Recent insights from IDC's "Top 10 Predictions for China's Smart Device Market in 2026" reveal that the country's smart devices are entering an AI-native era. AI is not only reshaping core device functionalities and interaction methods but also driving deep innovation across ecosystems, scenarios, and product categories—emerging as the central engine for economic transformation and industrial upgrading.
By 2026, AI-powered devices will become pivotal productivity tools for economic transformation, bridging consumer and industrial applications while forming the digital backbone for societal advancement. IDC projects China's smart device shipments to exceed 900 million units in 2026, with traditional AI device penetration surpassing 93% by 2027 (up 4% YoY). The demographic dividend is transitioning into an "AI dividend," positioning smart devices as key carriers of next-gen productivity.
Supported by national policies emphasizing AI, computing power, and data infrastructure, device intelligence is converging with cutting-edge technologies like embodied AI, quantum computing, biomanufacturing, and 6G. This fusion is spawning new economic models and propelling China’s modernization and high-quality development. Consequently, edge AI is evolving beyond consumer experience enhancement to become a critical tool for enterprise digital transformation.
Leading this charge is LENOVO GROUP (00992), which has built formidable advantages in the sector. In Q3 2025, Lenovo retained its position as the global PC market leader with 19.4 million shipments (25.5% share), while dominating the Windows AI PC segment. This success stems from its proprietary AI-native technology framework and dual strength in consumer and commercial markets.
IDC forecasts over 300 million traditional AI device shipments in China by 2026, with penetration rates reaching 93% (2027) and nearing 97% (2029). The AI-native ecosystem is restructuring the industry landscape, with players accelerating deployments in OS, large models, and intelligent agents while fostering collaborative innovation across hardware and software. By integrating computing power, sensing capabilities, and smart interactions, these systems enable autonomous decision-making and deliver hyper-personalized experiences.
Lenovo's Enterprise Super Intelligent Agent, launched May 2025, has become the industry's first operational enterprise-grade AI agent, generating RMB1.89 billion across 20+ core scenarios (e.g., e-commerce, supply chain). Handling 1+ million daily interactions, it boosted user engagement by 270% and order conversion by 30%. Meanwhile, its Tianxi Personal Super Agent connects 2,000+ ecosystem partners in computing, models, and apps, creating a "device-cloud-ecosystem" network.
Notably, IDC highlights that 40%+ users now expect emotional support from devices—shifting interactions from functional to empathetic. Lenovo's AI PCs reflect this trend, achieving 40% weekly active rates and handling 75%+ customer service via AI agents (4,000 service tickets annually per human agent).
The report also identifies two growth vectors: globalization (China's device exports transitioning from products to localized production) and robotics (54% projected growth for China's service robots by 2026). Lenovo's "China+N" manufacturing network (33 factories across 11 countries) slashed European delivery cycles by 30%, while its Middle East JV with Saudi's Alat aligns with Vision 2030—propelling smartphone sales to top-5 overseas with 155% APAC revenue growth.
Scenario-based innovations include: award-winning rollable AI PCs (185 CES 2025 awards), foldables leading Western Europe, and AI education tools serving 1,000+ schools. Its robotics "Spark & Light Plan" enables rapid prototyping-to-production (2-week trials, 3-month mass production) for cleaning/delivery bots.
To counter potential component shortages, Lenovo employs AI across its value chain—reducing screen breakage rates via BOE partnerships and cutting PC early failure rates by 45% over five years. AI agents now handle 60% of marketing content (30% conversion lift) and achieve 100% quarterly outreach to 230,000 enterprise clients.
Dr. Kitty Fok, IDC's VP of Research, emphasizes that 2026's AI device differentiators will be "natural interaction, diversified form factors, and scenario-based solutions"—areas where Lenovo's hybrid AI strategy integrates R&D, ecosystem synergy, and global execution to create unique competitive moats. As the AI-native era accelerates, Lenovo is positioned to set global benchmarks for China's smart device industry.