Lenovo splits into four to handle new ventures

Lenovo hopes for server success on the horizon

Lenovo has said in a statement that it will reshuffle its structure to create four new groups within the company as the Chinese firm aims to diversify into new areas such as smartphones and servers.

The restructuring aims to create "new businesses and new pillars" within the company, which recently bought IBM's x86 server business. The changes will go into effect on April 1, replacing the current two-group structure in place.

The first of the four, the 'PC Business Group', will carry on with Lenovo's flagship market - home PCs. The second, the 'Mobile Business Group', will be focused on making Lenovo a player in the smartphone and tablet market.

The 'Enterprise' group arrives on the back of Lenovo's x86 purchase, aiming to "aggressively build a new fast-growing profit engine" in the enterprise market. Finally the new 'Ecosystem and Cloud Services' group will aim to build Lenovo's economical prospects in China and drive the company's expansion.

Leading the PC+ era

Lenovo's geographic organisations remain largely intact; despite members being shifted around to head the new groups (EMEA's Gianfranco Lanci heads the PC Business Group while Gerry Smith, Lenovo America lead, takes control of the Enterprise section). Lenovo's Asian market will be divided into two mature and emerging market groups.

With personal computers no longer the centre of the technology world, Lenovo is taking steps towards a higher-margin portfolio, something companies like Dell and HP have been focusing on as PC sales slump.