Lenovo CEO Yang certain that Motorola can turn a profit

Lenovo CEO Yang certain that Motorola can turn a profit
After the announcement on Wednesday that Lenovo is buying Motorola from Google for $2.91 billion,  Lenovo's Chief Executive Yang Yuanqing and Chief Financial Officer Wong Wai Ming answered some questions about the acquisition. Lenovo has yet to enter the U.S. market although it earlier stated its intentions to do so. According to Yang, purchasing Motorola gives Lenovo an instant entry into the states.

The executive calls Motorola a very good brand with plenty of intellectual property and a good relationship with carriers. He adds that his company will keep both the Motorola and Lenovo brands. The latter is strong in China and in emerging markets while Motorola is strong in the U.S. and Latin America. The CEO says that Lenovo might try using the Motorola name in China. He added that the company might go with something like "Motorola by Lenovo".

While Motorola was losing money under Google, Yang says that he believes that Lenovo can help Motorola turn a profit. The year after the deal closes, Lenovo expects to sell 100 million smartphones globally. As far as the deal is concerned, the executive expects no U.S. regulatory issues seeing as the handset business is a consumer business.

source: WSJ

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11 Comments

1. E.S.1

Posts: 308; Member since: Sep 14, 2013

It remains to bee seen. Hopefully they make even better phones than before. Like Moto X 2 for example :)

3. milesboy5

Posts: 179; Member since: Nov 07, 2012

Just bought the Moto X a week ago. I had the HTC One prior to owning the Moto X and could not be happier. I hope that Lenovo can get Motorola back to good shape and continue to release solid products as Motorola has just now started a comeback in the mobile industry.

2. Miracles

Posts: 560; Member since: Aug 31, 2013

Lenovo makes some decent laptops....lets see what they got!

4. milesboy5

Posts: 179; Member since: Nov 07, 2012

Don't forget that Lenovo has had a few years of experience in the asian market, something that Motorola even in its glory days never accomplished.

5. papss unregistered

Since Lenovo has a good relationship with M$ I hope to see some phones pushed to WP as well

6. cornerofthemoon

Posts: 620; Member since: Apr 20, 2010

This may be a good move after all. Google's efforts seemed to be more focused on patent rape rather than propelling the Motorola brand.

7. My1cent

Posts: 370; Member since: Jan 30, 2014

Moto can make many good products, that won't sell!!! ...My order (Moto X) was canceled just because the shipping address and the billing address aren't the same! and their reps. are useless!!

8. corporateJP

Posts: 2458; Member since: Nov 28, 2009

If he said "turn a profit", bet your house that the parts and quality will go substandard.

9. kaikuheadhunterz

Posts: 1157; Member since: Jul 18, 2013

I hope Microsoft does the same with Nokia and releases devices under the Nokia brand. It would be foolish of them not to do so

10. XperiaOptimusOne unregistered

I read an article stating that Lenovo might surpass Samsung by 2017. I was doubtful at first but after these developments, it seems probable. What I like about Lenovo is pricing. They make decent smartphones at very affordable price points that even Samsung, Sony, LG, etc can't compete with. I'm pretty sure they can do the same with a Motorola name.That said, they can definitely compete in the US market. Hope Lenovo can make wider Motorola line-up instead of just 2.

11. WindowsiDroid

Posts: 138; Member since: Jul 22, 2013

I also did read that news that Lenovo might surpass Samsung in sales, I'm guessing that this will be the start for more better war between those phone makers because most of the people I see are holding Sammy phone which is some kind of monopoly and I want to see how Lenovo could make Motorola a profit by thinking that they could use Motorola to enter in U.S. and also penetrating in Asia coz I does't see any Motorola holders.

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