On Thursday ,China based Lenovo was done with its $2.9 billion acquisition of Motorola Mobility. Consequently, the Lenovo-Motorola combination has enabled the Chinese vendor to become the third largest smartphone unit inIndia. Notable, theIndiasmartphone market is one of the rapidly growing markets across the world with more possibility for Lenovo’s progress.
Both Lenovo and Motorola jointly occupy the number three position in the Indian market and the same would be the case in several other markets in which both the brands operate, revealed the spokespersons of both the firm during a conference.
According to research firm IDC, both the smartphone makers jointly become the third largest smartphone vendor across the world as well, surpassing Xiaomi to the fourth position. The IDC data went on stating that Samsung is the dominator of the smartphone industry with 23.8 percent of the market share followed by Apple with 12 percent share. Then comes Xiaomi with 5.3 percent and close to its heels is Lenovo alone with 5.2 percent. Lastly, it is LG at the fifth position with 5.1 percent. Consequently, when the 5.2 percent market share of Lenovo combines with that of Motorola, the combination pushes Xiaomi down and occupies the third place.
Regarding this acquisition, Executive Vice President of Lenovo and President of Lenovo’s Mobile Business Group, Liu Jun claimed that Lenovo has a strong reputation inIndiavia the offline channel, whereas Motorola has the same online thereby making a good combination. He also added that Lenovo will continue with the same market plan inIndiaas it is a significant market for the firm.
When it comes to the Indian market, Motorola is no stranger and it managed to grab the fifth largest smartphone maker position with 5 percent of the share, revealed IDC. The primary move that helped Motorola achieve this growth is the launch of the Moto G, Moto X and Moto E offerings at competitive pricing in the country that managed to sell over two million units since their launch.
Eventually, Motorola falls behind home grown manufacturers such as Lava, Karbonn and Micromax. Samsung is the leader even inIndiawith a market share of 29 percent. However, it appears there will changes in this as Motorola and Lenovo aim to sell over 100 million smartohone and tablets globally by the end if this fiscal year. Lenovo also targets to turn Motorola into a profitable entity in four to six quarters.