China’s Lenovo is reportedly in talks with Japan’s NEC for a joint venture in personal computers.
The Nikkei business daily said Lenovo plans to take a controlling interest in NEC’s PC unit.
However that would be politically sensitive and Reuters quoted sources as saying it was not clear what form the partnership might eventually take.
A deal would mean both would be able to take on larger global rivals.
Lenovo, which is ranked fourth in the global PC market behind Hewlett-Packard, Dell and Taiwan’s Acer, is looking to tap NEC’s technology for development and expand its share of the Japanese market, the Nikkei report said.
NEC is the top maker in Japan’s mature PC market, but does not rank in the top 10 globally. It would likely see the tie-up as a chance to take advantage of the fast-growing Chinese market.