backtop


Print 77 comment(s) - last by Pythias.. on Feb 14 at 11:58 AM


Dell has since removed the above disclaimer from its website.

Dell directs customers to retail stores if they want AMD systems

AMD-powered Dell Vostro 1000
Dell says goodbye to AMD-based Inspirons on Dell.com

It appears that the AMD-Dell relationship may soon be coming to an end – at least online. Dell was rumored for years to consider switching to AMD processors for its computers, but the company constantly denied the rumors.

Dell finally broke the news to the world in May of 2006 when it announced that it would sell AMD-based servers to the public. The company followed with AMD-based desktop and notebook computers.

All seemed to be well with the AMD-Dell partnership -- until now. Dell appears to be in the process of removing AMD-powered machines from its website. Although machines like the Latitude D531, Vostro 1000, and Optiplex 740 are still currently available online, Dell put this cautionary note at the top of the search page for anyone looking for an AMD system:

Shop for Dell computers with AMD processors in retail stores. See our retail partners for details.

Computers with AMD processors are not available online.

This move would be a big blow to AMD, which relished the opportunity to partner with a big-name OEM like Dell -- a company that it tried for years to crack.

Customers who wish to purchase AMD-based Dell machines in the future will instead have to go to brick-and-mortar stores like Best Buy, Staples, Wal-Mart or Sam's Club. Any exposure is better than none, but Dell derives the vast majority of its sales from its online business so AMD will clearly be missing out.

The news of Dell giving AMD the boot online couldn't come at a worse time for the Sunnyvale, CA-based company. AMD reported 2007 revenue of $6.012 billion and a net loss of $3.379 billion. AMD is still struggling with the remnants of its 2006 purchase of ATI -- ATI is also now worth 30% less than AMD's original purchase price.

Dell has also had a mixed bag of news in the past few months. The computer giant was able to slip past HP as the top computer marker in the U.S. for 2007. Dell commanded 31.4% of the U.S. market last year compared to 26.1% for HP.

On the other hand, Dell announced the decision to close its Canadian call center resulting in the loss of 900 jobs and close all 140 of its Dell Direct Store kiosks around the U.S.

Updated 2/8/2008
We recently spoke with a Dell representative Anne Camden who wished to clarify the recent happenings on Dell's website. First of all, Dell has since removed the "Computers with AMD processors are not available online" disclaimer from its website. Whether this was a slip-up on Dell's part remains to be seen.

Secondly, Dell Latitude, Vostro and Optiplex systems using AMD processors will continue to be made available on Dell's website.

Finally, AMD-based Inspiron notebooks will no longer be offered on Dell.com. Only the Energy Star 4.0 Inspiron 531 desktop lives on through Dell.com. Inspiron notebooks and the rest of the Inspiron desktop family will only be available from retail stores such as Wal-Mart and Staples.



Comments     Threshold


This article is over a month old, voting and posting comments is disabled

2 options
By MartinT on 2/8/2008 8:53:27 AM , Rating: 2
(1) AMD systems don't sell well enough.

(2) AMD isn't giving away its processors anymore.

Personally, I guess it's a bit of both.




RE: 2 options
By retrospooty on 2/8/2008 8:56:22 AM , Rating: 2
Yup... When they went with AMD it was supposed to be a price competitive alternative. In the end the AMD systems arent any cheaper,(from the several times I loked, the desktops were even more expensive) and they certainly arent faster. Why bother.


RE: 2 options
By The Jedi on 2/8/2008 9:23:50 AM , Rating: 2
If you go into a retail store AMD PC's are widespread and cheap. If Dell is selling AMD PC's at retail they are pre-built, so they certainly expect to sell them.


RE: 2 options
By sonoran on 2/8/2008 11:23:06 AM , Rating: 2
Well, none of us know what's really behind this decision, but it may be neither of the reasons above. Dell is very demanding, and may not be happy if they are having to tell customers "sorry, we don't have those AMD machines in stock." That doesn't just make AMD look bad - it makes Dell look bad. Dell is also very demanding on defect rates.


RE: 2 options
By clnee55 on 2/9/2008 12:54:49 AM , Rating: 2
I think I know the reason. I heard rumor from the boyfriend of my sister's friend that Michael Dell's son is going to marry the daughter of an executive from Intel. He used to date AMD ECO's daughter but dumped her because of her performance.


"We don't know how to make a $500 computer that's not a piece of junk." -- Apple CEO Steve Jobs














botimage
Copyright 2014 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki