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Dell is aggressively targeting the tablet market, but it will leave phones to others

After a successful shareholder vote, and financing help from Microsoft Corp. (MSFT) among others, Michael Dell finally has the leverage he needs to take his company private.  While he'll still have private investors to answer to, and will still have to solve his company's dramatic slide in the PC market, he will at least be able to tackle these issues without being over scrutinized by the media.

Michael Dell, in an interview with CNBC on Friday morning, said, "[Going private] will open an exciting new chapter [for Dell and its customers]."

Going ahead, he says his company will focus on five key goals:
  1. Improving enterprise hardware/software offerings
  2. Expanded sales capacity
  3. Targeting emerging markets
  4. Improving buyer experiences
  5. Building better PCs/tablets

Dell showed off a bit of its strategy for that final point at the 2013 Intel Developer Forum (2013 IDF) this week, teasing at the upcoming Dell Venue tablet line, based on Intel Corp.'s (INTC) new Bay Trail chops.

Notably not on the list are "smartphones".  Dell has played with the segment in the past, launching the Dell Aero -- a budget Android model in early 2010 -- followed by the fancier Dell Venue (Android) and Dell Venue Pro (Windows Phone 7) later this year.  But none of these phones achieved major sales success, and by mid-2012 Dell had quietly pulled the plug on this fledgling project.

Dell Venue Pro
While better looking, the Dell Venue Pro did not produce sufficient sales for Dell to continue the expensive business of smartphone development.

On Friday Michael Dell quashed any hopes of a Dell smartphone comeback, while vowing that his company would deliver great mobile product in other segments like tablets.

Source: CNBC



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has anyone seen one of these in the wild?
By hiscross on 9/13/2013 9:25:44 PM , Rating: 5
Didn't think so. Remember they once made a MP3 player.....




RE: has anyone seen one of these in the wild?
By jonm78 on 9/13/13, Rating: 0
By StevoLincolnite on 9/14/2013 8:19:39 AM , Rating: 4
And yet, I love my Windows Phone 8 phone, it's stable, stupidly fast and responsive...

Better camera, Higher screen resolution, Larger Screen, Cheaper (I don't bother with contracts!) and outside of a few niche' apps such as an App for my bank (Solved by just making a webpage tile to my bank account.) and a Radio app for my local radio station... I've pretty much got all the apps I need.

You really couldn't pay me to switch to another Phone OS.


By Flunk on 9/14/2013 1:07:53 PM , Rating: 2
I have an HTC HD7 and while it is a good device and the OS works well I am going to go Android for the next one.

There are a few things that really annoy me about Windows Phone 7. First is that Microsoft only really provided one update for the platform (plus a tiny one that just tweaks the start menu) before totally abandoning it. This happened after they promised the platform would handle upgrades better than Android and iOS.

With Windows Phone 8 they totally changed the platform, which makes all new apps incompatible with Windows Phone 7.Leaving us with 2 year old phones that would never see any new apps or get any updates.

They are also locked down to Microsoft's store with very limited developer side loading. This means you are totally blocked in to their ecosystem no matter what. Add to that the catalog of apps being weak (mostly because it is very difficult to make money selling on their store, which I know first-hand).

Anyway, there are pluses to the platform but Microsoft seems do everything they can to annoy customers and shoot themselves in the foot. I'm thinking about getting the new nexus phone when it comes out just to be done with it.


RE: has anyone seen one of these in the wild?
By jonm78 on 9/14/2013 1:41:55 PM , Rating: 2
Most phones are fast these days. Unfortunately the lack of apps is what plagues the Windows Phone platform. Android and iOS have that and Windows Phone does not.

Better camera compared to what? I have never seen anyone complain about the iPhone camera.

Cheaper? I don't have a contract either.

I guess bank websites would be great unless they are Flash based (such as PNC Bank which also doesn't have a Windows Phone app either).


By inighthawki on 9/15/2013 10:28:39 PM , Rating: 3
Oh boy. More apps! More absolutely worthless apps! Now instead of all the apps that everyone actually uses plus some, we have exactly the same thing except 100x as many useless ones.


RE: has anyone seen one of these in the wild?
By flyingpants1 on 9/13/2013 11:10:00 PM , Rating: 3
Not really, saw plenty of reviews though. This and the Streak 5 were ahead of their time.

Dell should make phones. There is plenty of room in the market for phones that aren't necessarily a $600 flagship model. Look at the Nexus 4 launched at $299, Galaxy Mega 6.3" $99 on contract.


RE: has anyone seen one of these in the wild?
By Samus on 9/13/2013 11:55:21 PM , Rating: 2
I Agree. Dell should make phones!

With Blackberry on the cliff and HP/Palm out of the game, who is left to make enterprise-class phones? Samsung? Apple? Are you kidding me? Motorola had some iffy attempts with the Droid Pro and its spinoffs (like the Sprint XPRT) but realistically if Dell pulled this off, there would be nobody to challenge them.

What could make it really special is if they supported WP and Android on similar hardware, giving ultimate consumer choice. They're in the position to do this when nobody else is (although Samsung has tried and failed with their GSIII-esque WP8 offering)


RE: has anyone seen one of these in the wild?
By Motoman on 9/14/2013 12:07:05 AM , Rating: 2
There's no sense at all in refusing to sell phones...you need the whole continuum of computers, starting with phones, then tablets, then laptops, and desktops (and of course servers and whatever else if you're going to be Dell).

Even just from the standpoint of being a single vendor of choice to large enterprise. Just contract with HTC or somebody to re-label a decent phone. Slap a Dell sticker on it and call it done.

But saying you're going to abdicate that market all together is just stupidity.


RE: has anyone seen one of these in the wild?
By troysavary on 9/14/2013 6:55:01 AM , Rating: 2
Why, no one in the phone market except Apple and Samsung, and maybe Nokia, are making money at it. The North American market is all about carrier subsidies, and if they can't get the carriers to bend over for them, they won't sell. The emerging markets are filled with budget Chinese devices and I doubt Dell wants to get into another race to the bottom like that.


RE: has anyone seen one of these in the wild?
By Motoman on 9/14/2013 11:09:54 AM , Rating: 2
They don't have to. As I mentioned, all they need to do is pick a partner and relabel a model or two, and then put it in their catalog.


By Flunk on 9/14/2013 12:53:53 PM , Rating: 2
HTC would be a good choice. They've worked together before, all of Dell's Axim Pocket PC's were made by HTC. They're also not in a position to say no or demand too much.

Dell is really shooting themselves in the foot here. Top to bottom market integration is what sells Apple and Samsung products. Happy customers come back for more.


RE: has anyone seen one of these in the wild?
By troysavary on 9/15/2013 6:40:58 AM , Rating: 2
So you are saying they should be selling Windows Phones, since you are basing your argument on top-to-bottom integration?


By Motoman on 9/15/2013 7:40:15 PM , Rating: 2
Meh. Doesn't matter. You can integrate Exchange into Android phones just as easily as Windows phones...and that's all that really matters.


By YearOfTheDingo on 9/15/2013 10:34:32 AM , Rating: 2
It probably make sense for them to try to figure out their overall strategy first and then try to see how smartphones fit in. It's all about selling services to businesses. A player like Dell will sell generate enough volume to make it a profitable venture.


RE: has anyone seen one of these in the wild?
By Reclaimer77 on 9/14/2013 9:55:33 AM , Rating: 2
Making "enterprise class" smartphones sounds like a one way ticket to obsolescence and profit-loss. Especially with BYOD (bring your own device) being the prevailing policy for most companies anyway. Because nobody wants to juggle one phone for work, and one phone for personal use.

quote:
(although Samsung has tried and failed with their GSIII-esque WP8 offering)


That's because nobody wanted a Windows Phone. The devices themselves have been fine.

If Samsung couldn't pull it off, as you say, what possible hope in Hell does Dell have in doing so?


By melgross on 9/14/2013 12:17:42 PM , Rating: 2
While I wouldn't say that Dell does have a chance, because I don't think they do, Samsung isn't really interested in selling Win Phone. It's very likely the only reason they're still doing it is the same reason HTC is still doing it. It's so that Microsoft doesn't charge them the full licensing fee they're charging other Android phone makers who aren't making Win Phone. In HTC's case, they're too small, and are doing too poorly to afford it, and in the case of Samsung, they're probably saving more this way than their total costs for producing the very small number of Win Phone's that they are, so they come out ahead of the game.


RE: has anyone seen one of these in the wild?
By melgross on 9/14/2013 12:10:23 PM , Rating: 2
The Streak got incredibly poor reviews, so I don't know what reviews you saw. It also died pretty quickly, as have all of Dell's consumer products. This is an area in which they shouldn't participate.

It doesn't make sense for them to do so, as Dell's entire reason for going private is to move AWAY from consumer products, and turn Dell into a mini IBM. Of course, there's the question as to whether Michael Dell is competent enough to do that, as he hasn't proven able enough to slow Dell's slide so far, as he promised to do when he came back. He's certainly no Steve Jobs, or Louis Gerstner Jr.


RE: has anyone seen one of these in the wild?
By flyingpants1 on 9/14/2013 2:15:35 PM , Rating: 3
I didn't say they were good reviews. I said those models were ahead of their time, which is true. Everyone thought 5-inch screens were insane back then. Just saying I wish they'd make some cool new stuff again.


By Mint on 9/16/2013 11:17:47 PM , Rating: 2
It wasn't just the size that made the Streak 5 bad or today's phones good. It was too heavy, had too small a battery, and had no stylus.

Today's 5" phones are only acceptable because they're a lot thinner, smaller, and lighter than the Streak 5. The Note is the only top selling phone close to the Streak 5's size (and it's still lighter), and I feel a big part of that is the inclusion of an inductive stylus. The monster battery was also a big draw.

There's a reason Samsung isn't making the Note 3 series any bigger in external dimensions (in fact it's noticeably narrower than the original Note). The Streak 5 crosses the threshold of acceptability all but a tiny part of the smartphone market.


ESG a savior
By henhill69 on 9/16/2013 11:40:29 AM , Rating: 2
When Dell Inc. goes private, Enterprise Solutions Group (ESG) can turn it around for good @ http://viralbond.blogspot.in/2013/09/dells-savior-...




What Dell needs to do.
By E7H3R on 9/17/2013 12:46:12 PM , Rating: 2
I worked for Dell at a kiosk in a mall before they got in with Best Buy. Our profit margins were huge on most systems, average 20%. Compare that to getting around 5% going wholesale to BB and Wally World. They were the Apple of the PC market and should get back to that. We were able to give people a face to face interaction and help them along customizing their pc. Their downfall was the tech support being based in India. I don't know how many people a day would come in pissed off or about in tears because they couldn't understand the tech support and we were specifically instructed to not give them any advice. If they got back to selling their own computers(retail), moved tech support all back to the US and quit trying to make everything so damn cheap, they could get back on top. I doubt it will happen though as I have yet to experience a large company that is competent and actually cares about their customers.




hi
By froj on 9/14/2013 2:38:08 PM , Rating: 1
my best friend's sister makes $77 every hour on the internet. She has been out of a job for 5 months but last month her pay check was $16919 just working on the internet for a few hours. pop over to this website ......... http://x.co/2Lo7g




hi
By amaryllis on 9/15/13, Rating: 0
"I modded down, down, down, and the flames went higher." -- Sven Olsen














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