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China's Lenovo to acquire IBM's PC division?


Quest

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Aren't most people still using PC? If IBM is not making money then perhaps somehow it is not competitive enough in this department. I suppose selling it would be a purely commercial decision, and has little to do with whether the buyer is a Chinese company or otherwise. :wink:

Oh and thanks for posting the article. I don't usually pay attention to business news (or any news really) and it is interesting to know that IBM is withdrawing.

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I think the reason most PC makers are losing money now is because even pentium 3 is already fast enough to accomodate all personal computer needs (other than gaming of course), unlike the early pentium days, there's just no need to change your pc every couple years.

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I think the reason most PC makers are losing money now is because even pentium 3 is already fast enough to accomodate all personal computer needs (other than gaming of course), unlike the early pentium days, there's just no need to change your pc every couple years.

Wait until Longhorn comes out.

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I'm fascinated by this new partnership. By the way, it is a partnership, although it's described as Lenovo buying IBM's PC business.

Lenovo wants credibility as a PC maker both inside and outside China. The IBM brand could help them with that.

IBM wants to dump a business segment that is barely staying afloat, and concentrate on the big corporate market . IBM also wants a true entry into China, and access to big Chinese companies. The Lenovo deal helps them with this, as Lenovo is partly owned by the Chinese government.

IBM sends some top execs to run the company in China. Lenovo sets up headquarters in New York. Interesting. Is this the future of business? Maybe.

Personally, I think IBM got the better part of this deal. The PC market is not going to be an easy one over the next few years. Lenovo will struggle in the international market. But Lenovo didn't pay all that much for what it got.

Sorry, folks. Just thinking out lloud here. I just hope I can still get a good quality Thinkpad when I need a new one!

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  • 4 weeks later...

Well I guess I'll still stick to Macs then. PCs have essentially become commodities, the only brand that's really worth anything in the personal computers business is Apple. Dell is known for cheap prices and crappy products, IBM so far has maintained quality, but without tied to Big Blue I'm not sure that will continue.

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