The worlds largest computer system maker lenovo reported strong sales and profit growth when it comes to 2nd quarter, getting united states share of the market whilst the threat of sanctions on chinese companies operating in the nation develops.

Although others including bytedance, tencent and huawei have actually dropped nasty of escalating restrictions from washington, lenovo is an uncommon success tale in america, maintaining its company in the united states while equipping the world when it comes to work-from-home age.

The team expanded its us laptop and desktop computer market share to 16 per cent in the first half the year, trailing just hp and dell, relating to idc. consumers including the us air energy bought its laptops to aid staff home based.

Unlike huawei, that has seen its intercontinental company crippled by a years-long campaign by washington, lenovos worldwide product sales tend to be more vital that you the organization than ever before, bringing in 79 percent of income with its final financial 12 months.

But dangers loom whilst the united states election approaches as well as the trump management targets every thing china-related, from lip-syncing applications to using the internet messaging systems. thus far the hong kong-listed business, when the chinese federal government holds a stake, has remained regarding the right side of us-china relations.

Whenever china-us relations tend to be bad, had been asked about this, said leader yang yuanqing. were a totally globalised company...we have no reason to be concerned about these actions.

Us desktop computer and laptop computer market share

It reported $247m of profit as product sales rose 7 percent to $13.3bn for the one-fourth ended june 30.

But with tensions spiralling, some close to the organization come to mind. anyone stated lenovo fears it could be focused because of the us whilst the after that huawei.

The person noted that its double head office in beijing and north carolina could offer it some defense. a former advertising and marketing manager on business said they always emphasised the dual worldwide headquarters and americanness of our items, while he stated most of the product development and manufacturing ended up being carried out in china.

Lenovo features experienced many years of suspicion in washington, starting back 2004 when the chinese federal government presented a bigger share within the organization plus it obtained ibms pc division.

Some federal agencies have prohibited buying of their products, while others like united states department of defense and condition and local governments continue to go shopping.

This past year the pentagons inspector general said lenovos computer systems had known cyber safety dangers and revealed $2m of purchases by the army and air power in 2018, caution the division to do this.

Nevertheless, because the coronavirus lockdowns hit the us this present year, air energy bought lenovo laptop computers. one air energy buying memo matters lenovo devices among its covid-19 authorized items and a federal procurement database reveals about $400,000 well worth of acquisitions this springtime and summer.

A spokesperson when it comes to defence division said it had a powerful programme to control it provide sequence danger.

Lenovos attempts to hire non-chinese professionals for management jobs have aided it navigate the global marketplace. italian gianfranco lanci went its computer company for quite some time and is now its primary working officer, while kirk skaugen operates its information centre company from new york, where a slew of other executives are based.

The set-up has actually downsides, however, with one previous chinese executive whining that international professionals presented too-much sway. while using the people from other countries associated with decision-making, we moved also gradually making the incorrect alternatives, he stated associated with the companys struggling asia smartphone business.

Growing nationalism yourself in addition has included with the companys troubles. some netizens suspicious of the us connections call-it the conscience for the american kingdom a play on words of the chinese name.

Mr yang stated chinese individuals should really be proud to own even more multinationals. i think as chinese community becomes more mature, everybody will appear as of this problem more rationally, he stated.

Nian liu added reporting from beijing