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Lenovo: The challenge is to focus on moving towards the PC+ era

Sathya Mithra Ashok | April 7, 2014
As Lenovo pushes into the consumer market in the A/NZ, Matt Codrington, MD of Lenovo A/NZ talks about the shape of things to come.

In the consumer space we can grow quite quickly and that would be my expectation.

Q: How do you see the x86 acquisition affecting operations and the partner network in the region?
MC: As we go through the regulatory discussions and approvals, I am limited in what I could say. What I could say is globally we are bringing in 7500 employees, through the x86 acquisition. We are bringing on more than 3000 employees through the Motorola acquisition. So the team will expand.

When you look at the various businesses Lenovo has some very strong partnerships in the client business, whereas IBM has strong relationships that are different both in terms of partners and customers. So these acquisitions will certainly expand our partner base, both from an enterprise perspective and mobility perspective.

Motorola has a smaller presence here.

If you look at the businesses, the x86 server business for me will become a core focus for me. And the smartphone business will become a core focus for me. So there will be levels of investment there to drive them much faster. And again in the enterprise and headset space I hope that we will see a much faster growth than the market, as we invest in those areas.

Q: How do you see growth from NZ businesses in the near future?
MC: I have had discussions with some of our customers and partners. The sentiment is coming back and reasonably positive. Globally it has been a tough couple of years. The sense I get from partners and customer s is that that they are a lot more positive and bullish on the economic outlook, which will drive business.

Things like XP have driven refresh cycles as we move to Windows 8, Android platforms. Even with commercialisation there are opportunities for companion devices and that is a growth area. Smartphones are a rapidly growing space and we will have some opportunities there. In the commercial PC space the advent of touch and new technologies will drive refresh cycles for us to grow in. And then if you look at cloud computing there is opportunity there to be of service on a different model.

From a partner and customer perspective, you have the possibility of something like the managed desktop where you have an endpoint device, backed up by infrastructure maybe as a service, where customers are paying per seat by the month. How we can go and service something like that is interesting.

And then you can enable very quickly the right devices in the right spaces so you are not tied into that longer cycle with procurement of technology. That will drive bits of innovation in that space and give us more opportunity to almost verticalise the products - with the right touch products, with the right guys in the warehouse, as opposed to the guys in the head office or the guys in the outbound sales force.


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