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Tag Archives: Motorola
Motorola in China latest Business & Financial news from Doug Young, the Expert on Chinese High Tech Market, (former Journalist and Chief editor at Reuters)
The embattled telecoms pair of Huawei and ZTE (HKEx: 763; Shenzhen: 000063) are embarking on major hiring sprees outside their home market, seeking to not only import foreign expertise but also foreign faces as they try to look more global and less Chinese. That’s my major takeaway on reading separate reports that ZTE is launching a drive to recruit workers from 2 struggling western cellphone giants, while Huawei is also hiring thousands of new employees in Europe to cater to its largest market outside of China.
The following press releases and media reports about Chinese companies were carried on June 11. To view a full article or story, click on the link next to the headline.
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I have a lot of respect for Tencent (HKEx: 700), China’s largest Internet company and now one of the world’s most valuable web firms based on the meteoric rise in its stock over the last few years. But that said, I’m starting to have some concerns about the company’s future due to its sudden move into many unfamiliar areas, including the latest which reportedly has it looking to buy a cellphone maker. In a somewhat ironic twist, Tencent’s cellular foray would come just a couple of months after Google (Nasdaq: GOOG), the world’s largest Internet company, admitted failure with its own cellphone adventure by selling its Motorola Mobility unit at a major loss.
I had a sense of deja vu on reading reports that a group of workers at an IBM (NYSE: IBM) plant in south China had gone on strike, unhappy about the terms of their transfer to domestic PC giant Lenovo (HKEx: 992) under a recent M&A deal. It seems the workers in the city of Shenzhen were offered similar pay and other terms under the transfer, which came as the result of Lenovo’s pending purchase of IBM’s low-end server business announced in January. But the workers were still unsatisfied, feeling they should get higher pay for agreeing to work at a domestic company rather than the more prestigious IBM. Read Full Post…
The following press releases and media reports about Chinese companies were carried on February 14. To view a full article or story, click on the link next to the headline.
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China Auto Market Growth Slows Sharply In January (English article)
Cosmetics Retailer Jumei.com Hires Banks For $600 Mln US IPO (English article)
China Telecom (HKEx: 728), Unicom (HKEx: 762) Plan Q1 4G Launch – Source (English article)
Liu Qiangdong To Be Worth 7 Bln Yuan After JD.com IPO (Chinese article)
Lenovo (HKEx: 992) Projects End to Motorola Losses With China Phone (English article)
China was closed for much of last week, but that didn’t some of its top tech executives from emitting a steady stream of tweets on their microblogs regaling followers with tales of their travels over the Lunar New Year holiday. The US emerged as the travel destination of choice for many who favored a destination that has been quite generous towards their sector over the last few months.
Regular tech readers will know I’m talking about the huge success of 5 major Chinese Internet IPOs in New York, many of which have nearly doubled in value since their trading debuts in the last 2 months of 2013. Executives at JD.com, China’s second largest e-commerce company, are hoping to ride that wave of positive sentiment with another New York IPO this year. That pending deal saw one JD.com executive complain of having to take part in a late-night teleconference during the Lunar New Year holiday that I suspect was connected to that upcoming listing. Read Full Post…
Lenovo shares to come under pressure for next 2 years
Media have been buzzing these last few days about a Hong Kong stock exchange filing revealing that Google (Nasdaq: GOOG) has acquired 6 percent of Chinese PC giant Lenovo (HKEx: 992), implying the deal represents a vote of confidence by the world’s biggest Internet company in the world’s top PC seller. But anyone with any memory will recall that the transaction is just part of Lenovo’s payment for its recent purchase of Google’s Motorola cellphone division. What’s more, Google is almost certain to dump the stock once a lock-up period ends, putting pressure on Lenovo’s stock until that date arrives. Read Full Post…
The following press releases and media reports about Chinese companies were carried on February 8-10. To view a full article or story, click on the link next to the headline.
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Alcatel (Paris: ALUA) In Talks To Sell Phone Unit To Chinese Investment Firm Huaxin (English article)
MIIT Says New VNOs Banned From Building Telecoms Infrastructure (Chinese article)
Update: Shortly after writing this post, Sony has announced it will sell its Vaio unit to investment firm Japan Industrial Partners (JIP). I still believe that JIP could ultimately bring in Lenovo to help it operate the unit in a new joint venture or other tie-up.
Let’s begin my first post in the Year of the Horse with a look at PC giant Lenovo (HKEx: 992), which has suddenly gone into M&A overdrive with the latest word that it may be in talks to acquire Sony’s (Tokyo: 6753) PC business. I wrote just before the holiday that Lenovo might already be taking on too much with its $2.9 billion purchase of cellphone maker Motorola, which came late last month just a week after its $2.3 billion purchase of IBM’s (NYSE: IBM) low-end server business. (previous post) Individually each of these 3 deals actually look relatively smart, as all complement Lenovo’s existing businesses. But a single major acquisition is always tricky even in the best circumstances, and handling 3 such deals at the same time looks to me like a recipe for trouble. Read Full Post…
I commented last week that Lenovo (HKEx: 992) Chairman Yang Yuanqing didn’t seem extremely enthusiastic about his landmark deal to buy IBM’s (NYSE: IBM) low-end server business, and now perhaps we know why. It seems that as Yang was discussing that deal, the largest ever for Lenovo at the time, he was close to finalizing an even bigger purchase of Motorola, the faded former cellphone titan that was purchased by Google (Nasdaq: GOOG) in 2012. Lenovo is paying $2.9 billion for Motorola, a lofty price but still much less than the $12.5 billion Google paid just 2 years ago. That indicates to me that the company Lenovo is buying is probably just a shell of the Motorola that Google purchased, making the deal look somewhat questionable. Read Full Post…
The following press releases and media reports about Chinese companies were carried on January 30. To view a full article or story, click on the link next to the headline.
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Lenovo (HKEx: (992) To Buy Google’s Motorola In China’s Largest Tech Deal (English article)
ICBC (HKEx: 1398) To Buy Control Of Standard Bank Unit For $765 Mln (English article)
500.com (NYSE: WBAI), China Mobile (HKEx: 941) In Strategic Partnership (PRNewswire)
MIIT Gives 2nd Round Of VNO Licenses, Winners Include Suning, Gome (Chinese article)
Buffett-Backed Chinese Automaker BYD (HKEx: 1211) Settles US Wage Dispute (English article)
