NEC, Lenovo launch Japan PC joint venture

Peter Dinham
Wednesday, 06 July 2011 22:19

IT Industry - Strategy

NEC and Lenovo have launched the NEC Lenovo Japan Group to take what analysts say will be a 25 percent share of the Japanese market for PCs with a strong presence in both the consumer market and the commercial government sector.

Lenovo CEO, Yang Yuanqing, made a point of stressing that the company is 'fully committed to the Japanese market and is determined to continue to lead the PC industry in Japan and expand the strategic alliance beyond the PC business.'

According to Yuanqing said the group will leverage the 'complementary strengths and expertise of NEC and Lenovo to provide greater value to users and partners in Japan offering competitive and innovative products and combining high standard services.'

'We are proud to announce the launch of NEC Lenovo Japan Group. We have been engaged in extensive talks with NEC since the announcement of the joint venture in January to further mutual growth and cement our foundation for delivering innovative, high-quality products and services to Japanese customers,' Yuanqing added.

Based on the strategic alliance between NEC and Lenovo, NEC Lenovo Japan Group comprises of three companies: the holding company, Lenovo NEC Holdings B.V., newly founded on July 1, and its 100 percent owned subsidiary companies, NEC Personal Computers Ltd., newly formed by separating NEC's PC business unit from NEC Personal Products Ltd., and Lenovo Japan Ltd. As a result of the transaction, NEC has received from Lenovo US$175 million through an issue of Lenovo shares.

Under the alliance, NEC and Lenovo both hold stakes in the joint venture - 51 percent by Lenovo and 49 percent by NEC - with Roderick Lappin, president of Lenovo Japan, appointed executive chairman of the joint venture and Hideyo Takasu, president and representative director of NEC Personal Computers, appointed as president and CEO.

According to the president of NEC, Nobuhiro Endo, with the alliance both companies will 'continue to progress and be committed to Japanese PC users as well as contributing more to the growth of the PC market in Japan.'

'We will also strengthen our efforts to achieve the No.1 customer satisfaction for our quality, function and service. Furthermore, based on this strategic partnership, we will continue to discuss and assess new opportunities with this global partnership.'

To mark the launch of the new group, NEC and Lenovo have invited customers to celebrate with a program that they say will offer one million yen worth of prizes through NEC Direct and Lenovo Shopping - shopping sites belonging to both companies - with winners to be selected by lottery. So, if you're interested, you can find details of the 'NEC Lenovo Japan Group Launch Celebration Campaign,' which runs from July 4  to August 4, at http://campaign.nec-lenovo.jp/.