LENOVO IN THE USA LENOVO: A GLOBAL TECHNOLOGY LEADER U.S. COMMITMENT
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1 LENOVO IN THE USA LENOVO: A GLOBAL TECHNOLOGY LEADER With more than $46 billion in annual revenue, Lenovo is one of the world s leading personal technology companies, offering a wide range of devices, including PCs, smartphones, tablets, servers and storage to consumers and businesses around the globe. Lenovo is a model of the modern global company, with more than 55,000 people working in 60 countries and two global headquarters in North Carolina and Beijing. Major research centers are based in the U.S., Japan and China, and Lenovo operates manufacturing and distribution plants in North Carolina, Mexico, India, China and Brazil. In North Carolina and Mexico, Lenovo manufactures and assembles products for sale to the U.S. Government, strictly following relevant regulations in that area. Lenovo utilizes many of the same common components (many manufactured overseas) that form the core technology of competing products from other U.S. companies. U.S. COMMITMENT Lenovo continues to invest and grow in the United States. Between five acquisitions of U.S. companies and capital investments to support our business, Lenovo has invested nearly $7 billion in the U.S. The company now employs over 5,000 people in the U.S., working in management, design, engineering, marketing and supply chain. Lenovo generates more than $1 billion annually in economic activity in North Carolina alone and buys more than $10 billion of goods and services from U.S. companies each year. Upon acquiring the IBM personal computer business and Think product brand in 2005, Lenovo s market share was just 5.7%. For almost three straight years, Lenovo has been the world s #1 PC company, now commanding over 20% global market share. It is the fastest growing PC company in the U.S. With two large acquisitions in 2014, IBM s x86 server business and Motorola Mobility from Google, Lenovo has further expanded its business presence in the U.S. with Motorola s Headquarters in Chicago, Ill., and offices in Sunnyvale and Santa Clara, Calif. With seven different nationalities represented among our top 10 executives and more than 20 in the top 100, Lenovo has a globally diverse culture in an increasingly small world. One of Lenovo s two global headquarters is in Morrisville, N.C.
2 LENOVO IN NORTH CAROLINA JOBS AND INVESTMENTS Lenovo s global headquarters in Morrisville, N.C Lenovo s Data Center Group Campus; a 2nd location in North Carolina. Established presence in 2005 with initial $85M real estate investment. Since 2005, Lenovo has invested over $240M in real estate About 3,000 North Carolina-based employees Home to major research and development center and Think brand industrial design hub Expanded presence in 2014, with an additional campus for server business in Morrisville U.S. FULFILLMENT & MANUFACTURING CENTER WHITSETT, N.C. Initial $10M, 200,000 sf. real estate investment in 2008, $5M fit up in 2014 Significant extension of Lenovo s world-class fulfillment, distribution and manufacturing network With the acquisition of IBM x86 server business, Whitsett facility offers server manufacturing Lenovo s Whitsett Fulfillment facility is located near Greensboro, N.C.
3 U.S. RESEARCH & DEVELOPMENT Lenovo invests approximately $1.2 billion in R&D globally, and has about 3,500 R&D engineers located around the world, a solid foundation for innovation programs. The U.S. is the frontier for personal computing technology and driving worldwide customer experience programs. Lenovo R&D in North Carolina alone registered 70 patents in The U.S. R&D team: defines future technologies and products sets the priorities for Lenovo s technology development specifies the functions and performances of new products contributes to global product development OUR GLOBAL-LOCAL APPROACH Lenovo is a truly global company, strongly embracing the heritages of all the countries where we have major investments. Unlike a traditional multinational company, Lenovo s global-local model is fundamentally different maintaining dual headquarters in Morrisville, N.C., and Beijing with our most valuable business operations placed strategically around the world.
4 LENOVO CORPORATE SOCIAL RESPONSIBILITY Lenovo has an annual global commitment of up to one percent of pre-tax income to programs and initiatives that serve society Since 2005, Lenovo and its U.S. employees have contributed nearly $12 million in U.S. Philanthropy and Community outreach, focused on disadvantaged youth, education and STEM (Science, Technology, Engineering and Mathematics) In July 2014, in partnership with NAF (formerly known as National Academy Foundation) and MIT Center for Mobile Learning, Lenovo launched the Lenovo Scholar Network, a robust mobile app development curriculum and delivery program empowering more than 1,200 high school students at 30 NAF academies throughout the U.S. in academic year 2016 Lenovo supports various United Service Organization (USO) Centers and is the technology partner of the USO of North Carolina and USO Warrior and Family Center, on base at Walter Reed National Military Medical Center in Bethesda, Md. In November 2015, Lenovo, in partnership with the NFL and the USO, sponsored the month-long #LenovoSalutes social program to enable NFL fans to show their support with an online salute to their favorite NFL team, resulting in a USO Center receiving a technology grant from Lenovo Since it went on air, Lenovo has supported Hiring America, a TV show dedicated to providing valuable resources and information for new and seasoned veterans moving from the service into the workforce or seeking to build their careers, broadcast over the Armed Forces Network and across 80+ local markets in the U.S. Lenovo is a long-standing partner of Boys & Girls Clubs and supports students by tutoring and mentoring, renovating Club spaces, and providing technology to create state-of-the-art media centers Lenovo donates equipment, provides financial contributions and lends expertise to schools (K-12 and higher education) and related organizations across all global markets Lenovo actively promotes employee engagement and, in 2015 alone, employees volunteered nearly 20,000 hours to various nonprofit organizations including Dress for Success, Habitat for Humanity, USO and Boys & Girls Clubs, as well as numerous local schools and food banks Students at a local NC school welcome Lenovo employees for their community day of service Lenovo employees give back their time and resources to the local clubs and schools (K-12) Carolina Panther s star NFL player, Luke Kuechly, helped Lenovo announce a $25K tech grant to USO- NC for Lenovo/NFL military appreciation social campaign, alongside Allie Dunn, Miss North Carolina USA
5 A TRUSTED PARTNER IN THE U.S. Lenovo supplies innovative and reliable IT equipment to millions of American consumers and students, and to virtually every Fortune 100 company Lenovo works hand in hand with blue chip U.S. companies like IBM, Google, Intel, Microsoft, Qualcomm and Seagate as major suppliers and partners Lenovo is a known and trusted company that has been through five successful CFIUS reviews in the last decade, two of them in 2012 and another two in 2014 These previous successes demonstrate that transparent, well-managed companies have been welcomed into the U.S. technology industry As a GSA schedule holder, Lenovo is a known and trusted TAA compliant supplier LENOVO S CORE BUSINESS Lenovo is one of the world s fastest growing personal and business technology companies with proven experience integrating and expanding U.S.-based technology enterprises. PC As the maker of the legendary ThinkPad line of laptops, Lenovo is the largest PC maker in the world with more than 20% of the global market and the fastest growing PC company in the U.S. MOBILE Lenovo is the fourth-largest smartphone maker globally. The 2014 acquisition of Motorola Mobility greatly enhanced the company s product offerings in this highly competitive market. SERVER The acquisition of IBM s x86 server business and partnerships with Nutanix and other hyperconverged leaders in 2015 demonstrate our aspiration to be a leading provider of servers with a suite of complementary storage products.
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