The world's largest PC maker Lenovo Group Ltd on Wednesday inked a deal with Beijing Digital Telecom Co Ltd, China's largest cell phone chain store, to expand its global retailing channels.
Under the deal, Beijing Digital Telecom, better known as Dixintong, promises to sell more than 10 billion yuan ($1.5 billion) of Lenovo's handsets over the next three years.
The two firms will step up cooperation in areas such as India and Southeast Asia where Lenovo's products are well received. Dixintong will also help Lenovo expand into African countries such as Kenya and Nigeria where there is a huge demand for entry-level smartphones.
When it comes to China, Lenovo's home turf and the most competitive smartphone market in the world, Dixintong will give Lenovo the best retailing sources.
The move came shortly after Lenovo unveiled its first modular handset Moto Z series on Tuesday. The phone has high-powered magnets on its rear with on which users can fasten additional equipment, including a Hasselblad camera, an extra battery, speaker, projector and phone shell.
Lenovo is banking on the phone to compete with Apple Inc and Samsung Electronics Co Ltd in the high-end market. It is also the latest attempt to boost declining sales with more offline-retailing sources, which is widely seen as the key to prevail in China where online sales of smartphones have hit a ceiling.
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