Nearly a dozen years after its acquisition of IBM's personal computer (PC) business, Lenovo's bid to transform from a China-based business to a global company appears to have proven the skeptics wrong.
The $1.75 billion deal made Lenovo the world's third-largest PC company at the time. The PC maker became the world's top PC company in 2013 and has since expanded its reach to the tablet and smartphone markets.
Originally called Legend Computer, the PC company began life in 1984 in a guardhouse in Beijing.
Liu Chuanzhi, the current chairman of Legend Holdings and founder of the Lenovo Group, had borrowed the yuan equivalent of $25,000 from the Chinese Academy of Sciences, where he worked as a researcher, to test his capabilities and see what he could come up with in the personal computer space.
His timing was good because the Chinese Communist Party had started pursuing economic reforms and adopting "socialism with Chinese characteristics." "I felt the time for new hope had arrived," Liu said of the government's decision to move to a market economy in the 1980s.