Lenovo plans to axe 3,200 jobs

Tech firm says Q1 net income fell by 51% on poor smartphone sales Lenovo Group Ltd said on Thursday it will lay off 3,200 employees after it announced a 51-percent year-on-year decline in net income for its first fiscal quarter which ended in June.

The cuts, which will mainly occur in the company's newly acquired Motorola Mobility unit, represent roughly 10 percent of its global non-manufacturing headcount.

Yang Yuanqing, chairman and chief executive of Lenovo, said poor smartphone sales and worsening global demand for personal computers necessitated the job cuts.