High profit shows that Windows 8 is “precious”?

Computer Shop News: The famous IT website "Computer World" published "Does Lenovo's high profit show that Windows 8 has become "precious"? The review article is summarized as follows: Although the PC market has experienced a record decline, Lenovo’s earnings report on the 23rd showed that the company’s net profit reached 127 million in the fourth quarter ended March 31. The US dollar grew by 90% year-on-year, and its total revenue reached a record $7.8 billion, a year-on-year increase of 4%. Did Lenovo figure out how to make Windows 8 "gold"? The latest financial statement issued by the company sounds like it feels like it already knows what to do.

Although the PC market has plummeted, Lenovo still showed strong momentum. According to IDC's first quarterly report, PC sales hit the world's biggest decline in the first quarter, plummeting 13.9%. Gartner's recent survey found that PC sales in Western Europe fell by 20.5% in the first quarter.

Data survey agencies Geithner and IDC attribute part of the decline in PC sales to Windows 8. Bob O'Donnell, vice president of IDC project, client and display, said of the impact of Windows 8 on PC sales: "At this point, unfortunately, Windows 8 It seems obvious that the launch has not only failed to actively promote the PC market, but seems to slow down the market. ”

So how is Lenovo successful? With its increasing sales, Lenovo is now approaching the market leader Hewlett-Packard, with Lenovo's market share of 15.3% and HP's 15.7%.

Some analysts believe that Lenovo's success is due to its willingness to invest in innovative Windows 8 hardware, including PC/tablet hybrids, and its Yoga can be rotated in a variety of ways, so the hardware makes It adapts to the user.

Technology blog ZDNet editor James Kendrick said Lenovo’s earnings show that the company’s way of creating as many PC forms as possible is clearly at work

It sounds like Lenovo really has found a way to use Windows 8 to drive sales growth, but it's not necessarily the case. Computerworld reported that an important reason for Lenovo's high profitability is that the company's PC sales are very strong in the Chinese market.

The report said: "Lenovo has used the Chinese PC market to resist the decline in PC sales. The company has a market share of over 30% in the Chinese market. Nearly half of Lenovo's revenue comes from the Chinese market, which is currently the world's largest PC market. "It's not necessarily that Windows 8 is driving Lenovo's growth, but that Lenovo is focused on the local market, which happens to be the world's largest PC market." In addition, Computerworld also reported that Lenovo smartphone sales are rising sharply, helping to raise the bottom line. Today, Lenovo smartphone shipments have increased by 206% year-on-year.

Computerworld's contributing editor, Preston Gralla, said: "Lenovo is experimenting with new form factors and PC types, which I appreciate very much. In the mass market, the company is innovating. The forefront of the design of sex PCs. Other suppliers should follow it. But that doesn't mean that the innovative design of Windows 8 products seems to be driving Lenovo's growth, but that the company seems to be more focused on the domestic market and selling more smartphones, which is the real reason for its success.