December 4, 2004 5:33 AM PST

An unknown PC giant, Lenovo flexes its muscles

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China's largest computer maker, which might acquire IBM's PC business, is virtually unknown in the United States.
The New York Times

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IBM PC division to Chinese company
All I can say to this, as an IBMer using a ThinkPad, is that I would never pay money for a single IBM PC product ever if this happened. I'm just flat-out anti-China pure and simple. I don't pay for the ThinkPad(s) I use. As it is, over the years the quality has very seriously degraded, both internally and externally. This will complete the process of transforming ThinkPads into expensive paperweights. A sad end to a once-glorious brand.
Posted by pegc (5 comments )
Reply Link Flag
It might be good for IBM PC Co
to be bought out by another company.

IBM PC products are still fickly when it comes to playing well with commonly standardized pc parts and peripherals - it's as if IBM could not get the proprietary mindset out of their PC products.

I remember when a Thinkpad did deserve the premiums it commanded, but that cannot be the case any longer - given the high cost and short longeivity of those laptops compared to the other brands.

If you are dead-set against buying anyhting Chinese because of China, then I'd like to see what your home looks like - since everything is now made in China!
Posted by Tex Murphy PI (165 comments )
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Isn't this against WTO rules?
Government ownership of a business that receives a preferential tax-exemption on sales of its products - while competing imports are heavily taxed.

Isn't this agaist WTO rules? And isn't China supposed to be a memeber of the WTO?

Can someone explain to me why the US government went out of its way to get China into the World Trade Organization when its obvious that the Chinese government is never going to be interested in free trade?!
Posted by Tex Murphy PI (165 comments )
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China is Interested!
I am sure China is interested in free and global trade. I just don't think they are ready for it yet. Giving a country a transition period is standard when implimenting large scale changes to their economy.
Posted by zaznet (1138 comments )
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Aye?
And the US doesn't do the same? can anyone say R&D subsidies to Boeing? how about tax exempt status by Washington as to encourage business.

Please, stop whining, the US is the BIGGEST dumper and offender of WTO rules. So-called "US Freemarket" make the European union look like a picture perfect example of Adam Smiths capitalist vision.
Posted by (1 comment )
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Will still just be an unknown PC giant
Unless Lenovo is allowed to use the IBM brand name they will still just be an unknown PC giant. Just as they were when their name was Legend. I never even thought of buying Legend machines, not even for cheap home use. Does any one buy Acer machines for wide scale deployment, they have been around for so many years now too? They are in the same situation as Lenovo, very big overseas but not here. I am going to have to agree with the previous poster, if the PC division is sold that will be the end of the IBM brand as we know it.
Posted by (1 comment )
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New brands come out all the time.
Many years ago there was this Japan industrial giant. They used to make fighter planes for the Empire of Japan. Some of their planes were used in the attack at Pearl Harbor. After WWII they understandably had a hard time coming in to the US market.

They started to build cars and components for cars. Chrysler commissioned them at first to build engines for some of the now-classic muscle cars of the late 60's. In the 70's and 80's they had entire vehicles manufactured by them.

It takes time, and it takes money, but an unheard of company can make it pretty big in our market.

Mitsubishi has a very recognized line of cars in the US market today.
Posted by zaznet (1138 comments )
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Lenovo big in Asia?
While the merger signified the emergence of the Chinese PC industry, I think some truth needs to be clarified. Lenovo is a brand that dominates the Chinese market and have some degree of success in parts of Asia. It has many partners where it contract or source products from. But I will not go as far as saying it is the leading brand in rest of Asia besides Japan. As matter of fact, they are hard to find in more developed Asia economies. But all these might change after the merger, of course.

If there is any global Asian PC brand (outside Japan), it will be Samsung and Acer. Those are technology conglomerates that are involved in every aspect of PC manufacture from Semiconductor to Panel to chipsets.
Posted by (2 comments )
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Lenovo big in Asia?
While the merger signified the emergence of the Chinese PC industry, I think some truth needs to be clarified. Lenovo is a brand that dominates the Chinese market and have some degree of success in parts of Asia. It has many partners where it contract or source products from. But I will not go as far as saying it is the leading brand in rest of Asia besides Japan. As matter of fact, they are hard to find in more developed Asia economies. But all these might change after the merger, of course.

If there is any global Asian PC brand (outside Japan), it will be Samsung and Acer. Those are technology conglomerates that are involved in every aspect of PC manufacture from Semiconductor to Panel to chipsets.
Posted by (2 comments )
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