Lenovo, the world’s third-largest PC company by unit shipments, is setting up a $300m joint venture with one of its contract manufacturers, an unprecedented step which underscores the pressures in the computer industry.
Lenovo and Compal, the world’s second-largest notebook contract manufacturer by unit shipments, said the new venture, in which Lenovo will hold a 51 per cent stake, would build a new plant in Hefei, the capital of the central Chinese province of Anhui, to produce laptops and all-in-one desktop computers from late 2012.
Both companies’ shares rose after the announcement. Lenovo jumped
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