The phone, called Lephone, is based on Google's (GOOG.O) Android operating system. It was showcased at a mobile fair in January this year.
"We hope to sell 1 million (units in China) this year," Tong Fuyao, Lenovo's vice president, told reporters.
Tong also said he saw potential for the phone in business and was working with developers to come up with applications to target that market.
Lenovo, the world's No. 4 PC brand, said in April mobile Internet products would account for 10-20 percent of revenue in five years. [ID:nTOE63I02Q] (Reporting by Melanie Lee and David Lin; Editing by Jonathan Hopfner)
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