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Dell to focus on computers business, states report

Dell Inc. announced this week that it will exit the LCD television business in an effort to focus on its core competencies -- mainly computer systems. Dell executives announced that the company will end production of its LCD televisions by the end of this June. Dell currently sells LCD televisions in the U.S., Japan and other smaller markets.

Since Dell founder Michael Dell took back his original position as chief executive officer in January, Dell has gone through a number of corporate changes and staff reorganization. Under former CEO Kevin Rollins, Dell expanded its businesses in an attempt to diversify. Unfortunately, this left the company with gaps in its core business and consequently Dell lost its number one position to rival HP.

Dell entered the television business back in 2003 in an effort to turn itself into an electronics company and not just one that focused on computers. Dell itself does not manufacture any of its LCD televisions and instead buys them from OEMs in Asia. Since their launch several years ago, Dell LCD televisions have been popular with the general public because of their features to price balance.

Dell recently announced that it would take its business to traditional big box retailers. Kiosks scattered across shopping malls nationwide have been Dell's retail source for the last few years but according to Dell CEO Michael Dell, the direct sales model is not something that the company must adhere to. "The direct model was a revolution. It's not a religion," said Dell.

Update 06/07/2007: Dell issued a statement denying reports the company will exit the LCD TV industry, specifically claiming that nothing has changed since February 2007.

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Lots of conflicting articles?
By DocWolfe on 6/7/2007 7:20:18 PM , Rating: 4
This is contrary to an article I read here... where a spokes person is actually quoted unlike the reuters article.

http://www.networkworld.com/news/2007/060707-dell-...




By johnsonx on 6/8/2007 5:49:23 AM , Rating: 3
The problem with spokesholes is that what they speak is spin (spokeshole = hole from which spin speak flows). While I am not certain that Dell previously offered own-branded TV's larger than 37" (they did, didn't they?), it's clear they no longer intend to. They also intend to promote Sony LCD TV's equally with their own.

Reading between the lines of the various stories, it appears Dell is exiting the TV business, but does not wish to say so loudly and publicly because they still have agreements to purchase Dell branded TV's from their OEMs that they then have to sell. They also do not wish to suggest to potential purchasers that Dell.com isn't the place to go to for LCD TV's. In a year, there won't be any Dell branded TV's at dell.com, but Dell will still be promoting and selling LCD TV's.


HP Blows
By TimberJon on 6/7/07, Rating: -1
RE: HP Blows
By Anosh on 6/7/2007 6:29:02 PM , Rating: 2
The single most important reason why I would and did choose to buy a Dell LCD was due to their anti-reflective treatment. It's so incredibly practical not to have to worry about facing the sun, reflections etc.

If you ask me this should be standard on all screens; monitor or TV.


RE: HP Blows
By Lakku on 6/7/2007 9:09:07 PM , Rating: 2
It's practical, but, mostly if you can't control the light in the area your computer is in (say, in an office setting). If you can control it, as most can at home etc., anti-reflective isn't the best option. It works both ways, so it diffuses light coming out of the monitor, meaning anti-glare monitors don't have as good color saturation and color quality.


RE: HP Blows
By kamel5547 on 6/7/2007 6:45:10 PM , Rating: 2
I have an office full of HP's (100 desktops/laptops, and servers) and no real issues with any of them, a couple component failures here and there.

BTW both HP (LP1965 for example, in fact they have ahd them for at least a year on other models as well) and Gateway (forget the model) have monitors with USB prots on the side. In fact I'm pretty sure most non-budget LCD's ahve them. I'm more interested in multiple video inputs at this point (HP has those too as does Gateway, Dell probably does too)


RE: HP Blows
By TimberJon on 6/8/2007 12:09:57 PM , Rating: 2
I really like the USB inputs. Checking out high end manufacturers everywhere (Sony, samsung, NEC, Viewsonic..) I couldnt find USB anywhere...

So I started calling up all the companies, and asking to talk to their senior tech. I got No's from all of them. Nobody had USB ports on monitors. When asked if they are thinking about it? they told me that nobody had such a thing. When I told them that Dell did and that they were losing out, they just acted skeptical like I was just trying to glorify another company in response.

For a corp environment with a large network, perhaps HP, Dell or gateway isnt a bad idea.. Technical Support-wise. On contract the benefits are outstanding and worth it.

For a homebuilt, of course we would try to build our own..

Im curious, CDW is supposed to have good on-site tech support contracts for businesses. Would they work with duplicates of user-built PC's?


By kilkennycat on 6/7/2007 5:43:19 PM , Rating: 3
quote:
Either the look of their laptops or their low quality adware infested systems make customers turn to other companies like HP.


Well, I have just had the privilege of buying and setting up a HP laptop for my son. (For me, the first non-self-built PC in a long, long time.) Took me about two hours to properly identify and remove all the HP-installed adware and bloatware. Needed some careful surgery to avoid removing or damaging wanted installs. Quality hardware, no complaint; but a truly-parasitic software install.


By vze4z7nx on 6/7/2007 5:50:10 PM , Rating: 1
And what? You are telling me that Dell doesn't have any "truly-parasitic software"? Dell probably has even more... it might not be as evident, but believe me they do.

And about their ugly laptops... at least HP's laptops are glossy and are pleasing to the eye. Dell's laptops are made out of ridged plastic.


By andylawcc on 6/7/2007 6:39:44 PM , Rating: 2
I had two dell laptops they work quite fine. I don't find any bloatware holding them down, other than the already-expired McAfee.


By smn198 on 6/8/2007 5:43:21 AM , Rating: 2
I'm pretty sure it has something to do with this - http://www.youtube.com/watch?v=B628CifhR_8

Very bad for Dell's TV business.


By Oregonian2 on 6/7/2007 8:25:02 PM , Rating: 5
quote:
I mean all of the stuff makes sucks one way or another. Either the look of their laptops or their low quality adware infested systems make customers turn to other companies like HP.


No, he was just countering the above statement by showing how it makes no sense, in his experience, to flee from Dell to HP to avoid adware and the like.


By nayy on 6/7/2007 7:06:39 PM , Rating: 2
HP gets paid or benefits some how from all that bloatware, and this reflects in the final price of the product. If you save $50(this is just a guess) on a computer and spend 2 hrs cleaning it up, you end up about even. Sure it would be nice to have the option, but that would double the number of SKUs for hp, is just not worth it for them.

By the way, I have an HP, I cleaned it up (hate bloatware too)and could not be happier.


By rickon66 on 6/7/2007 9:54:43 PM , Rating: 2
I have sold computers from Gateway, HP Compaq, Toshiba, etc. and the fact is, the computers are more alike than they are different. Other than cosmetics they all have the same stuff inside. I advise people who ask me what is the best computer to buy, to just buy the specifications they want and look for the cosmetics and exterior features that they like without regard to brand. There is no "BEST" brand anymore, if there ever was..


By Chillin1248 (blog) on 6/7/2007 7:17:31 PM , Rating: 5
I must say, absolutely brilliant find when you are trying to cut a man down to size.

However I would wish in the future that you would not try to find personal fallibilities or defects and post them about other DailyTech members. There is no need to sink to that level when there are other routes to take in the disagreement; next time please just research some evidence disproving the original posters point. Think about it, did your find help you disprove the original posters point at all?

There is a old but good saying my grandpappy used to say:

"If you have nothing nice to say, say nothing at all"

-------
Chillin


By Lord 666 on 6/7/2007 8:51:16 PM , Rating: 1
How about this then?

"Not to be whore or anything like that but your company is not exclusive if it is being run by its mother, HP in this case. Don't count on actually changing the computer world now, since everything you will want to do must get approved by the head of HP... and knowing HP, its all about cheap prices than cool things."

" So after reading my comment, I hope you understand that what you did was probably your greatest mistake because in no way is HP going to help you sell over the line products . I know you already have enough personal money, but its all logic. What I'm trying to say is that HP showed you such a high check, that you couldn't resist and had to sell Voodoo -and believe me that what most of us would do too. It's a trap, a trap that you can't get out of once you get in.

Believe me, I know what I'm talking about. But hey, I'm just a person. I can't tell what the future holds for us."

-vze4z7nx 10/25/2006 6:26pm
http://www.rahulsood.com/2006/10/getting-our-feet-...


By johnsonx on 6/8/2007 5:36:34 AM , Rating: 2
While I wholeheartedly agree with chillin in that there was no need to post that for precisely the reasons he stated, for me the most interesting aspect of the teenwire post (presuming that the poster is the same person), is that vze is 16 (linked post was 2 years ago).

With rare exception (Anand Shimpi), 16 year old children lack the knowledge and experience to make the judgements and claims vze has made here. About the best most of them can do is innaccurately repeat what others have told them, and judge things based on a largely silly set of criteria that have no basis in the real world. vze has said nothing that so much as suggests he is one of those rare exceptions.

Therefore, I judge vze4z7nx's claims based not on any common medical problem he may have had in the past, but on their own merit and based on my general opinion of the knowledge and experience level of children.


By vze4z7nx on 6/8/2007 3:42:23 PM , Rating: 2
That's real funny man. Heh, what made you think that that is a problem that I have? It could have been someone else that has that problem. And that actually is someone else. I don't want to insult anyone here, but there is this one Russian kid in my geometry class at school that has b00bs bigger than a football... I'm pretty good friends with him, and I was trying to convince him to make a topic about his "problem" on TeenWire so that he can get some help, but he didn't. So I made it for him and I sent him the response I got. I bet that if you had that same problem you would try to keep it to yourself. OR, if someone you know had that problem, all you would do is laugh at him, but I'm intellectual than you, and thats why I tried helping a friend out.

And no, I don't sound like a tough guy because I know I'm not. All I was saying was that Dell laptops look like pieces of junk compared to HP laptops.


By johnsonx on 6/8/2007 8:31:48 PM , Rating: 2
Ah, the oldest line in the book: "It's not for me, it's for a friend." True or not, you're still a kid with a worthless opinion about something you know very little about.


By timmiser on 6/7/2007 7:32:44 PM , Rating: 2
For someone who has never bought anything from Dell, you sure seem to know a lot about their products, bloatware and customer service.

The real flaw to your post however is your loyalty to HP. I've owned both Dell & HP/Compaq systems and can tell you their business models are pretty much the same. You will get all the bloatware and the customer service imported from India regardless of who you choose.

I also own a Dell XPS gaming laptop and can tell you that HP doesn't make anything nearly as powerful as Dell's high end gaming machines.


By vze4z7nx on 6/8/2007 3:52:08 PM , Rating: 2
I never said anything about power. All I said was that Dell's laptops look really cheap compared to HP's.

You don't need to buy anything from Dell in order to see the the look of a laptop made by them. I know a few people that have Dells and based on what I saw, those laptops look more like the cheap 99 cents toys they sell at the 99 cents store.

I know that Dell XPS laptops are great, and that they look a little better than the other laptops Dell offers, but in my post I was talking about the look of Dell's laptops in general.


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