. Our strong performance in PC is fueled by balanced growth, through our consistent execution of the right strategy,” Yang Yuanqing, CEO of Lenovo.  “While driving profitable growth in our core PC business, we are rapidly transforming our company into a PC Plus company. 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.  This kind of market plays to Lenovo’s proven strengths.  Lenovo is now better positioned than our competition to take advantage of these clear trends. ”

Lenovo's net profit hit $174 million USD, which is an increase from $141 million USD in the year-ago quarter. The company's revenue reached $8.8 billion USD, which represented a year-over-year increase of 10 percent.

Source: Lenovo



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Does this surprise anyone?
By inperfectdarkness on 8/15/2013 12:57:24 PM , Rating: 2
I'd wager that well over 50% of people only use computing devices (not those at their workplace) for email, youtube & facebook. If you can do these on the go via a mobile device, you have little incentive to pony up for a desktop/laptop.

Still, I wouldn't call it "the death of the PC" as has been tossed about flippantly by so called captains of industry. Consumption may have changed form, but demand has not slackened.




RE: Does this surprise anyone?
By MScrip on 8/15/2013 1:51:58 PM , Rating: 3
I agree.

In the old days... the only way people could do "computer stuff" was with an actual computer. Email, web browsing, some gaming, etc needed a personal computer.

Nowadays... people can do most of that stuff without a personal computer.

They're still checking their email... they're just not sitting in front of a computer to do it.

I know people (average regular people) who haven't turned on their laptop in a month. They do all their stuff on the iPad.


RE: Does this surprise anyone?
By amanojaku on 8/15/2013 2:43:59 PM , Rating: 2
No one likes a grammar Nazi, but tablets and smartphones ARE personal computers. What's shrinking is the purchase of DESKTOP and LAPTOP PCs. There was a time when technical journalists rightfully referred to tablets as tablet PCs. Smartphone is just a marketing term for a PC with an antenna locked to a carrier, and an app store locked to a vendor.

There isn't a single thing a desktop or notebook PC can do that a tablet or smartphone can't, provided that the software exists. The temporary differentiators are software availability and horsepower. Remember when people made a big deal about the differences between desktops and servers? Nowadays, there aren't any.


RE: Does this surprise anyone?
By Flunk on 8/15/2013 4:03:56 PM , Rating: 2
I don't know about that, I'm pretty sure that there isn't any model of tablet you can defend yourself with as well as a 17" Dell Precision workstation. They just don't have the weight for it!


RE: Does this surprise anyone?
By amanojaku on 8/16/2013 12:04:12 AM , Rating: 2
That may be, but the light weight of the tablet affords an agility that cannot be matched with a workstation, friend. Why must one take a blow when one can simply step out of the way?


RE: Does this surprise anyone?
By ven1ger on 8/15/2013 4:11:32 PM , Rating: 2
Heh, took a few minutes to just think over what you said, and yes, you're absolutely correct. Though it is still difficult to consider it from a traditional standpoint but the digital age has evolved so much that it is difficult to see any serious separation of where a PC ends and a tablet/smartphone begins. Maybe a few years ago, but currently, within the last few years, the evolution of tablets and smartphones have progressed to the point where there is virtually no differentiation between the two.

PCs originally were more regulated to physical connections via LANs, or any sort of other connections that once existed, but with PCs moving on to wireless connectivity and cloud storage moving away from traditional means of connectivity and media storage, they have pretty melded into the same territory that tablets and smartphones have taken over. They both have there uses, but there is a meld between the two, PCs moving into the smartphone/tablet world and the smartphone/tablet moving into the PC world. I don't think it is one overtaking the other but more of a meld of the two technologies.

Though of course, there will always be areas one or the other would be preferable, but really difficult to imagine where one could be used in place of the other. Well, maybe not in the server space but who knows, eventually maybe? Already have seen plans on a Raspberry PI being utilized as a cloud service for home use.


RE: Does this surprise anyone?
By Reclaimer77 on 8/15/2013 4:25:02 PM , Rating: 1
Why does this always come up?

We FUCKING KNOW that smartphones are also computers. "PC" is just an easy way to differentiate the desktop and laptop FORM FACTORS, so that's why we use it.

Can we just stop this? Please, for the love of all, just stop!!!


RE: Does this surprise anyone?
By ven1ger on 8/15/2013 9:55:51 PM , Rating: 2
For awhile I was in the tablet/smartphones are not PCs camp. I guess it takes some real reflection of that but hey I'm old-fashioned a bit and it takes me time to move my lifestyle into the mobile digital age. Hell, still don't even have a smartphone, I did get my two kids smartphones but didn't see a need for myself since I usually have access to a computer. Though did breakdown and got a tablet but still had a hard time justifying that as a PC since I was just mostly playing games with it.

Okay, next question, Are game consoles also computers?



RE: Does this surprise anyone?
By Cerin218 on 8/16/2013 4:17:25 PM , Rating: 2
Yes. Open an Xbox. Motherboard, check. Power supply, check. Hard drive, check. Memory, check. Applications, check. Input, check. Output, check.


RE: Does this surprise anyone?
By Nutzo on 8/15/2013 6:38:45 PM , Rating: 2
Haven't seen any tablets or cell phones with GB network connections, multiple TeraBytes's of storage, or the ability to compress HD video in anything close to real time.

No difference between servers and desktops?
I don't see many desktops with multiple CPU's, redundent hot swap power supplies, redundent or ECC memory, or a dozen hot swap drives.


RE: Does this surprise anyone?
By amanojaku on 8/15/2013 8:08:55 PM , Rating: 2
quote:
Haven't seen any tablets or cell phones with GB network connections, multiple TeraBytes's of storage, or the ability to compress HD video in anything close to real time.
These are all "horsepower" problems. At one time, computers didn't have any of that, either. Does this mean my 8088 was not a computer? Or EDVAC? No.
quote:
No difference between servers and desktops? I don't see many desktops with multiple CPU's, redundent hot swap power supplies, redundent or ECC memory, or a dozen hot swap drives.
Now that's BS. Every modern computer sold is a dual-core, and many are four cores. Hell, you've got smartphones and tablets with dual and quad cores, at nearly 2GHz. There are desktops with dozens of hot swap hard drives, if you want to build such a rig. Enthusiasts have built them for about 20 years. Same thing for power supplies. Same thing for ECC memory. And there are servers that have none of those.

You're describing components, not capability. A computer can input anything and output anything, provided the software exists. The presence of a general purpose CPU and memory is what makes a device a computer. Even hardwired devices like ENIAC, Z3, and ABC are considered computers. Your post is so full of stupid that I feel sorry for you.


RE: Does this surprise anyone?
By MScrip on 8/15/2013 9:27:13 PM , Rating: 2
quote:

No one likes a grammar Nazi, but tablets and smartphones ARE personal computers. What's shrinking is the purchase of DESKTOP and LAPTOP PCs.

Oh my god... are you for real?

Yes... I meant DESKTOP and LAPTOP computers... (but you already knew that)

In fact... my last line should have given you a clue:

"I know people who haven't turned on their laptop in a month. They do all their stuff on the iPad."

Did you see that? Hmmmmm... you must have missed that last line... it was the basis of my entire comment.

I'm on a tech site right now... of course I can tell the difference between the computer in my pocket and the computer on my desk that I use for Adobe Premiere and other Windows programs.

You're right... no one likes a grammar Nazi... and no one likes people who make needless corrections either.

Funny how you're the only person who took issue with my comment and felt the need to correct me...

You're some kind of superhero.


RE: Does this surprise anyone?
By Reclaimer77 on 8/15/2013 2:26:02 PM , Rating: 3
I think it's more like that 50% already has a PC and doesn't need to buy a new one yet. Not that mobile devices have replaced the need for one.


RE: Does this surprise anyone?
By karimtemple on 8/15/2013 2:35:36 PM , Rating: 2
The key here is what "the need for one" actually is.

A: Content creation.

Something most people don't do.


RE: Does this surprise anyone?
By Reclaimer77 on 8/15/2013 3:00:21 PM , Rating: 3
Well if you want to couch it like that, there's no "need" for a smartphone either. Pretty silly argument you're trying to make.

Mobile vs PC is a silly discussion. Pretending that's the only "need" for a desktop/laptop is also -frankly- idiotic. You cannot speak for what "most people" do, just speak for yourself.

Again, this theory that people are choosing smartphones over PC's is a creative fantasy. PC's are ubiquitous, EVERYONE already has one. There is no choice being made between the two. There's just NO more room for growth in the PC market, it's entirely saturated.


RE: Does this surprise anyone?
By karimtemple on 8/15/2013 3:34:12 PM , Rating: 2
It's not an argument; more of a statement of fact. All the things a desktop/laptop can do that a mobile can't fall under two categories: creation ergonomics and More Space More Power. You either need better creation input than touch, or you need more power than what can currently fit into a mobile. Other than that, it's whatever.


RE: Does this surprise anyone?
By karimtemple on 8/15/2013 2:30:00 PM , Rating: 2
"The death of the PC" isn't all that inaccurate. Aside from the cheaper and more flexible modern mobile form factors, desktops and laptops also have had to deal with saturation. They're getting beat up from every angle, surprising no one. The reason the whole "netbook" thing ever happened was most people never actually wanted a desktop/laptop in the first place; it's just that those were the only real options back then. Computers are pretty stupid. Once someone is given an alternative that's simpler and cheaper, that's pretty much all she wrote.


RE: Does this surprise anyone?
By kleinma on 8/15/2013 2:41:48 PM , Rating: 2
The article did not state what the tablets being sold were. Are they running android? windows? ARM? Intel? They really can't break things down in terms of PCs anymore, which for a long time really just meant "windows based computer" regardless if it was a desktop or laptop.

If the majority of the tablets sold were intel based windows machines, then neither lenovo or microsoft has much to care or worry about. If the majority were android tablets, then lenovo has nothing to worry about still, but microsoft would.


RE: Does this surprise anyone?
By karimtemple on 8/15/2013 3:11:32 PM , Rating: 2
I personally think of everything as a PC -- tablet, phone, everything. But when others say "PC," I just assume they mean "desktops and laptops" and follow suit for the sake of discussion.


RE: Does this surprise anyone?
By Reclaimer77 on 8/15/2013 3:02:45 PM , Rating: 2
quote:
Computers are pretty stupid.


Well that statement disqualifies you entirely from a reasoned discussion.

Enjoy being crazy.


RE: Does this surprise anyone?
By karimtemple on 8/15/2013 3:09:36 PM , Rating: 2
Imagine a car that had the reliability of a PC. The security. The learning curve. The CEO's cat would be euthanized and his grandmother put in jail. Computers help us do some amazing things, but they've still got a long way to go.


RE: Does this surprise anyone?
By Reclaimer77 on 8/15/2013 3:22:47 PM , Rating: 2
quote:
Imagine a car that had the reliability of a PC.


Imagine a world where that made sense...

Because I can't. I don't know of ANY car that's as reliable as PC's. There are servers out there, using standard PC parts, that run 24/7 365. Hell I have a PC that I use as a fileserver that has 8 year old parts, still going strong.

The rest of your points, typical hyperbole. Are computers perfect? No. Is anything man made? But calling the PC "stupid" is just-well-stupid.


RE: Does this surprise anyone?
By karimtemple on 8/15/2013 3:37:14 PM , Rating: 2
I'm looking at this from a user standpoint. Any tool that requires you to conform to it instead of vice versa is a stupid tool. Plain and simple. Right now, computers aren't powerful enough to conform to us -- not the way they should. Obviously I don't think computers are stupid in the strictest sense, given that I'm a technology professional on a technology website. But, yeah, they're pretty damn well stupid.


RE: Does this surprise anyone?
By karimtemple on 8/15/2013 3:50:17 PM , Rating: 2
Edit: A server is not a PC.


RE: Does this surprise anyone?
By Flunk on 8/15/2013 4:05:18 PM , Rating: 2
They have that, it's call MyFord Touch.


RE: Does this surprise anyone?
By karimtemple on 8/15/2013 4:23:28 PM , Rating: 2
lol!! I've never used it. I use Sync in my company car which is a Ford, and it seems to do alright.


RE: Does this surprise anyone?
By Cerin218 on 8/16/2013 4:25:07 PM , Rating: 2
Computers ARE stupid. Computers can process on or off REALLY fast. But computers don't think. They don't reason. They don't have hopes and dreams. You will never work on anything dumber. As a human we are INFINITELY smarter. We just can't calculate on and off nearly as fast.

Nothing makes me sadder than hearing coworkers say "Why do I have to be smarter than the computer".

If you can't get your computer to do something, it's because you haven't told it what you want it to do effectively.


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