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Lenovo In Talks to Buy NEC’s Mobile Unit

Carlos Ageng'o by Carlos Ageng'o
March 29, 2013
in News
Reading Time: 1 min read
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Lenovo is in discussions to buy the Japanese company, NEC’s mobile phone division. This is according to a news report by Reuters. Although NEC is also considering other potential buyers, Lenovo seems like a logical partner because the two companies have had a joint PC-building venture since 2011.

“Amid the rapidly changing market we are considering a number of ways to bolster the competitiveness of our mobile phone business, but nothing has been decided,” NEC said in a statement through the Tokyo Stock Exchange on Friday.

2012 saw NEC lay off 10,000 workers after two years of operational losses from its mobile division. The firm has a small global smartphone market share, but it is the fourth placed smartphone company Japan. Among the smartphones produced by NEC is the dual-screen Medias W exhibited at the Mobile World Congress.

NEC had previously estimated mobile phone sales of 5 million units for the year ending March but was forced to cut this down to 4.3 million last October. Lenovo is currently the second largest PC manufacturer and the company is expanding its overseas expansion after experienceing solid growth of its smartphone business in China.

Tags: Lenovo
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Carlos Ageng'o

Carlos Ageng'o

Bringing you news on information systems, business intelligence and IT innovations. Contact me on @aKhadiemik and c [dot] agengo [at] techweez [dot] com

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