Al Senia (bio)

The world's fourth largest manufacter behind Hewlett-Packard, Dell and Acer, Lenovo bought IBM's PC business in 2005 for $1.2 billion. Since then, its rivals have stepped up their channel strategies in an effort to boost sales and market position. Now, Lenovo's CFO is quoted in a Reuters news report as saying the company is prepaing to "take on another challenge." Lenovo has a stash of cash, and speculation is increasing that it might be interested in the computer business of Fujitsu-Siemens.

Economic slowdown or not, successful channel companies are likely to make strategic acquisitions to approve their competitive poitions. We've seen it this year with HP buying EDS; in the distribution business where foreign companies were purchased; and among VARs and integrators where competitors have been snapped up. Now it may be Lenovo's turn in the hardware business.