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Lenovo Further Gains Momentum in First Quarter FY 2017/18

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By Modupe Gbadeyanka

Behind the strength of its 3-wave strategy, Lenovo’s business transformation continued to gain traction during the first quarter, delivering solid profitability in its core PC and smart devices business, and revenue and profit improvements in targeted growth areas, including the data center and mobile businesses.

Fuelled by new investments in people and products, Lenovo’s Data Center Group (DCG) introduced the most comprehensive product lineup in its history, with the new ThinkSystem and ThinkAgile portfolio, and continued to build out its end-to-end sales organization. Similarly, Lenovo’s Mobile Business Group launched significant new products led by the Moto Z2 Force, available now on all major U.S. carriers, and ramped up its branding efforts worldwide.

“In the first quarter this fiscal year, we had stable performance as we executed our 3-wave strategy with commitment. We maintained our industry leading profitability in PC, built the foundation in mobile and data centre, and further invested in ‘Device + Cloud’ and ‘Infrastructure + Cloud’ powered by Artificial Intelligence,” said Yang Yuanqing, Lenovo Chairman and CEO. “We have made solid progress on every front of our strategy. Particularly MBG continued to improve, and is on track to breakeven by second half of this fiscal year. DCG gained good momentum as well. As the two new growth engines gain speed, we believe the sustainable results will soon follow.”

For its first fiscal quarter ended June 30, 2017, Lenovo’s quarterly revenue was US$10 billion, flat year-over-year, but an increase quarter-to-quarter of 4.5 percent. First quarter pre-tax loss was US$69 million, with a net loss of US$72 million.

Operating profit was up US$110 million quarter-to-quarter. The Company’s gross profit for the first fiscal quarter decreased 11 percent year-over-year to US$1.4 billion, yet remained flat quarter-to-quarter, with gross margin at 13.6 percent. Basic loss per share for the quarter was 0.66 US cents, or 5.15 HK cents.

Lenovo introduced its 3-wave strategy, namely balancing PCSD growth and profit, accelerating our DCG and MBG growth engines, and investing in non-hardware areas, to both meet today’s market dynamics while positioning the Company for longer-term profitable growth. Lenovo is investing in core technology and next-generation platforms that will help customers move towards a smart internet era where all smart devices will be connected to the cloud and powered by Artificial Intelligence (AI).

While Lenovo is focused on new technologies with our ‘Device + Cloud strategy’, the Lenovo Capital and Investment Group (LCIG), the Company’s provider of IoT solutions, reached a first quarter milestone of over three million users on its Global API platform.

In addition, as Lenovo continued to expand its ecosystem, LenovoID (a unique identification of directly reachable users across Lenovo devices) reached 225 million users in the first quarter. The progress Lenovo is making in its non-hardware businesses, such as software, services, and big data, is already gaining significant traction and winning new customers.

At its third annual Tech World event, held last month in Shanghai, Lenovo demonstrated several new consumer and commercial products, such as SmartVest wearable technology and daystAR glasses to help with industrial maintenance. Lenovo also announced a US$1.2 billion investment in AI research and development, and is pursuing smart solutions and partnerships in the manufacturing, healthcare and transportation sectors.

Business Group Overview

In our PC and Smart Devices (PCSD) business group, which includes PCs, tablets and smart devices, the average selling price of our PC + tablet products improved 7.8 percent year-over-year, meaning that customers were gravitating to Lenovo’s more innovative, higher-end products. Despite industry-wide component shortages and subsequent cost-hike pressures, Lenovo maintained its industry-leading profitability.

PCSD revenue was US$7 billion, with flat growth year-over-year. However, quarter-to-quarter, PCSD revenue grew 4.8 percent. Pre-tax income was US$291 million and pre-tax income margin fell to 4.2 percent, mainly due to the industry-wide increased component costs.

Lenovo’s PC business in the first quarter recorded share gains in Asia Pacific, Europe and Latin America, and worldwide shipped 12.4 million units. In China, where Lenovo still enjoys almost 36 percent market share, the Company appointed a strong new consumer-focused leader to run its PCSD business. In North America as well, where the PCSD business has been flat, new leadership is now in place to help boost sales.

Lenovo’s Mobile Business Group (MBG), which includes Moto and Lenovo-branded smartphones, saw encouraging revenue growth outside of China to US$1.7 billion, 7.6 percent increase year-over-year. As an example of the Company’s continuing momentum in this business, Lenovo achieved its publically-stated goal of selling three million Moto Z smartphones within the first 12 months.

For the second consecutive quarter MBG has continued to grow revenue and improve profitability, with revenue up two percent year-over-year to US$1.7 billion and a pre-tax income margin improvement of 2.2 pts. during the same period.

With 11 million smartphones shipped in the first quarter, Lenovo grew 12.3 percent year-over-year outside of China, driven by significant gains in both Western Europe and Latin America, up 137 percent and 56 percent respectively year-over-year.

Lenovo’s Data Center Group (DCG), which includes servers, storage, software and services, continued to focus on the transformative actions that will help drive long-term DCG competitiveness, such as strengthening our sales teams, investing in the channel, revamping our product lines, building our brand strategy, and adding new partnerships.

These actions helped to stabilize the business outside of China in the first quarter with quarter-to-quarter revenue growth of 14 percent. Particularly encouraging was the year-over-year revenue growth in Western Europe and North America of 11 percent and eight percent respectively, including quarter-over-quarter revenue growth of 22 and 19 percent respectively. In both geographies, new leadership, a restructured sales organization, and new products are beginning to pay the expected dividends, and we expect that trend to accelerate into other geographies, including China, as we execute our DCG transformation worldwide.

Another positive sign in DCG was a pre-tax income margin improvement of 1.7 pts. quarter-to-quarter. In addition to these financial indicators, DCG set 42 world-record benchmarks on the new Intel platform, more than any of our competitors and Lenovo continued to be the world’s fastest-growing super-computing provider, number 1 in China and under recent new leadership there, secured a major win with Peking University.

Modupe Gbadeyanka is a fast-rising journalist with Business Post Nigeria. Her passion for journalism is amazing. She is willing to learn more with a view to becoming one of the best pen-pushers in Nigeria. Her role models are the duo of CNN's Richard Quest and Christiane Amanpour.

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Technology

Airtel Africa, SpaceX to Launch Starlink Direct-to-Cell Connectivity

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By Modupe Gbadeyanka

An agreement for a satellite-to-mobile service that will benefit millions of people in Africa has been entered into between Airtel Africa Plc and SpaceX.

This service is through the introduction of Starlink Direct-to-Cell satellite connectivity across all the 14 markets of Airtel Africa that serve 174 million customers.

Through this partnership, Airtel Africa customers with compatible smartphones in regions without terrestrial coverage can have network connectivity through Starlink, which is the world’s largest 4G connectivity provider (by geographic reach).

The satellite-to-mobile service will begin in 2026 with data for select applications and text messaging.

This agreement also includes support for Starlink’s first broadband Direct-to-Cell system, with next-generation satellites that will be capable of providing high-speed connectivity to smartphones with 20x improved data speed. The rollout will proceed in line with country-specific regulatory approvals.

Airtel Africa is the first mobile network operator in Africa to offer Starlink Direct-to-Cell service, powered by 650 satellites to provide seamless connectivity to its customers in remote areas.

The partnership reinforces Airtel Africa’s commitment to bridge digital divide and offer seamless connectivity to its customers.

Airtel Africa and Starlink will continue to explore additional collaboration opportunities to further advance digital inclusion across the continent.

“Airtel Africa remains committed to delivering great experience to our customers by improving access to reliable and contiguous mobile connectivity solutions.

“Starlink’s Direct-to-Cell technology complements the terrestrial infrastructure and even reaches areas where deploying terrestrial network solutions are challenging.

“We are very excited about the collaboration with Starlink, which will establish a new standard for service availability across all our 14 markets,” the chief executive of Airtel Africa, Mr Sunil Taldar, said.

Also commenting, the Vice President of Sales for Starlink, Ms Stephanie Bednarek, said, “For the first time, people across Africa will stay connected in remote areas where terrestrial coverage cannot reach, and we’re so thrilled that Starlink Direct-to-Cell can power this life-changing service.

“Through this agreement with Airtel Africa, we’ll also deliver our next-generation technology to offer high-speed broadband connectivity, which will offer faster access to many essential services.”

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Simplify Your Mobile Life with eSIM and Virtual Numbers

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eSIM Plus

Managing phone numbers used to be a constant hassle. Between personal lines, work numbers, online registrations, and international travel, people often juggled multiple SIM cards, devices, or expensive roaming plans just to stay reachable. Today, eSIMs and virtual phone numbers offer a smarter way to handle communication. One device can manage multiple lines, switch between them instantly, and keep work and personal contacts separate—all without a physical SIM. For travelers, remote workers, and tech professionals, this setup offers efficiency, control, and flexibility that traditional SIM cards simply cannot match.

A virtual phone number is a digital line that exists independently of any physical SIM. Calls and messages are routed through the cloud, meaning the same number can function across multiple devices: smartphone, tablet, or computer. You can pick a local number in another country without actually being there, or maintain separate lines for freelance projects while keeping your personal number private. Virtual numbers also help protect privacy and streamline online activity. They are perfect for temporary projects, online sign-ups, or situations where you do not want to share your main number.

When paired with eSIM technology, virtual numbers become extremely convenient. Platforms like eSIM Plus let users download multiple numbers onto a single device, switch between them instantly, and manage personal and business lines without touching a physical SIM card. Travelers can maintain local numbers abroad, freelancers can manage multiple client contacts, and tech-savvy users gain complete control over their connectivity. eSIM Plus simplifies this process, allowing for seamless integration of digital numbers and minimizing the complications associated with traditional SIMs.

Businesses also find virtual numbers invaluable. They enable companies to create a local presence in multiple regions without the need for physical offices. Calls can be forwarded to employees anywhere, while integration with CRM tools allows monitoring and analytics of communication. For individuals, virtual numbers enhance privacy and simplify digital life. Whether signing up for online services, running a side business, or protecting personal information, virtual numbers provide flexibility and control that traditional numbers cannot offer.

Everyday Scenarios for Virtual Numbers

Virtual numbers are not just a tech gimmick—they solve real problems.

  • International Travel: A traveler can maintain a local number in multiple countries, avoiding expensive roaming fees while staying reachable by family, friends, and colleagues.
  • Remote Work and Freelancing: A consultant or freelancer can separate client communications from personal calls without carrying multiple phones. Multiple virtual lines can support different projects simultaneously.
  • Privacy Protection: Individuals can use temporary numbers for online registrations, dating apps, or marketplace accounts, significantly reducing spam and unwanted contacts.
  • Small Businesses and Startups: Companies can create local contact points in different regions, forward calls to employees, and integrate with communication software for better workflow management.

With eSIMs, managing these numbers becomes effortless. Instead of swapping physical SIM cards, users download the eSIM profile to their device, and virtual numbers become instantly available. This combination provides unparalleled flexibility for modern digital lifestyles.

How Virtual Numbers Work

Getting a virtual number is straightforward. Providers allow you to select a number online, link it to your smartphone or VoIP service, and manage it through an app. Common features include:

  • Call forwarding to any device
  • Text messaging and multimedia messaging

  • Voicemail management

  • Temporary numbers for short-term projects or verification purposes

When integrated with eSIM, the activation process is even faster. Download the eSIM profile to your device, and all your virtual numbers are ready to go. This approach is ideal for travelers, remote workers, and anyone managing multiple lines on a single phone without extra hardware.

Leading eSIM Providers

Several providers lead the market in combining eSIM technology with virtual numbers:

  • eSIM Plus: Offers digital SIMs integrated with virtual numbers, allowing multiple lines on one device. Users can manage personal, business, and international numbers seamlessly, making it perfect for remote workers, travelers, and freelancers.
  • Truphone: Provides global coverage with quick activation. Users can switch numbers without changing SIM cards, ideal for business professionals moving across regions.
  • Airalo: Focused on international travelers, offering cost-effective eSIMs for data and voice in over 190 countries. Airalo simplifies connectivity for tourists and remote workers abroad.
  • GigSky: Offers pay-as-you-go and subscription eSIM plans suitable for frequent travelers and digital nomads. GigSky supports multiple virtual lines on one device.
  • Ubigi: Enterprise-focused, enabling companies to deploy eSIMs and virtual numbers to distributed teams. Employees maintain local numbers across regions without physical SIM swaps.
  • Nomad: Travel-oriented eSIM provider supporting multiple virtual lines on one device. Ideal for digital nomads, remote professionals, and long-term travelers.

These services show how eSIMs and virtual numbers have evolved from niche tech to mainstream tools for managing modern communication efficiently.

Advantages Over Traditional Numbers

Virtual numbers have several key advantages over regular SIM-based numbers:

  • Multiple lines on one device: Manage work, personal, and international numbers without carrying multiple phones.
  • Privacy and control: Easily change or deactivate numbers for temporary projects, online registrations, or spam prevention.
  • Global accessibility: Make and receive calls from anywhere without costly roaming charges.
  • Integration with software: Works with VoIP apps, cloud platforms, and CRMs. Supports automated call routing, analytics, and communication tracking.

Traditional numbers cannot match this flexibility, efficiency, or convenience. Virtual numbers are built for modern workflows and digitally connected lifestyles.

Combining eSIM and Virtual Numbers

The combination of eSIMs with virtual numbers creates a flexible communication system. One device can handle multiple lines for home, work, or international use. Businesses can provide employees with local numbers in multiple regions without physical offices. Travelers can maintain home and foreign numbers without swapping SIM cards.

Consider a freelance consultant traveling across Europe: a virtual number in France, one in Germany, and a personal line—all on a single device. Clients reach local numbers, costs are minimized, and management happens from one interface. This setup highlights the efficiency eSIMs and virtual numbers provide.

Real-World Examples

  1. Remote Work Across Time Zones: An employee in Asia receives calls from North American clients using a local virtual number, avoiding international fees. eSIM profiles allow switching lines based on work hours.
  2. Maintaining Local Presence While Traveling: A business owner visiting multiple countries can maintain virtual local numbers. Clients call local numbers, but calls are forwarded seamlessly.
  3. Privacy and Online Security: Individuals use temporary virtual numbers for online registrations, reducing spam to their primary number.

These examples show why eSIMs combined with virtual numbers are essential for modern digital workflows.

The Future of Connectivity

With the rise of 5G, cloud communications, and AI-powered tools, eSIMs and virtual numbers will become increasingly integral to daily life. Expect tighter integration with business applications, enhanced security features, and instant switching between personal and professional lines.

For travelers, remote workers, and anyone managing multiple contacts, eSIMs paired with virtual numbers are more than a convenience—they’re a smarter, more efficient way to control communication in today’s digital world.

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Technology

Lagos’ Team Nevo Wins 3MTT Southwest Regional Hackathon

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Lagos 3MTT Hackathon Team Nevo

By Adedapo Adesanya

Lagos State’s representative, Team Nevo, won the 3 Million Technical Talent (3MTT) South-West Regional Hackathon, on Tuesday, December 9, 2025.

The host state took the victory defeating pitches from other south west states, including Oyo, Ogun, Osun, Ekiti, and Ondo States.

This regional hackathon was a major moment for the 3MTT Programme, bringing together young innovators from across the South-West to showcase practical solutions in AI, software development, cybersecurity, data analysis, and other key areas of Nigeria’s digital future.

Launched by the Federal Ministry of Communications, Innovation, and Digital Economy, the hackathon brought together talented young innovators from across the Southwest region to showcase their digital solutions in areas such as Artificial Intelligence (AI)/Machine Learning, software development, data analysis, and cybersecurity, among others.

“This event not only highlights the potential of youth in South West but also advances the digital economy, fosters innovation, and creates job opportunities for our young people,” said Mr Oluwaseyi Ayodele, the Lagos State Community Manager.

Winning the hackaton was Team Nevo, made up of Miss Lydia Solomon and Mr Teslim Sadiq, whose inclusive AI learning tool which tailors academic learning experiences to skill sets of students got the top nod, with N500,000 in prize money.

Team Oyo represented by Microbiz, an AI business tool solution, came in second place winning N300,000 while Team Ondo’s Fincoach, a tool that guides individuals and businesses in marking smarter financial decisions, came third with N200,000 in prize money.

Others include The Frontiers (Team Osun), Ecocycle (Team Ogun), and Mindbud (Team Ekiti).

Speaking to Business Post, the lead pitcher for Team Nevo, Miss Solomon, noted, “It was a very lovely experience and the opportunity and access that we got was one of a kind,” adding that, “Expect the ‘Nevolution’ as we call it, expect the transformation of the educational sector and how Nevo is going to bring inclusion and a deeper level of understanding and learning to schools all around Nigeria.”

Earlier, during his keynote speech, the chief executive officer (CEO) of Sterling Bank, Mr Abubakar Suleiman, emphasised the need for Nigeria’s budding youth population to tap into the country’s best comparative advantage, drawing parallels with commodities and resources like cocoa, soyabeans, and uranium.

“Tech is our best bet to architect a comparative advantage. The work we are doing with technologies are very vital to levelling the playing field.”

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