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Lenovo starts to lose US grip

Profits from Far East connections
Fri Feb 02 2007, 07:48
PC FIRM Lenovo seems to be losing the ground that it bought when it splashed out on buying IBM's hardware division last year.

Although the firm has above industry growth for its fiscal fourth quarter, observers are quick to point out that is only happening in Lenovo's traditional Asian stomping grounds.

While the outfit had hoped that buying Big Blue's hardware division would give the company inroads into the US and European market, instead that side of the business has slumped.

In fact in the US it lost money.

Lenovo US partners are moaning that the outfit has lost focus in the land of the free. They claim that the company's expansion in retail outlets and web sales last year may have watered down the attention it paid to working with hardware software package resellers.

According to IT News, already heads are starting to roll. Americas president, Scott Smith, has left Lenovo to "pursue other interests".

More here. µ

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