Lenovo takes the PC crown from Hewlett-Packard
However, that kingdom continues to shrink as more people use smartphones and tablets.
Lenovo, which researchers Gartner and IDC estimate has a 16.7% share of global PC shipments, isn't resting on its laurels, either. It has only a one percentage point lead over HP. But it is continuing to reap the benefits of its 2005 acquisition of IBM's (IBM) PC business, which gave it the ThinkPad lineup of laptop computers. Quarterly shipments at Lenovo were little changed in the most recent period, while revenue declined slightly, which in this market is good news.
"The battle for PC leadership could certainly still go back and forth," said Yang Yuanging, Lenovo's CEO, in a statement to The Wall Street Journal.
HP is vowing a comeback. The paper quoted a spokesperson saying, "We don't like being No. 2 and we don't plan to stay there." HP took the title a few years ago from Dell (DELL). Founder Michael Dell is trying to take the Round Rock, Texas, company private in part because of its struggles in the declining PC market.
Indeed, the outlook for this business remains bleak.
As The Journal noted, data from Gartner and IDC show sales have declined for five straight quarters -- the longest slump in the industry's history -- and that global PC shipments plunged 11% in the second quarter. Microsoft's (MSFT) introduction last year of the Windows 8 operating system has yet to generate the PC sales boost that some had expected (Microsoft owns and publishes moneyNOW, an MSN Money site.)
Still, there's hope. Sales may rebound slightly as computer makers produce less costly systems powered by new Intel (INTC) chips, though The Journal noted that no one expects sales to return to levels where they had been in recent years.
Jonathan Berr does not own shares of the listed stocks. Follow him on Twitter @jdberr.
Owned one, power component went out, they would not fix it even thought it was recalled,
had to trash it....never again
At one point ran a desktop imaging lab for a large company. They had Dell, HP and Lenovo. HP and Lenovo were about the same performance wise where Dell startup was much slower. One difference was a new Lenovo out of the box smelled so much of chemicals it was almost overpowering. Have to wonder if that is toxic.
Copyright © 2013 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
[BRIEFING.COM] The major averages finished the session on a lower note as the S&P 500 lost 0.4% while the Nasdaq shed 0.1%. The Russell 2000, which paced the retreat on Tuesday and Wednesday, added 0.2%, trimming its December loss to 3.5%.
After spending the first half of the session in a steady retreat, the S&P 500 found technical support in the 1772 area. Upon reaching that level, the index reversed sharply, and marched back to its flat line. There was no particular catalyst ... More
More Market News
With the universe of this category in its seasonal sweet spot, these picks have tailwinds propelling them into the new year.