Lenovo Likely to Cancel IdeaPad Brand due to Internal Adjustments

As Lenovo will adjust its organization into two brand-based sub-groups, Lenovo and Think, in April 2013, sources from the upstream supply chain have revealed that the company plans to transfer its existing IdeaPad business into the new Lenovo sub-group in 12-18 months and will phase out the IdeaPad brand.

Before CES 2013 started, Lenovo had already announced plans to separate its brand business into two sub-groups in order to to simplify its brand strategy. The company also noted that no staff will be laid-off due to the reorganization.

Compal Electronics is currently the major supplier of Lenovo's IdeaPad notebooks, while Wistron is the major supplier of ThinkPad products. In the future, Lenovo plans to shift some ThinkPad orders to Compal.

Lenovo's Mobile Internet Digital Home business group (MIDH) will also be merged into the Lenovo subgroup with the business group's senior vice president Liu Jun taking charge of the new subgroup.

As for the Think subgroup, the company's senior vice president of Product Group Peter Hortensius will become the head of the newly formed brand business unit.

Source: DigiTimes

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