Lenovo predicts double-digit growth fueled by AI PC demand, tech giant spending

Chinese tech powerhouse Lenovo Group Ltd anticipates double-digit business growth in the upcoming fiscal year from April, driven by surging demand for AI PCs and increased spending from tech giants like Alibaba and ByteDance, Chairman Yang Yuanqing said on Monday.

Addressing over 8,000 Lenovo staff in Beijing, Yang projected rapid, double-digit year-over-year revenue growth across all business segments, underpinned by diversified income streams and sustainable profitability. He emphasized that artificial intelligence represents the company's most significant growth opportunity in the next decade.

"AI-powered devices are no longer confined to data centers; they are now personal computers accompanying us everywhere," Yang stated.

Canalys data indicates a steady rise in AI-capable PC shipments in 2024, reaching 5.8 million units and accounting for 15 percent of total sales in China. Projections suggest this figure will climb to 34 percent by 2025.

"China is at the forefront of AI innovation, with DeepSeek emerging as a significant player. The open-source, cost-effective AI model has not only driven individual usage but also rapidly penetrated private and public sector commercial environments," the tech research firm noted in a recent report.

In February, Lenovo's plant in Hefei, eastern Anhui Province, celebrated the production of its 300 millionth personal computer, becoming the world's largest PC manufacturing facility in terms of shipment volume. This milestone reinforced Lenovo's global PC market leadership, ahead of competitors like Hewlett Packard, Dell, and Acer.

Lenovo plans to launch new AI devices in Shanghai in May.

In the infrastructure and computer server market, the company has secured deals with Chinese tech giants such as Alibaba and ByteDance, the parent of short video platform TikTok.