|Bid||0.0000 x 0|
|Ask||0.0000 x 0|
|Day's range||0.6865 - 0.7250|
|52-week range||0.6200 - 0.9500|
|Beta (5Y monthly)||1.43|
|PE ratio (TTM)||11.44|
|Forward dividend & yield||0.04 (5.01%)|
|Ex-dividend date||26 Nov 2019|
|1y target est||N/A|
(Bloomberg) -- Huawei Technologies Co. reaffirmed its bet that expensive folding smartphones will excite consumers into upgrades, and that Apple Inc.’s iPad Pro is a design worth imitating for a new line of tablet computers. The Chinese company on Monday announced a second-generation version of its Mate X folding phone, which up to now has been sold mostly in its home country. This time Huawei’s bringing it to Europe, and said the product’s more durable than the first version and has a faster processor and 3D graphics.When folded, the Mate Xs has a 6.6-inch display, which is just slightly larger than Apple Inc.’s iPhone 11 Pro Max. But when opened out, Huawei’s device becomes an 8-inch tablet computer. It has three rear-facing Leica Camera AG-branded lenses, which double as selfie cameras when flipping the phone around in its folded form.It’ll cost 2,499 euros ($2,704) when it goes on sale worldwide in March.The market for smartphones is slowing, and manufacturers are trying to find new ways to convince consumers they should upgrade their devices. Bendable products are an increasingly popular strategy being tried out by some of the world’s biggest device makers.Samsung has been selling a foldable smartphone for as many months as Huawei, and at the Consumer Electronics Show in Las Vegas in January, Lenovo Group Ltd. showed off an updated prototype of a folding ThinkPad computer. The Motorola Razr brand is also due to make a comeback later this year, and it too will bend.Huawei also showed off a new line of tablet computers for Europe -- the MatePad Pro 5G -- aimed at the same buyers of products like Apple’s iPad Pro. It’s not without its physical similarities, either.The MatePad Pro has a 10.8-inch display compared to the iPad’s 11 inches; it includes a stylus that, like the Apple Pencil, connects magnetically to the outer edge of the tablet for recharging, and is dubbed the Huawei M-Pencil. The bezel around the screen is slimmer than that of Apple’s, but uses the same rounded screen corners that differentiate the iPad Pro from its cheaper brethren. At a briefing with reporters ahead of the launch on Monday, Huawei championed the MatePad Pro’s use of split-screen multitasking to run apps side-by-side and its optional magnetic keyboard case.It does have innovations of its own, however. The tablet can mirror the display of certain Huawei smartphones if they’re nearby, letting you control the phone virtually -- a bit like using a remote desktop app to use a PC from another computer. The tablet also has fifth-generation 5G wireless -- something no iPhone or iPad offers yet -- and it can be used to wirelessly charge other products, such as phones, headphones or computer mice.Prices will start at 549 euros for a Wi-Fi-only version from April.However, due to the U.S. government blacklisting Huawei -- which it accuses of aiding Beijing in espionage -- last year, the company’s new Mate Xs and MatePad run on versions of Android that’s free and open-source, meaning they don’t have apps such as Google Maps, YouTube or the Google Play Store. Samsung’s Android-powered tablets do not suffer such restrictions.Huawei’s been battling global scrutiny over its telecom equipment, but often overlooked is the company’s rapid growth as a smartphone manufacturer. In 2018, it surpassed Apple to become the world’s second-largest maker of smartphones, according to data from market research firm IDC. (Updates with MatePad Pro pricing)To contact the author of this story: Nate Lanxon in London at firstname.lastname@example.orgTo contact the editor responsible for this story: Giles Turner at email@example.comFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Lenovo Group , the world's biggest PC maker, posted a better than expected profit on Thursday and said its global operations would help it tackle short-term headwinds from China's coronavirus outbreak, sending its shares up nearly 8%. The Chinese company reported an 11% rise in net profit for the quarter ended December to $258 million thanks to strong demand for its PCs and smart devices, beating an average $223 million estimate of seven analysts, according to Refinitiv data. "The numbers are very good," said Christopher Yim, analyst at BOCOM International, adding that the PC business' profitability was impressive.
(Bloomberg) -- Two smartphone makers canceled events at the world’s biggest mobile technology showcase in response to the coronavirus outbreak, and organizers reinforced hygiene protocol for people still planning to attend.Delegates were warned to avoid handshakes and microphones will be changed for different conference speakers in an effort to avoid infections at MWC Barcelona, an annual event that’s set to draw around 100,000 people from around the world to the Spanish city from Feb. 24 to 27.This year’s conference is supposed to be a launch pad for a renewed push on 5G devices. However, South Korea’s LG Electronics Inc. said it’s withdrawing from exhibiting at the conference because most health experts advised against “needlessly” exposing hundreds of employees to international travel.Shenzhen, China-based ZTE Corp., which makes smartphones and wireless networking equipment, cited difficulties in traveling out of China while virus-containment restrictions are in place, and so it’s canceling its MWC press conference, though it will still send a delegation.The two companies usually occupy two of the largest, most central exhibition zones at the Fira Gran Via venue, and both were expected to contribute to an industrywide push to make the newest generation of networking and devices mainstream this year.ZTE plans to roll out “a wide variety of new 5G devices” and will keep its usual exhibition spot. LG, keen to match compatriot arch rival Samsung Electronics Co., maintains an outsize presence at the show even when it doesn’t launch any major new products, and so its absence this year will be obvious to attendees.MWC brings together wireless and tech industry executives to talk shop and do deals. Crowds of gadget fans roam the vast LED-lit conference halls to check out the latest kit -- from smartphones and tablets to artificial intelligence and robots.The latest hygiene measures were announced on the MWC website by wireless industry lobby GSMA. It had already beefed up medical support at the event and stepped up its disinfection policy for catering areas, entrances and exits and public touch-screens in response to the coronavirus.Other Asia-based companies are closely monitoring the outbreak and may yet alter their plans, however many are sticking to their existing programs.\- Huawei Technologies Co., based in Shenzhen, is considering a range of options which include leaving its current plans unchanged, flying executives from China to Spain early, or even canceling travel plans altogether, said a U.K.-based spokesman.\- Lenovo Group Ltd., parent of Motorola, says its MWC plans are still under discussion.\- Xiaomi Corp. is sending its contingent to Barcelona as soon as possible “and will make necessary adjustments accordingly,” a spokesman said.\- Samsung, Oppo, Microsoft Corp. and MediaTek Inc. representatives all said their companies are preparing for MWC as planned.Read more: Virus Outbreak May Halve China Phone Shipments in First QuarterSeveral major U.S. technology firms, including Qualcomm Inc. and Alphabet Inc.’s Google, are also scheduled to participate and play big roles at this year’s conference.On its website, the GSMA says it “continues to monitor and assess the potential impact of the coronavirus” on its event and has “implemented many measures to help to mitigate the spread of the virus and is continuing to add other actions regularly.”(Updates with latest contingency measures in first and second paragraphs)\--With assistance from Sohee Kim and Gao Yuan.To contact the reporters on this story: Mark Gurman in Los Angeles at firstname.lastname@example.org;Thomas Seal in London at email@example.comTo contact the editors responsible for this story: Thomas Pfeiffer at firstname.lastname@example.org, Jennifer RyanFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Presidents Day is a time when many companies offer steep discounts on consumer products and Lenovo is no exception, offering great, money-saving deals on some of its most popular technology. The 2020 Lenovo Presidents Day Sale will run February 10-23, with outstanding offers like these:
As Canadians plan their Family Day activities – skiing, skating or just settling in – Lenovo is ready with two weeks of great technology deals. The 2020 Lenovo Family Day Sale runs February 10-23 and features offers for everyone. Highlights include:
(Bloomberg) -- Motorola has sold more than 100 million of its mid-tier Moto G smartphones since the line launched in 2013, a milestone the company says affirms its recent turnaround.The Moto G, 30 million of which have been sold over the past two years, is a “very stable franchise, and represents the majority of our sales right now,” Sergio Buniac, Motorola’s president, said in an interview. He said it represents about 40% of the company’s sales globally and half of all business in Europe. The company plans to launch new Moto G models every 10 months, he said, adding that the Lenovo Group Ltd. unit is shortening development cycles as part of its turnaround plan.The disclosure comes before Motorola announces new devices in February and after the launch of the foldable Razr smartphone. Buniac said he believes the Razr “has the most affordable price in the category.” Its $1,500 price tag sits well below the $2,000-and-up asked by Samsung Electronics Co. and Huawei Technologies Co. for their respective foldables. The Razr will be getting some closer competition in the coming weeks, however, when Samsung is expected to reveal its smaller foldable phone with a design similar to Motorola’s.The current Moto G sells for $300, making it far cheaper than most mass-consumer smartphones from Alphabet Inc.’s Google, Samsung or Apple Inc. That price differential appears to be Motorola’s calling card across the categories it competes in. Once one of the biggest names in mobile phones, the U.S. brand has fallen on hard times, having been taken over by Google for $12.5 billion in 2012 and then landing under Lenovo’s stewardship in 2014 for a price of under $3 billion.To contact the reporter on this story: Mark Gurman in Los Angeles at email@example.comTo contact the editors responsible for this story: Tom Giles at firstname.lastname@example.org, Vlad Savov, Edwin ChanFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Worldwide shipments of personal computers increased 2.3% in the fourth quarter from a year earlier, continuing a 2019 trend fueled by commercial customers upgrading to Microsoft Corp.’s new operating system.Lenovo Group Ltd. held onto the top spot with almost 25% of the market amid a quest by PC makers to find new types of machines to entice customers.PC shipments climbed to 70.6 million units in the period that ended Dec. 31, researcher Gartner Inc. said Monday in a report. Competing firm IDC pegged the shipments at 71.8 million units, a 4.8% rise. For the year, the PC market grew for the first time since 2011, both firms said.For a third consecutive quarter, manufacturers received a boost from corporate clients upgrading devices to get access to Microsoft’s Windows 10 operating system. Microsoft will stop supporting Windows 7 Tuesday, according to the company’s website.With corporate upgrades expected to taper off this year, PC makers have searched for ways to shake up a market that has stagnated for years. Beijing-based Lenovo last week debuted a laptop with a folding screen at the CES consumer technology show in Las Vegas. Dell Technologies Inc. also unveiled two concepts that featured folding screens.“Despite the positivity surrounding 2019, the next twelve to eighteen months will be challenging for traditional PCs as the majority of Windows 10 upgrades will be in the rearview mirror and lingering concerns around component shortages and trade negotiations get ironed out,” said Jitesh Ubrani, research manager for IDC’s Worldwide Mobile Device Trackers. “Although new technologies such as 5G and dual- and folding-screen devices along with an uptake in gaming PCs will provide an uplift, these will take some time to coalesce.”HP Inc. maintained the global No. 2 spot with 22.8% of the market during the quarter. The U.S. company has sought to make its devices more stylish and has also entered the lucrative gaming PC market. Dell was again the third-largest seller, and its 12% year-over-year increase in shipments was the biggest gain of any major manufacturer in the quarter. The company focuses on selling PCs to corporate clients, to bolster profit margins through add-on software and services. Apple Inc. came in fourth place with 7.5% of the worldwide market.To contact the reporter on this story: Nico Grant in San Francisco at email@example.comTo contact the editors responsible for this story: Jillian Ward at firstname.lastname@example.org, Andrew Pollack, Molly SchuetzFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Advanced Micro Devices Inc., trying to justify a meteoric stock performance last year, said its new laptop processors will eclipse the performance of offerings from rival Intel Corp.New Ryzen 4000 U series chips are aimed at the thinnest and lightest notebooks, a lucrative market where Intel has traditionally dominated. The highest-end version will have eight cores, each one capable of handling two processing loads at the same time, a first for the market, AMD said Monday.Chief Executive Officer Lisa Su is pitching new products at the CES technology show in Las Vegas. AMD’s stock was the best performer on the Standard & Poor’s 500 Index last year, bid up almost 150% by investors who believe the company’s improved chips will help it grab market share and finally shed its status as a cheap alternative to Intel.Santa Clara, California-based AMD closed the gap with Intel in desktop machines and server computers in 2019. Still, the bulk of product shipments by volume are laptop parts where Intel’s hold has remained more resilient, at above 80% of the market.The first laptops featuring the 4000 U series will debut in the first quarter and AMD is predicting that more than 100 systems will go on sale in 2020. The company showed off a Lenovo Yoga model featuring the 4800 version, demonstrating that its chips are getting into more expensive machinery.At the same event, AMD executives debuted a new desktop aimed in part at proving that the company’s technology is improving quickly and challenging Intel everywhere. The Threadripper 3990X has 64 computer cores and can count at 4.3 gigahertz. The massive chip is the first to carry these capabilities and is aimed at users working on professional workloads including video rendering. Capable of outperforming two Intel server chips, AMD said, it will cost $3,990 for a single chip when it goes on sale in February.To contact the reporter on this story: Ian King in San Francisco at email@example.comTo contact the editors responsible for this story: Jillian Ward at firstname.lastname@example.org, Molly SchuetzFor more articles like this, please visit us at bloomberg.com©2020 Bloomberg L.P.
(Bloomberg) -- Lenovo Group Ltd. showed off the inside of its foldable $2,499 ThinkPad computer, which goes on sale mid-year, in order to instill confidence in a category that has had some technological setbacks. An earlier prototype of the 13-inch tablet that folds in half first previewed last May, but the technology behind the hardware has evolved. That folding mechanism makes the computer easier to transport, but has also been tricky for some other companies to deploy well. In a demonstration at the CES consumer technology show in Las Vegas, there was no crease in the display when it’s fully unfolded — unlike with the Samsung Galaxy Fold and Lenovo’s own forthcoming Motorola Razr smartphone — and it’s compatible with a keyboard attachment that mounts on the top of the screen. The plastic OLED screen has carbon fiber plates beneath it for dent resistance, an issue that also plagued Samsung’s device, as well as a silicon and magnesium frame around the edges to prevent breaks. In an interview, Lenovo commercial PC President Christian Teismann said the company spent four years developing its folding screen technology and that the computer is designed to last a typical three- to four-year life cycle. With about six months to go before shipping, the computer still appears to need some tweaks to work properly with Microsoft Corp.’s Windows operating system. It also runs on a new Intel Corp. chip that’s slower than those that typically are found in computers at a comparable price point. Given its expense, the machine likely will appeal first to early adopters, but technology companies are pushing for foldable devices to eventually become mainstream hits. Lenovo will also offer a 5G version for an extra charge, making the device one of the first computers to run on the new high-speed wireless standard. To contact the author of this story: Mark Gurman in Los Angeles at email@example.comTo contact the editor responsible for this story: Molly Schuetz at firstname.lastname@example.orgFor more articles like this, please visit us at bloomberg.com©2020 Bloomberg L.P.
(Bloomberg Opinion) -- It seems like Motorola has invented a 2019 version of the Flux Capacitor. That fictitious device from “Back to the Future” made time travel possible. Now, the phone division of Lenovo Group Ltd. has to overcome the same kinds of struggles faced by the vintage film’s DeLorean-driving scientist.Rather than racing to meet a lightning bolt, Motorola is rushing to make enough retro-inspired Razr flip phones to handle demand. Motorola unveiled the updated version of the classic 2005 handset in November, replacing the keypad with a foldable touchscreen and running the Android operating system. That flexible display pits it against Samsung Electronics Co.’s Galaxy Fold, which faced its own problems when an early version was found to peel, and Huawei Technologies Co.’s Mate X.“Motorola has decided to adjust Razr’s presale and launch timing to better meet consumer demand,” said Lenovo, which bought the handset brand of the U.S. electronics company in 2014. “We are working to determine the appropriate quantity and schedule to ensure that more consumers have access to Razr at launch.”Presales were originally going to start in December for January shipping. That schedule would have made it difficult to capture Christmas demand, but further delay means the company will miss out completely. New timing wasn’t announced.It’s hard to gauge how brisk the demand really is. At $1,500, the handset is 36% more expensive than Apple Inc.’s top-end iPhone 11 Pro Max ($1,099), yet is considerably cheaper than both the Samsung and Huawei foldable offerings.Beyond the price, though, there’s something compelling about the Motorola design that doesn’t exist in the rival incarnations. Its flip, which harks back to the golden era of pocket-sized handsets with three-day battery lives, appears to resonate with consumers more than the alternatives that fold along the long edge of the device.It’s worth considering Samsung’s struggles. Despite being the world’s biggest and most-advanced developer of smartphone screens, Samsung still developed a display that couldn’t overcome the technical challenges of combining foldability with durability. The South Korean giant aborted an earlier launch schedule after demonstration models were found to peel and crack along a protective coating on the screen.The bleeding edge of technology often doesn’t meet timetables. It’s somewhat easy to make one device that passes quality-control standards in a test factory. Scaling up, though, is what sorts the doers from the talkers. Many a tech startup has failed because its great idea couldn’t be manufactured in bulk or on time.Apple itself faced similar problems with its iPhone X two years ago. A new 3D sensor, used for facial recognition, was to be a key feature of the 10th anniversary edition. But the main components proved to be difficult to make, forcing a delay and crimping supply in the early months of availability. That wasn’t the first drama Apple had faced with new technology. Its decision to use a new, lighter aluminium alloy for its iPhone 5 in 2012 meant that the outer shell scratched more easily, forcing a tightening of quality control at Foxconn Technology Group, which made the handset. This ended up causing unrest at Foxconn’s factories in China. Having demand outstrip supply sounds like a nice problem to have. Except that this means lost revenue and limits the ability to cover the cost of development. A bigger risk is that consumers eager to buy a new phone get impatient and decide to shop elsewhere. In the world of Android devices, the pace of competition means something better is just around the corner.So while Lenovo might want to bathe in the glory of its nostalgic design being highly sought after, it better move like lightning before something newer and shinier comes along.To contact the author of this story: Tim Culpan at email@example.comTo contact the editor responsible for this story: Patrick McDowell at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tim Culpan is a Bloomberg Opinion columnist covering technology. He previously covered technology for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
(Bloomberg) -- Motorola is delaying the launch of the foldable Razr smartphone in North America, saying demand for the $1,500 device has outstripped its supply predictions.Read More: Motorola Brings Back the Razr as a Foldable SmartphoneThe handset, announced in November, was supposed to become available for pre-order in December and begin shipping to customers in January. “Motorola has decided to adjust Razr’s presale and launch timing to better meet consumer demand,” the Lenovo Group Ltd. unit said Friday in a statement. “We are working to determine the appropriate quantity and schedule to ensure that more consumers have access to Razr at launch.”The company declined to say when the phone would go on sale, but said it does not anticipate a “significant shift” from the original launch timeline. In an interview with Bloomberg News earlier this year, Motorola President Sergio Buniac said he hoped for “a little bit more” demand than supply.Motorola did not blame technical issues for its delay. Other companies, such as Samsung Electronics Co., have struggled to launch foldable devices on time due to issues with screens failing. When Motorola announced the device, design chief Ruben Castano said “We feel like we’ve really developed a robust solution.”The foldable Razr looks similar to the original model from the early 2000s, but runs Google’s Android operating system and features touchscreens inside and out. Motorola previously said the phone would also go on sale in Europe, Latin America, Asia, and Australia, but it did not share new launch information for those regions on Friday.To contact the reporter on this story: Mark Gurman in Los Angeles at email@example.comTo contact the editors responsible for this story: Tom Giles at firstname.lastname@example.org, Alistair Barr, Molly SchuetzFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Seventy-five-year-old Liu, who founded Legend Holdings in 1984, had stepped down as the chairman of Lenovo Group in 2011 to focus on the parent company. Legend veteran Ning Min, who joined the company in 1991 and has held several senior roles over the years including that of chief financial officer, has been appointed the new chairman.
(Bloomberg) -- Terms of Trade is a daily newsletter that untangles a world embroiled in trade wars. Sign up here. When Microsoft Corp. co-founder Bill Gates tried to build an experimental nuclear reactor in China, his plan was thwarted by U.S. foreign investment restrictions. At Bloomberg’s New Economy Forum this week, Gates described the scuttled reactor project as “a five-year setback for technology.”A chorus of industry leaders, economists and researchers echoed Gates’ cautionary tale during the event in Beijing. Trade tensions between China and the U.S. have spilled into business and economics in tangible ways, they warned, including a slower pace of technological progress and scientific research. If relations between the two superpowers don’t get back on track soon, “we’re in danger of going back to the dark ages,” said Yahoo co-founder Jerry Yang. “We need to reestablish some level of trust between initiatives that can really promote and benefit the people of two countries.”Open systems will inevitably win out over closed ones, Yang argued. He also cautioned U.S. companies that doing business in China may require some uncomfortable compromises.“The challenge with doing business across countries with different value systems is really starting to be more apparent,” he said. “Foreign companies that choose to operate in China have to face the fact that you have to comply with their rules.”Several Chinese tech company officials said they still wanted to work with American companies and that together, the two countries could further technological progress. “We’re in the 5G era, let’s not go back to the 2G or 3G era, where we had different standards,” said Lenovo Chief Executive Officer Yang Yuanqing.Cooling political relations between Washington D.C. and Beijing have slowed international collaboration. In May, the U.S. subjected Huawei Technologies Co. to a variety of sanctions, citing security concerns. The company and other Chinese tech sector boosters believe the move was motivated more by fear of China’s rising influence over fifth-generation networking gear and artificial intelligence.Huawei is Micron Technology Inc.’s largest customer, and on Thursday in Beijing, Micron CEO Sanjay Mehrotra told Bloomberg TV that the company has no plan to move U.S.-based manufacturing out of the country to facilitate supply to China.Mehrotra was one of more than a dozen top tech company executives to attend the two-day forum, which was organized by Bloomberg Media Group, a division of Bloomberg LP, the parent company of Bloomberg News. Most were cautiously optimistic that one way or another, tech companies would find a way to work across borders.It’s important to differentiate between the stance of the U.S. government and that of industry, said Parag Khanna, Managing Partner at FutureMap. “There’s always been a ‘silicon curtain’ when it comes to social media for U.S. companies,” he said, referring to the separate ecosystems that have developed in the U.S. and China. “But on hardware side, that’s the last thing they want.”He said the head of supply chain at a major U.S. semiconductor supplier told him recently that they “don’t have a plan B for international revenue and access to a large important market like China. We have to find a way to keep selling to China.”Zhu Min, chairman of the National Institute of Financial Research at Tsinghua University, put a finer point on it. Chinese imports accounted for about 65% of the $480 billion global chip market, he pointed out. “If trade friction stops chip exports to China, I think the whole global chip industry will break down,” Zhu said.While global business leaders may want to sidestep the political and trade tensions and simply get back to making money, that no longer seems possible, said Diana Choyleva, chief economist at Enodo Economics.“This is about a clash of ideology in terms of how the different systems view the internet, data, privacy and digital governance,” she said. “Whoever wins the technology race will be the global dominant power.”A growing digital divide threatens to be expensive, as companies spend more on their own technological independence and compensate for the limitations of their domestic markets, said Hong Chen, CEO of the Hina Group, a Beijing-based advisory and private equity firm.“But it also creates opportunities,” he said. Huawei, for example, might not have built its own mobile operating system if it knew it could rely on Google’s Android operating system. American sanctions were “a wake up call,” he said, spurring Huawei to create its own operating system that now attracts a whole new generation of app developers.For smaller companies without Huawei’s deep pockets, the opportunities are more constrained. Spencer Deng, a co-founder of robotics startup Dorabot, which is backed by Kai-Fu Lee’s Sinnovation Ventures, said he built his business on the premise of unrestricted, cross-border trade.“A separate supply chain will create a slower movement of goods,” he said. “That causes a slowdown for business and it’s not good for anyone.”\--With assistance from Colum Murphy and Gao Yuan.To contact the reporter on this story: Shelly Banjo in Hong Kong at email@example.comTo contact the editors responsible for this story: Peter Elstrom at firstname.lastname@example.org, Janet Paskin, Colum MurphyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Motorola is rebooting the iconic Razr flip phone as a 6.2-inch smartphone with a foldable display that gives the Lenovo-owned brand a unique selling point against Apple Inc. and Samsung Electronics Co.’s finest.The new device reprises the Motorola Razr name and looks like a modernized version of the original. It costs $1,499 and will be available for pre-order in December in Europe and as a Verizon exclusive in the U.S., ahead of its retail arrival in January. For Lenovo Group Ltd., which has a tiny fraction of the global smartphone market, it's an effort to build brand awareness in the U.S. via a halo device.Launched in late 2004, the first Razr became a cultural icon in the U.S., sold 130 million units and was the face of the phone industry before Apple launched the iPhone in 2007. Motorola’s new model has a shot at some fame as well, as it’s set to become the first true foldable phone on the market — every other device so far could more properly be described as a foldable tablet — and company executives have told Bloomberg they are confident that their design won’t succumb to the durability issues that pushed back Samsung’s Galaxy Fold launch.The 2019 Razr is no bargain, but compared to the $1,980 Galaxy Fold or Huawei Technologies Co.’s $2,600 Mate X, it’s the most affordable member of the most expensive modern phone category. The compromise that users will have to accept with the Razr is in some of its specifications: it has a small battery at 2,510mAh and runs the older Android 9 Pie operating system on Qualcomm’s sub-flagship Snapdragon 710 chip. It lacks the 5G option and bountiful memory of its rivals. Aside from the U.S. and Europe, it’ll also be on sale in Latin America, Asia and Australia.Motorola President Sergio Buniac said he doesn’t see the launch as a “silver bullet” for rocketing Motorola’s sales up to Apple and Samsung numbers. Over the past several quarters, Motorola has turned its mobile business from a flailing unit of China’s Lenovo to profitability in many markets, he said. The new Razr is intended to continue that even without strong sales. Buniac said he’s hoping for “a little bit more” demand than supply, while Lenovo Chief Operating Officer Gianfranco Lanci said “it will bring greater awareness to the brand, especially in key markets like North America.”Motorola’s take on foldable phone design is markedly different to the first batch of foldable devices. Instead of a vertical hinge that makes it open like a book, the new Razr opens and closes like a classic flip phone. Closed shut, the phone is a square that’s about half the size of an iPhone 11 Pro Max, and Motorola has used the foldable technology to make one of the most portable phones on the market. In the process, it’s brought back the action of flipping the phone shut to hang up calls, which is something most premium smartphone consumers haven’t done in at least a decade.Samsung is planning to introduce its own square-shaped foldable phone as its second Galaxy Fold device early next year. Until that time, Motorola looks set to be all alone in offering a regular smartphone capable of collapsing into a pocket-friendly clamshell.“We wouldn’t be bringing the product to market if we didn’t think it was ready,” said Buniac, underlining Motorola’s belief in the reliability of its particular hinge and fold design. Samsung’s Galaxy Fold had issues with air bubbles popping up beneath the display and tiny particles getting trapped under the screen. Touting a so-called zero-gap design, Buniac said “Our expectation is that we will have a reliable product, and as we launch you will see, but we are confident in what we achieved.”In a brief hands-on test with the Razr, the handset felt and looked impressive. Its screen felt fragile, but the device’s design chief Ruben Castano said “We feel like we’ve really developed a robust solution,” pointing to stainless steel structural plates between the bottom of the inner screen and the device’s internals. He says that layer will help prevent particles like sand from going into the device’s electronics and breaking the display. There’s also a 2.7-inch exterior touchscreen for quick access to commonly used functions and checking notifications.Similar to Samsung, Motorola will offer 24-hour turnaround replacements under a standard warranty for display failures, and it will charge $299 if the issue falls out of warranty in the U.S. The phone will be sold via Verizon Wireless as the exclusive launch carrier in the U.S. and will be available at Verizon and Walmart stores from January.The Razr’s inner display appeared impressive with a high-resolution panel whose crease was more subtle than the one on the Galaxy Fold. When unfolded, the Razr operates like most other Android phones, running a full touchscreen version of Google’s operating system. The external screen is designed for light interactions like answering calls and texts, but like the front screen on the Galaxy Fold, it’s not something most consumers are likely to use much. The new Razr is a flip phone at heart and that’s how most people will want to use it.Castano said that Motorola started working on a foldable design around 2015 and that its biggest challenge was being able to match the first Razr’s ability for the phone to be fully shut with no gap. Like the original Razr, the 2019 model has a chin at the bottom that houses electronics such as the LTE antenna. it also has a notch at the top of the main display, lacks a headphone jack, and will be available only in black and with 128GB of storage without further upgrade options. Its camera and battery specs are underwhelming, though Motorola promises “all-day battery life” without quoting an exact number of hours.Motorola’s other big task will be to prove itself at the super premium end of the market that’s long been dominated by Samsung and Apple. Since the first Razr, the Motorola brand has worn many hats, having served as a middling iPhone counter with the Verizon Droid, gone through a $12.5 billion Google acquisition and eventually ended up in the hands of Lenovo. It now needs to rebuild its own brand identity.But the Razr’s shortcomings may very well not matter. This device is designed to appeal to those nostalgic for the flip phone era, for whom specs may not be a priority, as well as the early adopters of new technology, who are more tolerant of first-generation imperfections. To contact the author of this story: Mark Gurman in Los Angeles at email@example.comTo contact the editor responsible for this story: Vlad Savov at firstname.lastname@example.orgFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Lenovo Group Ltd.’s quarterly earnings surged 20% after the Chinese personal computer giant safeguarded its market share against American rivals HP Inc. and Dell Technologies Inc.Net income rose 20% to $202.2 million in the three months ended September. That compares with the $201 million average of analysts’ estimates compiled by Bloomberg. Revenue increased 1% to $13.52 billion, versus the $13.7 billion average of 10 analysts’ estimates.Lenovo expects the global demand to “remain volatile amid a complex macro environment,” the company said in a statement, adding that it’s “well positioned to manage complex and dynamic market conditions.”Lenovo was responsible for nearly a quarter of worldwide PC shipments last quarter, thanks to a strong push in Europe, the Middle East and Japan, according to IDC, an industry research firm. The 17.3 million units shipped helped the Chinese company claim top spot in the market, beating long-time competitors HP and Dell.But Chief Executive Officer Yang Yuanqing has warned about uncertainty from U.S.-China trade tensions, which could disrupt its global business as well as a supply chain that stretches from North Carolina to Wuhan, China.Also on Yang’s checklist are plans to revive the datacenter business, which is suffering from sluggish demand because clients tend to cut back on hardware expenses amid economic uncertainty. The smartphone unit could also use a face-lift, as a business that’s shown few signs of growth outside of North and Latin America.To contact Bloomberg News staff for this story: Gao Yuan in Beijing at email@example.comTo contact the editors responsible for this story: Edwin Chan at firstname.lastname@example.org, Colum MurphyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Chinese personal computer maker Lenovo Group Ltd reported a 20% year-on-year jump in second-quarter profit on Thursday, slightly beating analysts' estimates, on the back of strengthening demand for its products. Lenovo's net profit in the quarter ended September rose to $202 million, compared with an average estimate of $199.59 million by eight analysts, according to Refinitiv data. China's Lenovo Group, the world's largest PC maker, warned in August that it would have to raise prices if U.S. tariffs increased, and that shifting manufacturing from China to avoid tariffs could further bump up costs.
(Bloomberg) -- Xerox Holdings Corp. is considering a cash-stock offer for the $27 billion PC giant HP Inc., the Wall Street Journal reported, a deal that could combine two of the biggest American names in office hardware.Xerox’s board met Tuesday to deliberate a deal that could result in $2 billion of annual cost savings, the newspaper cited unidentified people as saying. While there’s no guarantee the company will follow through, any offer would value HP at a premium to its market value, the Journal reported. Representatives for the companies weren’t immediately available for comment after regular business hours.Xerox, which a day before agreed to jettison a slice of a venture with Japan’s Fujifilm Holdings Corp. for $2.3 billion, may be angling to take over the world’s largest maker of personal computers after China’s Lenovo Group Ltd. Any deal would buttress its share of the printing and copying market, which has been hard-hit by the global move toward cloud computing and other internet services.It’s unclear how Xerox -- a name synonymous with the copying industry -- intends to finance the acquisition of a company several times its market value. Xerox has already secured an informal funding commitment from a major bank, the Journal reported, on top of proceeds from the sale of its stake in Fuji Xerox.HP itself, once an icon of American technological innovation, is struggling in a plateauing PC market with the advent of smartphones. The company, which appointed a new chief executive officer just last month, aims to slash as much as 16% of its workforce as part of a restructuring meant to cut costs and boost sales growth amid its first change in top leadership in four years. HP’s printing business, a major source of profit, has seen falling sales and recently was dubbed a “melting ice cube” by analysts at Sanford C. Bernstein.HP’s shares were largely unchanged in low-volume extended trading.(Updates with more details from the Journal from the first paragraph)To contact the reporters on this story: Edwin Chan in Hong Kong at email@example.com;Nico Grant in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: Peter Elstrom at email@example.com, Fion Li, Colum MurphyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Worldwide shipments of personal computers increased 1.1% in the third quarter from a year earlier, fueled by companies upgrading to Microsoft Corp.’s latest Windows software.PC shipments climbed to 68 million units in the period that ended Sept. 30, researcher Gartner Inc. said Thursday in a report. Lenovo Group Ltd., the China-based owner of the ThinkPad lineup of professional devices, held almost 25% of the global market, widening its lead against U.S. rival HP Inc.Computer makers have been concerned by the U.S.-China trade war and Intel Corp.’s chip shortage, but Mikako Kitagawa, a Gartner analyst, said neither played a major role in the third-quarter shipments. “The Windows 10 refresh cycle continued to be the primary driver for growth across all regions,” she said in a statement.HP, the global No. 2, continues to be the largest PC vendor in the U.S. The company has sought customers seeking more expensive machines, such as gaming enthusiasts, to boost profit margins. Dell Technologies Inc., which focuses on selling corporate PCs, rounded out the global top three while Apple Inc. held the fourth spot with 7.5% of the worldwide market.To contact the reporter on this story: Nico Grant in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: Jillian Ward at email@example.com, Andrew Pollack, Molly SchuetzFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Microsoft Corp. unveiled a dual-screen, foldable phone that will run on Google’s Android operating system, jumping back into the handset market after product failures and costly writedowns pushed it out three years ago. The phone, called the Surface Duo, has two 5.6-inch screens and will ship in time for the 2020 holiday season, Microsoft Chief Product Officer Panos Panay said at an event in New York Wednesday. With the Duo, Microsoft will seek to seize a share of a massive global market for mobile phones that’s on the cusp of transitioning to new technology with the arrival of 5G networks. Chief Executive Officer Satya Nadella took Microsoft out of the phone business in 2016, three years after the purchase of Nokia Oyj’s handset unit for more than $7 billion failed to arrest Windows’ sliding share in the smartphone market.Since then, company executives have repeatedly said Microsoft wouldn’t re-enter that market unless it had something different to offer. A return to phones this time has Microsoft relying on software rival Google’s Android for the operating system. Android powers the large majority of smartphones around the world. “This is an aggressive move that was not expected by the Street,” said Wedbush Securities analyst Daniel Ives. “We view it as a smart strategic gamble by Nadella to jump back into the deep end of the pool on the smartphone front.’’ The new phone makes sense for Microsoft because any company that's serious about hardware needs to have a mobile play, said Ryan Reith, an analyst at research firm IDC. The most interesting thing about the announcement is the dual-screen form, Reith said. It's likely Microsoft made that choice because a regular phone wouldn't have stood out as much among the dozens of alternatives already out there, he said.The move also draws Microsoft further into a hardware business some investors still haven’t warmed to. Microsoft shares were down 2.2% to $134.01 at 12:31 p.m. in New York. Nadella has been quick to embrace rival products where it advances Microsoft’s goals, such as apps for Android and Apple Inc.’s iOS, and using the Linux operating system within Windows and Azure cloud products.The European Union’s antitrust ruling against Google last year over the way it puts search and web-browser apps onto Android devices also means Microsoft would be freer to merge its own apps with Android. Since the EU’s case, it's now possible for a phone maker to use Android and the Play app store and still preinstall all of its own services on the homescreen.Microsoft and Google make competing sets of productivity software, and it remains to be seen which company's apps will be preloaded on the phone. Still, it's unlikely the handset will become a major battleground for the two, Reith said.“Both risk their productivity suites competing with each other but there's more short-term opportunity for them collaborating,'” he said.Other announcements made at Microsoft’s annual hardware event include a new Surface Neo laptop with a 360-degree hinge and two 9-inch screens so it can open like a book or like a laptop. The device has a removable, flipable keyboard, which magnetically seals to the back of the device, along with a pen. It will run a new version of Windows 10 designed for dual screens called Windows 10X. The new foldable Surface products come as companies like Samsung Electronics Co. and Huawei Technologies Co. have also rolled out phones with similar features, albeit after some initial design difficulties, and PC makers like Lenovo Group Ltd. have shown computer prototypes with folding screens. Microsoft also introduced a completely redesigned version of its Surface Pro hybrid tablet-laptop that's thinner, lighter and faster than previous models and runs on a customized processor with Microsoft and Qualcomm Inc. technology. Called the Pro X, the device also has a custom artificial intelligence processor and better battery life. The device’s pen gets stowed in the tablet’s cover where it wirelessly charges. Microsoft also showed off white, circular Surface earbuds that have touch controls to enable the user to take calls and switch music. They will be available later this year starting at $249.Redmond, Washington-based Microsoft relies on its Surface devices to boost sales as well as show off its software and attract customers to its family of products. Many of the products have been well reviewed, though Microsoft lags behind Apple and other hardware vendors in popularity. Microsoft held a 3.6% share of the worldwide tablet market in the second quarter of this year, making it the No. 6 vendor with shipments of nearly 1.2 million units, according to IDC. That represents growth of 48% compared with a year earlier. Apple by comparison was No. 1 in with a 38% share.Microsoft also presented a new laptop and an update to the existing Surface Pro device.The new Surface Laptop 3 will have an aluminum exterior finish, “instant on” and a bigger trackpad. The device will be available with a 15-inch screen and fast charging. Panay said the product is three times more powerful than Apple’s Macbook Air. The devices can be pre-ordered starting Wednesday and will be available Oct. 22 at $999 for the 13-inch and $1,199 for the 15-inch. The Surface Pro 7 comes out the same day and starts at $749.Microsoft’s device revenue topped $6 billion in the year that ended June 30, including Surface units and PC accessories, according to its annual filing. The company uses the devices to attract corporate users to its hardware and programs, while Apple dominates the consumer part of the market, according to Wedbush’s Ives. “Surface represents the tip of the spear of the broader Microsoft ecosystem as Microsoft still needs a horse in the race on next generation consumer hardware and devices,” Ives said. “While some investors continue to question this investment as good money going after bad endeavors on Surface, we strongly disagree as this remains a mind and market share strategic gamble.”\--With assistance from Kiley Roache.To contact the authors of this story: Dina Bass in Seattle at firstname.lastname@example.orgGerrit De Vynck in New York at email@example.comTo contact the editor responsible for this story: Molly Schuetz at firstname.lastname@example.orgFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Foldable phones may have had a rocky 2019, but that hasn't deterred other companies from exploring the world of flexible screens. At CES 2020 we saw foldable PC prototypes from three different companies, Intel, Dell, and Lenovo, and Lenovo's Thinkpad X1 Fold you can actually buy.
Nov.21 -- Lenovo Group Ltd. Chairman and Chief Executive Officer Yang Yuanqing talks about the importance for companies across the world to cooperate in the technology industry, and the need for a uniform standard for fifth-generation mobile technology. He speaks at Bloomberg's New Economy Forum in Beijing.