Lenovo No. 1 in global personal computer market

Jul. 11, 2013 @ 04:19 PM

The Chinese company Lenovo, which has a U.S. headquarters in Morrisville, rose to the top of the personal computer industry rankings in two industry reports in the second quarter, beating Hewlett-Packard.

Research firms IDC Corp. and Gartner Inc. ranked Lenovo at the top of their global personal computer market rankings in the second quarter, marking for the first time that the company has been the “clear global leader” in both reports, according to Lenovo. The company acquired IBM Corp.’s personal computer division in 2005.

“We are proud that Lenovo has become the clear world leader in PCs, and we are grateful to our customers and to our global team for this success,” said Yang Yuanqing, Lenovo’s chairman and CEO, in a news release. “Even in the toughest PC market ever, Lenovo has not only gained share, but we have steadily improved profitability and introduced even more innovative products for every market segment.”

IDC reported that Lenovo reached 16.7 percent global PC market share in the quarter, up from 15 percent a year prior. Gartner reported that Lenovo reached 16.7 percent share this quarter, up from 14.9 percent a year ago. 

Although it climbed the PC global market rankings, Lenovo’s total personal shipments were down 1.4 percent in the second quarter compared with the same quarter last year, according to IDC. Gartner reported a 0.6 percent decline in the company’s PC vendor unit shipment estimates compared to the prior year.

All together, IDC reported that worldwide PC shipments were down 11.4 percent, and Gartner reported that worldwide PC shipments were down 10.9 percent from the same period last year.

The PC market is struggling in the face of competition from tablets and other devices, as well as with the transition to touch-based systems running Windows 8, according to IDC.

Earlier this year, Lenovo confirmed a cut of a small number of jobs in Morrisville as part of an effort to invest more heavily in higher-growth areas.

“The PC market is changing, but it still represents a $200 (billion) opportunity,” Yuanqing said. “Lenovo can capture more of this opportunity than our competitors because we have built great balance over the last four years. In our traditional strongholds -- China and global commercial PCs -- we have continued to gain share and build sustainable profit engines.”

Yuanqing also said the company’s PC leadership is “just one milestone” in a longer journey to become a leader in the “PC Plus” market that includes tablets, smart phones, smart TVs and other devices.