Lenovo Hopes To Trump Apple Inc. And Samsung

Lenovo

Earlier this week, Lenovo Group Limited (OTCMKTS:LNVGY) (HKG:0992) announced their plans to purchase Motorola from Google Inc (NASDAQ:GOOG) for $2.91 billion. Now the tech company’s chief executive officer Yuanqing Yang shares his company’s plans to surpass mobile tech giants Apple Inc. (NASDAQ:AAPL) and Samsung Electronics Co., Ltd. (LON:BC94) (KRX:005930).

Lenovo looks to the future

Yang spoke to Fortune recently to elaborate the deal. In the interview, he talked about what sparked his interest first:

“It’s a very, very interesting love story. We were interested in Motorola a long time ago, even when they split into two companies, Motorola Mobility and Motorola Solutions Inc (NYSE:MSI). Right after Google Inc (NASDAQ:GOOG) bought Motorola [in 2012 ], I invited [Google executive chairman] Eric Schmidt to have a dinner at my house. I told him, “If you think you want run the hardware business, you can keep the business; but if you are not interested in the hardware business, we definitely can handle that, take over that. “He remembered that, and two months ago, he sent me an e-mail. I called him back, and he asked me, “Are you still interested in Motorola?” I said, “Definitely.” We started to discuss it. I went to Silicon Valley many times. [Google CEO] Larry Page invited me to his house to have a dinner. Very quickly — in just two months — we closed the deal.”

Lenovo hopes to get a boost in the market

Since Lenovo Group Limited (OTCMKTS:LNVGY) (HKG:0992) already leads the smartphone market in China, the company could have a lot more to offer with the Motorola brand. In fact the latter is already well-established with Latin America, the United States, and a few European countries. Yang believes Lenovo Group Limited (OTCMKTS:LNVGY) (HKG:0992) will be able to use both brands to compete better in all markets.

The mobile phone market is a tough market to crack. There are a few select companies like Apple Inc. (NASDAQ:AAPL) and Samsung Electronics Co., Ltd. (LON:BC94) (KRX:005930)   that continue to lead the market, but many other tech companies don’t share that same level of success. Lenovo Group Limited (OTCMKTS:LNVGY) (HKG:0992)’s decision to buy up Motorola could prove beneficial.



About the Author

Anna Peel
Anna Peel is a professional writer. In the past four years, she has written for many websites including BSC Kids, Wasabi Media Group, Boomtron, and many others. She currently live in Savannah, Georgia and occasionally blogs about fashion during her free time.