Report: Lenovo, NEC may combine PC businesses

Further consolidation could be in store for the PC industry—and no, this time, it won’t be Acer gobbling up another, smaller rival. Reuters reports that Lenovo and NEC are holding covert talks about a deal that would see the former seize a "controlling interest" in NEC’s PC business.

Quoting sources with "direct knowledge of the matter" as well as Japan’s Nikkei business paper, Reuters adds that Lenovo wants access to both NEC’s technology and its foothold in the Japanese market. NEC, meanwhile, would reportedly benefit from a greater presence in the Chinese market, Lenovo’s home turf.

There might be more to the reported deal than meets the eye, too. Reuters quotes an analyst who believes NEC wants to withdraw from the PC market to "lower its risks." (The Japanese company is said to be more interested in focusing on telecommunications infrastructure.) Another analyst quoted in the story also says Chinese companies in general want to buy Japanese firms "so they won’t be accused of stealing their technologies."

Whatever the two companies’ motives, if this deal leaves us with self-aware ThinkPads that can cook and clean, I’m all for it.

Comments closed
    • albundy
    • 9 years ago

    much like IBM quality, there goes NEC down the drain. well, at least the prices will drop due to low standards at lenovo.

      • BobbinThreadbare
      • 9 years ago

      Eh, Thinkpad quality prior to the purchase is overstated.

      I’ve seen a lot of issues with improper cooling on older models.

    • nagashi
    • 9 years ago

    Maybe this will lead to thinkpads having a decent screen for the first time in 10 years. The last 5 years in particular have been particularly awful. Even if you’re a matte-fanatic, there’s no excuse for their dim backlights, shite viewing angles, and poor color.

    (NEC makes awesome panels, in case people don’t know)

      • Firestarter
      • 9 years ago

      Let’s just hope that they don’t keep the nicer screens for the uber-expensive ones either. I mean I know a nice screen commands a premium, but that doesn’t mean that only people shopping for $1000+ laptops want one.

    • anotherengineer
    • 9 years ago

    I’m pretty sure my next monitor (or three) will be NEC

    • Ethyriel
    • 9 years ago

    Sweet, I’ve always wanted an AnthroPC.

    • bdwilcox
    • 9 years ago

    NEC makes PCs?

      • srg86
      • 9 years ago

      They have done for decades, but mainly for the Japanese market.

        • yuhong
        • 9 years ago

        Anyone remember the non IBM PC compatible NEC PC-98?

          • StashTheVampede
          • 9 years ago

          Many, MANY hours were spent on that machine. Very happy NEC finally migrated users over to the NX platform vs. that PC98. Linux users rejoice, there is still support for that hardware.

      • UberGerbil
      • 9 years ago

      They make servers; I haven’t seen a NEC desktop PC in a long time (I think they’ve been pushing thin clients). But they do sell a lot of [url=<]Point of Sale systems[/url<] worldwide, which are just expensive semi-ruggedized touch-screen PCs. Every (I think) 7-11 has at least one, for example. (These things are still running sub-1GHz Celerons and Windows XP Embedded in 512MB of RAM, AFAIK) Interestingly, IBM still has a presence in Point of Sale systems, and of course they were the original origin for Lenovo's PC business. I doubt IBM will sell off that business because it gives them an entry to sell the back-of-house systems and services that are their real bread-and-butter, but it's interesting to contemplate Lenovo climbing up that vertical business. Of course I don't know if the POS part of the business is included in what NEC calls its PC business.

      • cygnus1
      • 9 years ago

      They used to make x86 compatible processors back in the day too…

        • MadManOriginal
        • 9 years ago

        They also make (still?) supercomputers, the last being released in 2008 according to a quick search.

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