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Dell is an American
company A company, abbreviated as co., is a legal entity In law, a legal person is any person A person (plural people or persons) is a being that has certain capacities or attributes such as reason, morality, consciousness or self-consciousness ...
that develops, sells, repairs, and supports computers and related products and services, and is owned by its parent company of Dell Technologies. Founded in 1984 by
Michael Dell Michael Saul Dell (born February 23, 1965) is an American billionaire A billionaire is a person with a net worth of at least 1,000,000,000, one billion (1,000,000,000, i.e. a thousand million) units of a given currency, usually of a major cu ...
, the company is one of the largest technology corporations in the world, employing more than 165,000 people in the United States (US) and around the world. Dell sells
personal computer A personal computer (PC) is a multi-purpose computer A computer is a machine that can be programmed to carry out sequences of arithmetic or logical operations automatically. Modern computers can perform generic sets of operations known a ...
s (PCs), servers,
data storage device On a reel-to-reel tape recorder (Sony TC-630), the recorder is data storage equipment and the magnetic tape is a data storage medium. Data Data (; ) are individual facts, statistics, or items of information, often numeric. In a more te ...
s,
network switch A network switch (also called switching hub, bridging hub, and, by the IEEE The Institute of Electrical and Electronics Engineers (IEEE) is a professional association A professional association (also called a professional body, professio ...

network switch
es,
software Software is a collection of instructions that tell a computer A computer is a machine that can be programmed to carry out sequences of arithmetic or logical operations automatically. Modern computers can perform generic sets of operatio ...

software
, computer
peripheral A peripheral or peripheral device is an auxiliary device used to put information into and get information out of the computer. The term peripheral device refers to all hardware components that are attached to a computer and are controlled by the co ...
s,
HDTV High-definition television (HD or HDTV) describes a television system providing a substantially higher image resolution Image resolution is the detail an image holds. The term applies to digital images, film images, and other types of images. Hig ...

HDTV
s, cameras, printers, and electronics built by other manufacturers. The company is well known for its innovations in
supply chain management File:Supply and demand-stacked4.png , 400px, In an efficient supply chain agreements are aligned In commerce, supply chain management (SCM), the management of the flow of good (economics), goods and Service (economics), services, between busi ...
and
electronic commerce E-commerce (electronic commerce) is the activity of electronically buying or selling of Product (business), products on online services or over the Internet. E-commerce draws on technologies such as mobile commerce, electronic funds transfer, sup ...
, particularly its direct-sales model and its "build-to-order" or "configure to order" approach to manufacturing—delivering individual PCs configured to customer specifications. Dell was a pure hardware vendor for much of its existence, but with the acquisition in 2009 of
Perot Systems Perot Systems was an information technology services provider founded in 1988 by a group of investors led by Ross Perot and based in Plano, Texas, United States. Perot Systems provided information technology services in the industries of health ca ...
, Dell entered the market for IT services. The company has since made additional acquisitions in storage and networking systems, with the aim of expanding their portfolio from offering computers only to delivering complete solutions for enterprise customers. Dell was listed at number 51 in the ''
Fortune 500 The ''Fortune'' 500 is an annual list compiled and published by ''Fortune Fortune may refer to: General * Fortuna or Fortune, the Roman goddess of luck * Luck, a chance happening, or that which happens beyond a person's controls * Wealth, an ab ...
'' list until 2014. Its rank is 34th on the Fortune 500 currently. It is the world's 3rd largest personal computer vendor by unit sales as of January 2021, following
Lenovo Lenovo Group Limited, often shortened to Lenovo ( , Chinese Chinese can refer to: * Something related to China China, officially the People's Republic of China (PRC), is a country in East Asia. It is the List of countries and dependencie ...

Lenovo
and
HP Inc. HP Inc. is an American multinational information Information can be thought of as the resolution of uncertainty; it answers the question of "What an entity is" and thus defines both its essence and the nature of its characteristics. The ...
. Dell is the largest shipper of PC monitors worldwide. Dell is the sixth-largest company in Texas by total revenue, according to ''Fortune'' magazine. It is the second-largest non-oil company in Texas (behind
AT&T AT&T Inc. is an American multinational Multinational may refer to: * Multinational corporation, a corporate organization operating in multiple countries * Multinational force, a military body from multiple countries * Multinational state, a s ...

AT&T
) and the largest company in the
Greater Austin The Austin–Round Rock-Georgetown Metropolitan Statistical Area (or Greater Austin) is a five-county United States metropolitan area, metropolitan area in the U.S. state of Texas, as defined by the Office of Management and Budget. The metrop ...
area. After going private in 2013, the newly confidential nature of its financial information prevents the company from being ranked by ''
Fortune Fortune may refer to: General * Fortuna or Fortune, the Roman goddess of luck * Luck, a chance happening, or that which happens beyond a person's controls * Wealth, an abundance of items of economic value * Fortune, a prediction made in fortune-te ...
''. It was a
publicly traded company A public company, publicly traded company, publicly held company, publicly listed company, or public limited company A public limited company (legally abbreviated to PLC or plc) is a type of public company under United Kingdom company law, som ...
(), as well as a component of the
NASDAQ-100 The Nasdaq-100 (^NDX) is a stock market index In finance, a stock index, or stock market index, is an Index (economics), index that measures a stock market, or a subset of the stock market, that helps investors compare current stock price levels ...

NASDAQ-100
and
S&P 500 The Standard and Poor's 500, or simply the S&P 500, is a stock market index tracking the performance of 500 large companies listed on stock exchanges in the United States. It is one of the most commonly followed equity indices. As of December ...

S&P 500
, until it was taken private in a leveraged buyout which closed on October 30, 2013. In 2015, Dell acquired the enterprise technology firm
EMC Corporation Dell EMC (until 2016, EMC Corporation) is an American multinational corporation A multinational company (MNC) is a corporate organization that owns or controls the production of goods or services in at least one country other than its home cou ...
; following the completion of the purchase, Dell and EMC became divisions of
Dell Technologies Dell Technologies Inc. is an American multinational technology company "Technology", in this context, has come to mean primarily electronics-based technology. This can include, for example, business relating to digital electronics Digital ...
. Dell EMC as a part of Dell Technologies focus on data storage, information security, virtualization, analytics, cloud computing and other related products and services.


History


Founding and startup

Michael Dell Michael Saul Dell (born February 23, 1965) is an American billionaire A billionaire is a person with a net worth of at least 1,000,000,000, one billion (1,000,000,000, i.e. a thousand million) units of a given currency, usually of a major cu ...
founded ,
doing business as A trade name, trading name, or business name is a pseudonym A pseudonym () (originally: ψευδώνυμος in Greek) or alias () is a fictitious name that a person or group assumes for a particular purpose, which differs from their original o ...
''PCs Limited,'' in 1984 while a student at the
University of Texas at Austin The University of Texas at Austin (UT Austin, UT, or Texas) is a public university, public research university in Austin, Texas, founded in 1883. The University of Texas was included in the Association of American Universities in 1929. The in ...
. Operating from Michael Dell's off-campus dormitory room at Dobie Center, the startup aimed to sell IBM PC-compatible computers built from stock components. Michael Dell started trading in the belief that by selling personal computer systems directly to customers, PCs Limited could better understand customers' needs and provide the most effective computing solutions to meet those needs. Michael Dell dropped out of college upon completion of his freshman year at the University of Texas at Austin in order to focus full-time on his fledgling business, after getting about $1,000 in expansion-capital from his family. As of April 2021, Michael Dell's net worth was estimated to be over $50 billion. In 1985, the company produced the first computer of its own design — the "Turbo PC", sold for US$795 — containing an
Intel 8088 The Intel 8088 ("''eighty-eighty-eight''", also called iAPX 88) microprocessor is a variant of the Intel 8086. Introduced on June 1, 1979, the 8088 has an eight-bit external data bus In computer architecture In computer engineering, comput ...
-compatible processor running at a speed of 8 MHz. PCs Limited advertised the systems in national computer magazines for sale directly to consumers, and custom assembled each ordered unit according to a selection of options. This offered buyers prices lower than those of retail brands, but with greater convenience than assembling the components themselves. Although not the first company to use this business model, PCs Limited became one of the first to succeed with it. The company grossed more than $73 million in its first year of trading. The company dropped the ''PC's Limited'' name in 1987 to become Dell Computer Corporation and began expanding globally. At the time, the reasoning was this new company name better reflected its presence in the business market, as well as resolved issues with the use of " Limited" in a company name in certain countries. The company set up its first international operations in
Britain Britain usually refers to: * United Kingdom The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain,Usage is mixed. The Guardian' and Telegraph' use Britain as a synonym for the United ...

Britain
; eleven more followed within the next four years. In June 1988, Dell Computer's market capitalization grew by $30 million to $80 million from its June 22
initial public offering An initial public offering (IPO) or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also retail (individual) investors. An IPO is typically underwritten by one or more investment ...
of 3.5 million shares at $8.50 a share. In 1989, Dell Computer set up its first on-site service programs in order to compensate for the lack of local retailers prepared to act as service centers.


Growth in the 1990s and early 2000s

In 1990, Dell Computer tried selling its products indirectly through warehouse clubs and computer superstores, but met with little success, and the company re-focused on its more successful direct-to-consumer sales model. In 1992, ''
Fortune Fortune may refer to: General * Fortuna or Fortune, the Roman goddess of luck * Luck, a chance happening, or that which happens beyond a person's controls * Wealth, an abundance of items of economic value * Fortune, a prediction made in fortune-te ...
'' included Dell Computer Corporation in its list of the world's
500500 may refer to: * 500 (number) * 500 BC * AD 500 Buildings and places * 500 Boylston Street of Boston * 500 Brickell in Miami * 500 Capitol Mall in Sacramento * 500 Fifth Avenue * 500 Renaissance Center, one of seven buildings in the GM R ...
largest companies, making Michael Dell the youngest CEO of a Fortune 500 company at that time. In 1993, to complement its own direct sales channel, Dell planned to sell PCs at big-box retail outlets such as
Wal-Mart Walmart Inc. (; formerly Wal-Mart Stores, Inc.) is an American multinational retail corporation that operates a chain of hypermarket Asian hypermarket in the Philippines, a branch of SM Hypermarket in SM Mall of Asia">SM_Hypermarket.html ...

Wal-Mart
, which would have brought in an additional $125 million in annual revenue.
Bain Bain may refer to: People * Bain (surname), origin and list of people with the surname * Bain family, Scottish family Fictional characters * Bain (Wheel of Time), Bain (''Wheel of Time''), character from the novels by Robert Jordan * Sunset Bain, ...

Bain
consultant Kevin Rollins persuaded Michael Dell to pull out of these deals, believing they would be money losers in the long run. Margins at retail were thin at best and Dell left the reseller channel in 1994. Rollins would soon join Dell full-time and eventually become the company president and CEO. Originally, Dell did not emphasize the consumer market, due to the higher costs and low profit margins in selling to individuals and households; this changed when the company's Internet site took off in 1996 and 1997. While the industry's average selling price to individuals was going down, Dell's was going up, as second- and third-time computer buyers who wanted powerful computers with multiple features and did not need much technical support were choosing Dell. Dell found an opportunity among PC-savvy individuals who liked the convenience of buying direct, customizing their PC to their means, and having it delivered in days. In early 1997, Dell created an internal sales and marketing group dedicated to serving the home market and introduced a product line designed especially for individual users. From 1997 to 2004, Dell steadily grew and it gained market share from competitors even during industry slumps. During the same period, rival PC vendors such as
Compaq Compaq (a portmanteau A portmanteau (, ) or portmanteau word (from "portmanteau (luggage) A portmanteau is a piece of luggage Baggage or luggage consists of bags, cases, and containers which hold a travel Travel is the movement ...

Compaq
, Gateway,
IBM International Business Machines Corporation (IBM) is an American multinational technology company headquartered in Armonk, New York, with operations in over 170 countries. The company began in 1911, founded in Endicott, New York, as the C ...
,
Packard Bell Packard Bell is a Dutch-based computer manufacturing company and subsidiary of Acer. The brand name originally belonged to an American radio set manufacturer, Packard Bell Corporation, founded by Herbert A. Bell and Leon S. Packard in 1933. In ...
, and
AST Research AST Research, Inc. was a personal computer File:Crystal Project computer.png, upright=0.9, An artist's depiction of a 2000s-era desktop-style personal computer, which includes a metal case with the computing components, a display monitor and ...
struggled and eventually left the market or were bought out.ZDNET Asia
Michael Dell back as CEO
February 1, 2007. Visited: April 10, 2012
Dell surpassed Compaq to become the largest PC manufacturer in 1999. Operating costs made up only 10 percent of Dell's $35 billion in revenue in 2002, compared with 21 percent of revenue at Hewlett-Packard, 25 percent at Gateway, and 46 percent at Cisco. In 2002, when Compaq merged with Hewlett-Packard (the fourth-place PC maker), the newly combined Hewlett-Packard took the top spot for a time but struggled and Dell soon regained its lead. Dell grew the fastest in the early 2000s. In 2002, Dell expanded its product line to include televisions, handhelds, digital audio players, and
printers Printers may be: Technology * Printer (publishing) In publishing, printers are both companies A company, abbreviated as co., is a legal entity In law, a legal person is any person A person (plural people or persons) is a being th ...
. Chairman and CEO Michael Dell had repeatedly blocked President and COO Kevin Rollins's attempt to lessen the company's heavy dependency on PCs, which Rollins wanted to fix by acquiring
EMC Corporation Dell EMC (until 2016, EMC Corporation) is an American multinational corporation A multinational company (MNC) is a corporate organization that owns or controls the production of goods or services in at least one country other than its home cou ...
; a move that would eventually occur over 12 years later. In 2003, at the annual company meeting, the stockholders approved changing the company name to "Dell Inc." to recognize the company's expansion beyond computers. In 2004, the company announced that it would build a new assembly-plant near
Winston-Salem Winston-Salem is a city in and the county seat of Forsyth County, North Carolina, Forsyth County, North Carolina, United States. In 2020, the population was 249,545 making it the second largest municipality in the Piedmont Triad region, the List o ...

Winston-Salem
,
North Carolina North Carolina () is a state State may refer to: Arts, entertainment, and media Literature * ''State Magazine'', a monthly magazine published by the U.S. Department of State * The State (newspaper), ''The State'' (newspaper), a daily news ...

North Carolina
; the city and county provided Dell with $37.2 million in incentive packages; the state provided approximately $250 million in incentives and tax breaks. In July, Michael Dell stepped aside as
chief executive officer A chief executive officer (CEO), chief administrator officer, or just chief executive (CE), is one of a number of Corporate Executive, corporate executives in charge of managing an organization especially an independent Legal person, legal entity ...
while retaining his position as
chairman of the board The chairperson (also chair, chairman, or chairwoman) is the presiding officer of an organized group such as a Board of directors, board, committee, or deliberative assembly. The person holding the office, who is typically elected or appointed b ...
. Kevin Rollins, who had held a number of executive posts at Dell, became the new CEO. Despite no longer holding the CEO title, Dell essentially acted as a de facto co-CEO with Rollins. Under Rollins, Dell purchased the computer hardware manufacturer
Alienware Alienware is an American computer hardware subsidiary of Dell. Their product range is dedicated to gaming computers which can be identified by their alien-themed designs. Alienware was founded in 1996 by Nelson Gonzalez and Alex Aguila. The ...

Alienware
in 2006. Dell Inc.'s plan anticipated Alienware continuing to operate independently under its existing management. Alienware expected to benefit from Dell's efficient manufacturing system.


Disappointments

In 2005, while earnings and sales continued to rise, sales growth slowed considerably, and the company stock lost 25% of its value that year.Bloomberg-Businesswee
Its Dell vs the Dell way
February 2006. Visited: April 10, 2012
By June 2006, the stock traded around US$25 which was 40% down from July 2005—the high-water mark of the company in the post-dotcom era. The slowing sales growth has been attributed to the maturing PC market, which constituted 66% of Dell's sales, and analysts suggested that Dell needed to make inroads into non-PC business segments such as storage, services, and servers. Dell's price advantage was tied to its ultra-lean manufacturing for desktop PCs, but this became less important as savings became harder to find inside the company's supply chain, and as competitors such as Hewlett-Packard and Acer made their PC manufacturing operations more efficient to match Dell, weakening Dell's traditional price differentiation. Throughout the entire PC industry, declines in prices along with commensurate increases in performance meant that Dell had fewer opportunities to upsell to their customers (a lucrative strategy of encouraging buyers to upgrade the processor or memory). As a result, the company was selling a greater proportion of inexpensive PCs than before, which eroded profit margins. The laptop segment had become the fastest-growing of the PC market, but Dell produced low-cost notebooks in China like other PC manufacturers which eliminated Dell's manufacturing cost advantages, plus Dell's reliance on Internet sales meant that it missed out on growing notebook sales in big box store

ref name="nytimes2006"/> ''CNET'' has suggested that Dell was getting trapped in the increasing commoditization of high volume low margin computers, which prevented it from offering more exciting devices that consumers demanded. Despite plans of expanding into other global regions and product segments, Dell was heavily dependent on US corporate PC market, as desktop PCs sold to both commercial and corporate customers accounted for 32 percent of its revenue, 85 percent of its revenue comes from businesses, and sixty-four percent of its revenue comes from North and South America, according to its 2006 third-quarter results. US shipments of desktop PCs were shrinking, and the corporate PC market, which purchases PCs in upgrade cycles, had largely decided to take a break from buying new systems. The last cycle started around 2002, three or so years after companies started buying PCs ahead of the perceived Year 2000 problem, Y2K problems, and corporate clients were not expected to upgrade again until extensive testing of Microsoft's
Windows Vista Windows Vista is a major release of the Windows NT Windows NT is a Proprietary software, proprietary Graphical user interface, graphical operating system produced by Microsoft, the first version of which was released on July 27, 1993. It i ...
(expected in early 2007), putting the next upgrade cycle around 2008. Heavily dependent on PCs, Dell had to slash prices to boost sales volumes, while demanding deep cuts from suppliers. Dell had long stuck by its direct sales model. Consumers had become the main drivers of PC sales in recent years, yet there had a decline in consumers purchasing PCs through the Web or on the phone, as increasing numbers were visiting consumer electronics retail stores to try out the devices first. Dell's rivals in the PC industry, HP, Gateway and Acer, had a long retail presence and so were well poised to take advantage of the consumer shift. The lack of a retail presence stymied Dell's attempts to offer consumer electronics such as flat-panel TVs and MP3 players. Dell responded by experimenting with mall kiosks, plus quasi-retail stores in Texas and New York. Dell had a reputation as a company that relied upon supply chain efficiencies to sell established technologies at low prices, instead of being an innovator. By the mid-2000s many analysts were looking to innovating companies as the next source of growth in the technology sector. Dell's low spending on R&D relative to its revenue (compared to
IBM International Business Machines Corporation (IBM) is an American multinational technology company headquartered in Armonk, New York, with operations in over 170 countries. The company began in 1911, founded in Endicott, New York, as the C ...

IBM
,
Hewlett Packard The Hewlett-Packard Company, commonly shortened to Hewlett-Packard ( ) or HP, was an American multinational information technology company headquartered in Palo Alto, California. HP developed and provided a wide variety of hardware compone ...
, and
Apple Inc. Apple Inc. is an American multinational Multinational may refer to: * Multinational corporation, a corporate organization operating in multiple countries * Multinational force, a military body from multiple countries * Multinational state, a ...
)—which worked well in the commoditized PC market—prevented it from making inroads into more lucrative segments, such as MP3 players and later mobile devices. Increasing spending on R&D would have cut into the operating margins that the company emphasized. Dell had done well with a horizontal organization that focused on PCs when the computing industry moved to horizontal mix-and-match layers in the 1980s, but by the mid-2000 the industry shifted to vertically integrated stacks to deliver an end-to-end IT product, and Dell lagged far behind competitors like Hewlett Packard and Oracle. Dell's reputation for poor customer service, since 2002, which was exacerbated as it moved call centers offshore and as its growth outstripped its technical support infrastructure, came under increasing scrutiny on the Web. The original Dell model was known for high customer satisfaction when PCs sold for thousands but by the 2000s, the company could not justify that level of service when computers in the same lineup sold for hundreds. Rollins responded by shifting Dick Hunter from the head of manufacturing to head of customer service. Hunter, who noted that Dell's DNA of cost-cutting "got in the way," aimed to reduce call transfer times and have call center representatives resolve inquiries in one call. By 2006, Dell had spent $100 million in just a few months to improve on this and rolled out ''DellConnect'' to answer customer inquiries more quickly. In July 2006, the company started its Direct2Dell blog, and then in February 2007, Michael Dell launched IdeaStorm.com, asking customers for advice including selling Linux computers and reducing the promotional "bloatware" on PCs. These initiatives did manage to cut the negative blog posts from 49% to 22%, as well as reduce the "Dell Hell" prominent on Internet search engines. There was also criticism that Dell used faulty components for its PCs, particularly the 11.8 million OptiPlex desktop computers sold to businesses and governments from May 2003 to July 2005, that suffered from faulty capacitors. A battery recall in August 2006, as a result of a Dell laptop catching fire caused much negative attention for the company though later,
Sony , commonly known as Sony and stylized as SONY, is a Japanese multinational Multinational may refer to: * Multinational corporation, a corporate organization operating in multiple countries * Multinational force, a military body from mult ...

Sony
was found responsible for the manufacturing of the batteries, however spokesman for Sony Yoshikazu Ochiai said the problem concerned the combination of the battery with a charger, which is specific to Dell in this case. 2006 marked the first year that Dell's growth was slower than the PC industry as a whole. By the fourth quarter of 2006, Dell lost its title of the largest PC manufacturer to rival Hewlett Packard whose Personal Systems Group was invigorated thanks to a restructuring initiated by their CEO
Mark Hurd Mark Vincent Hurd (January 1, 1957 – October 18, 2019) was an American technology executive who served as Co-CEO and as a member of the board of directors A board of directors is a group of people who jointly supervise the activities of an ...

Mark Hurd
.


SEC investigation

In August 2005, Dell became the subject of an informal investigation by the US . In 2006, the company disclosed that the US Attorney for the Southern District of New York had subpoenaed documents related to the company's financial reporting dating back to 2002. The company delayed filing financial reports for the third and fourth fiscal quarter of 2006, and several class-action lawsuits were filed. Dell Inc's failure to file its quarterly earnings report could have subjected the company to de-listing from the
NASDAQ The Nasdaq Stock Market () is an American stock exchange A stock exchange, securities exchange, or bourse is an Exchange (organized market), exchange where stockbrokers and stock trader, traders can buy and sell security (finance), secur ...
, but the exchange granted Dell a waiver, allowing the stock to trade normally. In August 2007, the Company announced that it would restate its earnings for fiscal years 2003 through 2006 and the first quarter of 2007 after an internal audit found that certain employees had changed corporate account balances to meet quarterly financial targets. In July 2010, the SEC announced charges against several senior Dell executives, including Dell Chairman and CEO Michael Dell, former CEO Kevin Rollins, and former CFO James Schneider, "with failing to disclose material information to investors and using fraudulent accounting to make it falsely appear that the company was consistently meeting Wall Street earnings targets and reducing its operating expenses." Dell, inc. was fined $100 million, with Michael Dell personally fined $4 million.


Michael Dell resumes CEO role

After four out of five quarterly earnings reports were below expectations, Rollins resigned as president and CEO on January 31, 2007, and founder Michael Dell assumed the role of CEO again. On March 1, 2007, the company issued a preliminary quarterly earnings report showing gross sales of $14.4 billion, down 5% year-over-year, and net income of $687 million (30 cents per share), down 33%. Net earnings would have declined even more if not for the effects of eliminated employee bonuses, which accounted for six cents per share. NASDAQ extended the company's deadline for filing financials to May 4.


Dell 2.0 and downsizing

Dell announced a change campaign called "Dell 2.0," reducing the number of employees and diversifying the company's products. While chairman of the board after relinquishing his CEO position, Michael Dell still had significant input in the company during Rollins' years as CEO. With the return of Michael Dell as CEO, the company saw changes in operations, the exodus of many senior vice-presidents and new personnel brought in from outside the company. Michael Dell announced a number of initiatives and plans (part of the "Dell 2.0" initiative) to improve the company's financial performance. These include elimination of 2006 bonuses for employees with some discretionary awards, reduction in the number of managers reporting directly to Michael Dell from 20 to 12, and reduction of "
bureaucracy The term bureaucracy () may refer both to a body of non-elected governing officials (bureaucrats A bureaucrat is a member of a bureaucracy and can compose the administration of any organization of any size, although the term usually connotes ...

bureaucracy
". Jim Schneider retired as CFO and was replaced by , as the company came under an SEC probe for its accounting practices. On April 23, 2008, Dell announced the closure of one of its biggest Canadian call-centers in
Kanata, Ontario Kanata (, ) is a major suburb A suburb (or suburban area or suburbia) is a , or . It can exist either as part of a city/urban area and can often have a large degree of employment. In some metropolitan areas they exist as separate re ...
, terminating approximately 1100 employees, with 500 of those redundancies effective on the spot, and with the official closure of the center scheduled for the summer. The call-center had opened in 2006 after the city of
Ottawa Ottawa (, ; Canadian Canadians (french: Canadiens) are people identified with the country of Canada. This connection may be residential, legal, historical or cultural. For most Canadians, many (or all) of these connections exist and are ...

Ottawa
won a bid to host it. Less than a year later, Dell planned to double its workforce to nearly 3,000 workers add a new building. These plans were reversed, due to a high
Canadian dollar The Canadian dollar (symbol A symbol is a mark, sign, or that indicates, signifies, or is understood as representing an , , or . Symbols allow people to go beyond what is n or seen by creating linkages between otherwise very different ...
that made the Ottawa staff relatively expensive, and also as part of Dell's turnaround, which involved moving these call-center jobs offshore to cut costs. The company had also announced the shutdown of its
Edmonton Edmonton ( ) is the capital city of the Provinces and territories of Canada, Canadian province of Alberta. Edmonton is on the North Saskatchewan River and is the centre of the Edmonton Metropolitan Region, which is surrounded by Central Albert ...

Edmonton
,
Alberta ("Strong and free") , image_map = Alberta in Canada 2.svg , Label_map = yes , coordinates = , official_lang = English , capital = Edmonton , largest_city = Calg ...

Alberta
, office, losing 900 jobs. In total, Dell announced the ending of about 8,800 jobs in 2007–2008 — 10% of its workforce. By the late 2000s, Dell's "configure to order" approach of manufacturing—delivering individual PCs configured to customer specifications from its US facilities was no longer as efficient or competitive with high-volume Asian contract manufacturers as PCs became powerful low-cost commodities. Dell closed plants that produced desktop computers for the North American market, including the Mort Topfer Manufacturing Center in
Austin, Texas Austin (, ) is the capital city of the U.S. state of Texas, as well as the county seat, seat and largest city of Travis County, Texas, Travis County, with portions extending into Hays County, Texas, Hays and Williamson County, Texas, Willia ...

Austin, Texas
(original location) and
Lebanon, Tennessee Lebanon is the county seat of Wilson County, Tennessee, Wilson County, Tennessee, United States. The population was 38,431 at the 2020 United States census, 2020 census. Lebanon is located in Middle Tennessee, approximately east of downtown Nas ...

Lebanon, Tennessee
(opened in 1999) in 2008 and early 2009, respectively. The desktop production plant in
Winston-Salem, North Carolina Winston-Salem is a city in and the county seat of Forsyth County, North Carolina, Forsyth County, North Carolina, United States. With a 2019 estimated population of 247,945 it is the second largest municipality in the Piedmont Triad region, the Lis ...

Winston-Salem, North Carolina
, received
US$ The United States dollar (symbol A symbol is a mark, sign, or word In linguistics, a word of a spoken language can be defined as the smallest sequence of phonemes that can be uttered in isolation with semantic, objective or pragmatics, ...
280 million in incentives from the state and opened in 2005, but ceased operations in November 2010. Dell's contract with the state required them to repay the incentives for failing to meet the conditions, and they sold the North Carolina plant to Herbalife.The Register
Dell cuts North-Carolina plant despite $280m sweetener
October 8, 2009. Visited: April 10, 2012
Much work was transferred to manufacturers in Asia and Mexico, or some of Dell's own factories overseas. On January 8, 2009, Dell announced the closure of its manufacturing plant in Limerick, Ireland, with the loss of 1,900 jobs and the transfer of production to its plant in Łodź in Poland.


Attempts at diversification

The release of Apple's
iPad iPad is a line of tablet computers designed, developed and marketed by Apple Inc., which run the iOS and iPadOS mobile operating systems. The iPad (1st generation), first iPad was released on April 3, 2010; the most recent iPad models ar ...

iPad
tablet computer A tablet computer, commonly shortened to tablet, is a mobile device A mobile device (or handheld computer) is a computer A computer is a machine that can be programmed to carry out sequences of arithmetic or logical operations auto ...
had a negative impact on Dell and other major PC vendors, as consumers switched away from desktop and laptop PCs. Dell's own mobility division has not managed success with developing smartphones or tablets, whether running Windows or
Google Android Android is a mobile operating system A mobile operating system is an operating system An operating system (OS) is system software that manages computer hardware, computer software, software resources, and provides common daemon (computing), ...

Google Android
. The
Dell Streak Dell Streak 5 (previously known as the Dell Mini 5) is a smartphone/tablet computer, tablet hybrid ("phablet") from Dell that uses the Android (operating system), Android operating system. It comes with a capacitive touchscreen and two cameras, a ...
was a failure commercially and critically due to its outdated OS, numerous bugs, and low resolution screen. ''InfoWorld'' suggested that Dell and other OEMs saw tablets as a short-term, low-investment opportunity running
Google Android Android is a mobile operating system A mobile operating system is an operating system An operating system (OS) is system software that manages computer hardware, computer software, software resources, and provides common daemon (computing), ...

Google Android
, an approach that neglected user interface and failed to gain long term market traction with consumers. Dell has responded by pushing higher-end PCs, such as the XPS line of notebooks, which do not compete with the
Apple iPad iPad is a line of tablet computer A tablet computer, commonly shortened to tablet, is a mobile device, typically with a mobile operating system and touchscreen display processing circuitry, and a rechargeable battery in a single, thin ...

Apple iPad
and
Kindle Fire#REDIRECT Amazon Fire tablet The Amazon Fire, formerly called the Kindle Fire, is a line of tablet computer A tablet computer, commonly shortened to tablet, is a mobile device, typically with a mobile operating system and touchscreen displ ...
tablets. The growing popularity of smartphones and tablet computers instead of PCs drove Dell's consumer segment to an operating loss in Q3 2012. In December 2012, Dell suffered its first decline in holiday sales in five years, despite the introduction of
Windows 8 Windows 8 is a major release of the Windows NT operating system developed by Microsoft. The product was Software release life cycle#Release to manufacturing (RTM), released to manufacturing on August 1, 2012, and Software release life cycle#Gen ...

Windows 8
. In the shrinking PC industry, Dell continued to lose market share, as it dropped below
Lenovo Lenovo Group Limited, often shortened to Lenovo ( , Chinese Chinese can refer to: * Something related to China China, officially the People's Republic of China (PRC), is a country in East Asia. It is the List of countries and dependencie ...

Lenovo
in 2011 to fall to number three in the world. Dell and fellow American contemporary Hewlett Packard came under pressure from Asian PC manufacturers Lenovo, Asus, and Acer, all of which had lower production costs and were willing to accept lower profit margins. In addition, while the Asian PC vendors had been improving their quality and design—for instance, Lenovo's
ThinkPad#REDIRECT ThinkPad ThinkPad is a line of business-oriented laptop computers and tablets designed, developed and marketed by Lenovo Lenovo Group Limited, often shortened to Lenovo ( ), is a Chinese multinational corporation, multinational t ...

ThinkPad
series was winning corporate customers away from Dell's laptops—Dell's customer service and reputation had been slipping. Dell remained the second-most profitable PC vendor, as it took 13 percent of operating profits in the PC industry during Q4 2012, behind Apple's Mac that took 45 percent, seven percent at Hewlett Packard, six percent at Lenovo and Asus, and one percent for Acer. Dell attempted to offset its declining PC business, which still accounted for half of its revenue and generates steady cash flow, by expanding into the enterprise market with servers, networking, software, and services. It avoided many of the acquisition write-downs and management turnover that plagued its chief rival Hewlett Packard. Dell also managed some success in taking advantage of its
high-touchHigh-touch refers to the involvement of personal attention and service. In business, the term often refers to situations where trust between the customer and employed individual(s) is necessary. High-touch areas include: medicine Medicine is the A ...
direct sales heritage to establish close relationships and design solutions for clients. Despite spending $13 billion on acquisitions to diversify its portfolio beyond hardware, the company was unable to convince the market that it could thrive or made the transformation in the post-PC world, as it suffered continued declines in revenue and share price. Dell's market share in the corporate segment was previously a "moat" against rivals but this has no longer been the case as sales and profits have fallen precipitously.


2013 buyout

After several weeks of rumors, which started around January 11, 2013, Dell announced on February 5, 2013, that it had struck a $24.4 billion
leveraged buyout A leveraged buyout (LBO) is one company's acquisition of another company using a significant amount of borrowed money (Leverage (finance), leverage) to meet the cost of acquisition. The assets of the company being acquired are often used as coll ...
deal, that would have delisted its shares from the NASDAQ and Hong Kong Stock Exchange and taken it private.
Reuters Reuters (, ) is an international news organisation owned by Thomson Reuters. It employs around 2,500 journalists and 600 photojournalists in about 200 locations worldwide. Reuters is one of the largest news agencies in the world. The agency w ...
reported that Michael Dell and
Silver Lake Partners Silver Lake is a global private equity firm focused on investments in technology, technology-enabled and related industries. Founded in 1999, the firm is one of the largest technology investors in the world. Its investment holdings have included A ...
, aided by a $2 billion loan from
Microsoft Microsoft Corporation is an American multinational corporation, multinational technology company, technology corporation which produces Software, computer software, consumer electronics, personal computers, and related services. Its best-know ...

Microsoft
, would acquire the public shares at $13.65 apiece. The $24.4 billion buyout was projected to be the largest leveraged buyout backed by private equity since the 2007 financial crisis. It is also the largest technology buyout ever, surpassing the 2006 buyout of
Freescale Semiconductor Freescale Semiconductor, Inc. was an American semiconductor A semiconductor material has an value falling between that of a , such as metallic copper, and an , such as glass. Its falls as its temperature rises; metals behave in the oppos ...
for $17.5 billion. The founder of Dell, Michael Dell, said of the February offer "I believe this transaction will open an exciting new chapter for Dell, our customers and team members". Dell rival Lenovo responded to the buyout, saying, "the financial actions of some of our traditional competitors will not substantially change our outlook." In March 2013, the
Blackstone Group Blackstone Inc. is an American alternative investment An alternative investment is an investment To invest is to allocate money Image:National-Debt-Gillray.jpeg, In a 1786 James Gillray caricature, the plentiful money bags handed to Ki ...
and
Carl Icahn Carl Celian Icahn (; born February 16, 1936) is an American businessman. He is the founder and controlling shareholder of Icahn Enterprises, a diversified conglomerate holding company based in New York City, formerly known as American Real Esta ...
expressed interest in purchasing Dell. In April 2013, Blackstone withdrew their offer, citing deteriorating business. Other private equity firms such as KKR & Co. and TPG Capital declined to submit alternative bids for Dell, citing the uncertain market for personal computers and competitive pressures, so the "wide-open bidding war" never materialized. Analysts said that the biggest challenge facing Silver Lake would be to find an "exit strategy" to profit from its investment, which would be when the company would hold an IPO to go public again, and one warned "But even if you can get a $25bn enterprise value for Dell, it will take years to get out." In May 2013, Dell joined his board in voting for his offer. The following August he reached a deal with the special committee on the board for $13.88 (a raised price of $13.75 plus a special dividend of 13 cents per share), as well as a change to the voting rules. The $13.88 cash offer (plus a $.08 per share dividend for the third fiscal quarter) was accepted on September 12 and closed on October 30, 2013, ending Dell's 25-year run as a publicly-traded company. After the buyout, the newly private Dell offered a Voluntary Separation Program that they expected to reduce their workforce by up to seven percent. The reception to the program so exceeded the expectations that Dell may be forced to hire new staff to make up for the losses.


Recent history

On November 19, 2015, Dell, alongside
ARM Holdings Arm Ltd. (stylized as arm) is a Great Britain, British semiconductor and Computer software, software design company based in Cambridge, England. Its primary business is in the design of ARM architecture, ARM Central processing unit, processors ...
,
Cisco Systems Cisco Systems, Inc. (Cisco) is an American multinational Multinational may refer to: * Multinational corporation, a corporate organization operating in multiple countries * Multinational force, a military body from multiple countries * Multina ...
,
Intel Intel Corporation is an American multinational corporation A multinational company (MNC) is a corporate A corporation is an organization—usually a group of people or a company A company, abbreviated as co., is a Legal personalit ...

Intel
,
Microsoft Microsoft Corporation is an American multinational corporation, multinational technology company, technology corporation which produces Software, computer software, consumer electronics, personal computers, and related services. Its best-know ...

Microsoft
, and
Princeton University Princeton University is a private Private or privates may refer to: Music * "In Private "In Private" was the third single in a row to be a charting success for United Kingdom, British singer Dusty Springfield, after an absence of nearly tw ...

Princeton University
, founded the
OpenFog Consortium The OpenFog Consortium (sometimes stylized as Open Fog Consortium) is a consortium A consortium (plural: consortia) is an Voluntary association, association of two or more individuals, companies, organizations or governments (or any combination o ...

OpenFog Consortium
, to promote interests and development in
fog computing Fog computing or fog networking, also known as fogging, is an architecture that uses edge devices to carry out a substantial amount of computation, storage, and communication locally and routed over the Internet backbone. Concept Fog computing, ...
.


Acquisition of EMC

On October 12, 2015, Dell Inc. announced its intent to acquire
EMC Corporation Dell EMC (until 2016, EMC Corporation) is an American multinational corporation A multinational company (MNC) is a corporate organization that owns or controls the production of goods or services in at least one country other than its home cou ...
in a cash-and-stock deal valued at $67 billion, which has been considered the largest-ever acquisition in the technology sector. As part of the acquisition, Dell would take over EMC's 81% stake in the cloud-computing and virtualization company
VMWare VMware, Inc. is an American cloud computing Cloud computing is the on-demand availability of computer A computer is a machine that can be programmed to carry out sequences of arithmetic or logical operations automatically. Mode ...
. This would combine Dell's enterprise server, personal computer, and mobile businesses with EMC's enterprise storage business in a significant Vertical merger of IT giants. Dell would pay $24.05 per share of EMC, and $9.05 per share of
tracking stock Tracking stock, also known as letter stock and targeted stock, is a specialized equity offering issued by a company that is based on the operations of a wholly owned subsidiary A subsidiary, subsidiary company or daughter company is a company (law ...
in
VMware VMware, Inc. is an American cloud computing Cloud computing is the on-demand availability of computer A computer is a machine that can be programmed to carry out sequences of arithmetic or logical operations automatically. Mode ...
. The announcement came two years after Dell Inc. returned to private ownership, claiming that it faced bleak prospects and would need several years out of the public eye to rebuild its business. It's thought that the company's value has roughly doubled since then. EMC was being pressured by Elliott Management, a hedge fund holding 2.2% of EMC's stock, to reorganize their unusual "Federation" structure, in which EMC's divisions were effectively being run as independent companies. Elliott argued this structure deeply undervalued EMC's core "EMC II" data storage business, and that increasing competition between EMC II and VMware products was confusing the market and hindering both companies. ''
The Wall Street Journal ''The Wall Street Journal'', also known as ''The Journal'', is an American business-focused, English-language international daily newspaper A newspaper is a periodical Periodical literature (also called a periodical publication or sim ...

The Wall Street Journal
'' estimated that in 2014 Dell had revenue of $27.3billion from personal computers and $8.9bn from servers, while EMC had $16.5bn from EMC II, $1bn from
RSA Security RSA Security LLC, formerly RSA Security, Inc. and doing business as A trade name, trading name, or business name is a pseudonym A pseudonym () (originally: ψευδώνυμος in Greek) or alias () is a fictitious name that a person or gr ...
, $6bn from
VMware VMware, Inc. is an American cloud computing Cloud computing is the on-demand availability of computer A computer is a machine that can be programmed to carry out sequences of arithmetic or logical operations automatically. Mode ...
, and $230million from
Pivotal Software Pivotal Software, Inc. was an American multinational Multinational may refer to: * Multinational corporation, a corporate organization operating in multiple countries * Multinational force, a military body from multiple countries * Multinational ...
. EMC owns around 80 percent of the stock of VMware. The proposed acquisition will maintain VMware as a separate company, held via a new
tracking stock Tracking stock, also known as letter stock and targeted stock, is a specialized equity offering issued by a company that is based on the operations of a wholly owned subsidiary A subsidiary, subsidiary company or daughter company is a company (law ...
, while the other parts of EMC will be rolled into Dell. Once the acquisition closes Dell will again publish quarterly financial results, having ceased these on going private in 2013. The combined business was expected to address the markets for scale-out architecture, converged infrastructure and Cloud computing#Private cloud, private cloud computing, playing to the strengths of both EMC and Dell. Commentators have questioned the deal, with FBR Capital Markets saying that though it makes a "ton of sense" for Dell, it's a "nightmare scenario that would lack strategic synergies" for EMC. ''Fortune'' said there was a lot for Dell to like in EMC's portfolio, but "does it all add up enough to justify tens of billions of dollars for the entire package? Probably not." ''The Register'' reported the view of William Blair & Company that the merger would "blow up the current IT chess board", forcing other IT infrastructure vendors to restructure to achieve scale and vertical integration. The value of VMware stock fell 10% after the announcement, valuing the deal at around $63–64bn rather than the $67bn originally reported. Key investors backing the deal besides Dell were Singapore's Temasek Holdings and
Silver Lake Partners Silver Lake is a global private equity firm focused on investments in technology, technology-enabled and related industries. Founded in 1999, the firm is one of the largest technology investors in the world. Its investment holdings have included A ...
. On September 7, 2016, Dell Inc. completed the merger with EMC Corp., which involved the issuance of $45.9 billion in debt and $4.4 billion common stock. At the time, some analysts claimed that Dell's acquisition of the former Iomega could harm the LenovoEMC partnership. In July 2018, Dell announced intentions to become a publicly traded company again by paying $21.7 billion in both cash and stock to buy back shares from its stake in VMware, offering shareholders roughly 60 cents on the dollar as part of the deal. In November,
Carl Icahn Carl Celian Icahn (; born February 16, 1936) is an American businessman. He is the founder and controlling shareholder of Icahn Enterprises, a diversified conglomerate holding company based in New York City, formerly known as American Real Esta ...
(9.3% owner of Dell) sued the company over plans to go public. As a result of pressure from Icahn and other Activist shareholder, activist investors, Dell renegotiated the deal, ultimately offering shareholders about 80% of market value. As part of this deal, Dell once again became a public company, with the original Dell computer business and Dell EMC operating under the newly created parent,
Dell Technologies Dell Technologies Inc. is an American multinational technology company "Technology", in this context, has come to mean primarily electronics-based technology. This can include, for example, business relating to digital electronics Digital ...
. Post-acquisition, Dell was re-organized with a new parent company,
Dell Technologies Dell Technologies Inc. is an American multinational technology company "Technology", in this context, has come to mean primarily electronics-based technology. This can include, for example, business relating to digital electronics Digital ...
; Dell's consumer and workstation businesses are internally referred to as the Dell Client Solutions Group, and is one of the company's three main business divisions alongside Dell EMC and
VMware VMware, Inc. is an American cloud computing Cloud computing is the on-demand availability of computer A computer is a machine that can be programmed to carry out sequences of arithmetic or logical operations automatically. Mode ...
. In January 2021, Dell reported $94 billion in sales and $13 billion operating cash flow during 2020.


Dell and AMD

When Dell acquired
Alienware Alienware is an American computer hardware subsidiary of Dell. Their product range is dedicated to gaming computers which can be identified by their alien-themed designs. Alienware was founded in 1996 by Nelson Gonzalez and Alex Aguila. The ...

Alienware
early in 2006, some Alienware systems had AMD chips. On August 17, 2006, a Dell press release stated that starting in September, Dell Dimension desktop computers would have AMD processors and that later in the year Dell would release a two-socket, quad-processor server using AMD Opteron chips, moving away from Dell's tradition of only offering
Intel Intel Corporation is an American multinational corporation A multinational company (MNC) is a corporate A corporation is an organization—usually a group of people or a company A company, abbreviated as co., is a Legal personalit ...

Intel
processors in Dell PCs. CNet's News.com on August 17, 2006, cited Dell's CEO Kevin Rollins as attributing the move to AMD processors to lower costs and to AMD technology. AMD's senior VP in commercial business, Marty Seyer, stated: "Dell's wider embrace of AMD processor-based offerings is a win for Dell, for the industry and most importantly for Dell customers." On October 23, 2006, Dell announced new AMD-based servers — the PowerEdge 6950 and the PowerEdge SC1435. On November 1, 2006, Dell's website began offering notebooks based on AMD processors (the Inspiron 1501 with a display) with the choice of a single-core MK-36 processor, dual-core Turion X2 chips or Mobile Sempron. In 2017, Dell released the AlienWare 17. The model was primarily based on NVIDIA GeForce GTX 1080 systems, making it perfect for gaming and graphic designing.


Dell and desktop Linux

In 1998, Ralph Nader asked Dell (and five other major Original equipment manufacturer, OEMs) to offer alternate operating systems to Microsoft Windows, specifically including Linux, for which "there is clearly a growing interest" Possibly coincidentally, Dell started offering Linux notebook systems that "cost no more than their Windows 98 counterparts" in 2000, and soon expanded, with Dell becoming "the first major manufacturer to offer Linux across its full product line".However, by early 2001 Dell had "disbanded its Linux business unit." On February 26, 2007, Dell announced that it had commenced a program to sell and distribute a range of computers with pre-installed Linux distributions as an alternative to Microsoft Windows. Dell indicated that Novell's SUSE Linux, SUSE Linux would appear first. However, the next day, Dell announced that its previous announcement related to certifying the hardware as ready to work with Novell SUSE Linux and that it (Dell) had no plans to sell systems pre-installed with Linux in the near future. On March 28, 2007, Dell announced that it would begin shipping some desktops and laptops with Linux pre-installed, although it did not specify which distribution of Linux or which hardware would lead. On April 18, a report appeared suggesting that Michael Dell used Ubuntu (operating system), Ubuntu on one of his home systems. On May 1, 2007, Dell announced it would ship the Ubuntu Linux distribution. On May 24, 2007, Dell started selling models with Ubuntu Linux 7.04 pre-installed: a laptop, a budget computer, and a high-end PC. On June 27, 2007, Dell announced on its Direct2Dell blog that it planned to offer more pre-loaded systems (the new Dell Inspiron desktops and laptops). After the Dell IdeaStorm, IdeaStorm site supported extending the bundles beyond the US market, Dell later announced more international marketing. On August 7, 2007, Dell officially announced that it would offer one notebook and one desktop in the UK, France and Germany with Ubuntu "pre-installed". At LinuxWorld Conference and Expo, LinuxWorld 2007 Dell announced plans to provide Novell's SUSE Linux Enterprise Desktop on selected models in China, "factory-installed". On November 30, 2007, Dell reported shipping 40,000 Ubuntu PCs. On January 24, 2008, Dell in Germany, Spain, France, and the United Kingdom launched a second laptop, an XPS M1330 with Ubuntu (operating system), Ubuntu 7.10, for 849 euro or GBP 599 upwards. On February 18, 2008, Dell announced that the Dell Inspiron 1525, Inspiron 1525 would have Ubuntu as an optional operating system. On February 22, 2008, Dell announced plans to sell Ubuntu in Canada and in Latin America From September 16, 2008, Dell has shipped both Dell Ubuntu Netbook Remix and Windows XP Home versions of the Dell Inspiron Mini 9, Inspiron Mini 9 and the Dell Inspiron Mini 12, Inspiron Mini 12. Dell shipped the Inspiron Mini laptops with Ubuntu version 8.04. As of 2021, Dell continues to offer select laptops and workstations with Ubuntu Linux pre-installed, under the "Developer Edition" moniker.


List of Dell marketing slogans

* Be direct (1998-2001) * Easy as Dell (2001-2004) * Get more out of now (2004–2005) * It's a Dell (2005-2006) * Dell. Purely You (2006–2007) * Yours is Here (2007–2011) * The power to do more (2011–present)


Senior leadership


List of chairmen

#
Michael Dell Michael Saul Dell (born February 23, 1965) is an American billionaire A billionaire is a person with a net worth of at least 1,000,000,000, one billion (1,000,000,000, i.e. a thousand million) units of a given currency, usually of a major cu ...
(1984– )


List of chief executives

# Michael Dell (1984–2004) # Kevin Rollins (2004–2007) # Michael Dell (2007–present); second term


Acquisitions


Dell facilities

Dell's headquarters is located in Round Rock, Texas. the company employed about 14,000 people in central Texas and was the region's largest private employer,Austin American-Statesman
The Dell deal: what would be different if...
January 19, 2013. Visited: January 23, 2013
which has of space.Staff.

" ''New Mexico Business Weekly''. Wednesday April 2, 2008. Retrieved May 4, 2010.
As of 1999 almost half of the general fund of the city of Round Rock originated from sales taxes generated from the Dell headquarters. Dell previously had its headquarters in the Arboretum complex in northern Austin, Texas.Pope, Kyle.
Dell chief disbands project
" ''Austin American-Statesman''. February 25, 1990. A1. Retrieved May 4, 2010. "Dell is headquartered at the Arboretum complex in North Austin and employs about 1200 people."
In 1989 Dell occupied in the Arboretum complex. In 1990, Dell had 1,200 employees in its headquarters. In 1993, Dell submitted a document to Round Rock officials, titled "Dell Computer Corporate Headquarters, Round Rock, Texas, May 1993 Schematic Design." Despite the filing, during that year the company said that it was not going to move its headquarters. In 1994, Dell announced that it was moving most of its employees out of the Arboretum, but that it was going to continue to occupy the top floor of the Arboretum and that the company's official headquarters address would continue to be the Arboretum. The top floor continued to hold Dell's board room, demonstration center, and visitor meeting room. Less than one month prior to August 29, 1994, Dell moved 1,100 customer support and telephone sales employees to Round Rock. Dell's lease in the Arboretum had been scheduled to expire in 1994. By 1996, Dell was moving its headquarters to Round Rock.Ladendorf, Kirk.
Dell expanding in Central Texas
" ''Austin American-Statesman''. October 1, 1996. A1. Retrieved May 4, 2010.
As of January 1996, 3,500 people still worked at the current Dell headquarters. One building of the Round Rock headquarters, Round Rock 3, had space for 6,400 employees and was scheduled to be completed in November 1996. In 1998 Dell announced that it was going to add two buildings to its Round Rock complex, adding of office space to the complex. In 2000, Dell announced that it would lease of space in the Las Cimas office complex in unincorporated area, unincorporated Travis County, Texas, between Austin and West Lake Hills, to house the company's executive offices and corporate headquarters. 100 senior executives were scheduled to work in the building by the end of 2000. In January 2001, the company leased the space in Las Cimas 2, located along Loop 360. Las Cimas 2 housed Dell's executives, the investment operations, and some corporate functions. Dell also had an option for of space in Las Cimas 3.Dell seeks to sublease Las Cimas offices
" ''Austin Business Journal''. Friday March 8, 2002. Retrieved May 4, 2010.
After a slowdown in business required reducing employees and production capacity, Dell decided to sublease its offices in two buildings in the Las Cimas office complex. In 2002 Dell announced that it planned to sublease its space to another tenant; the company planned to move its headquarters back to Round Rock once a tenant was secured. By 2003, Dell moved its headquarters back to Round Rock. It leased all of Las Cimas I and II, with a total of , for about a seven-year period after 2003. By that year roughly of that space was absorbed by new subtenants. In 2008, Dell switched the power sources of the Round Rock headquarters to more environmentally friendly ones, with 60% of the total power coming from TXU Energy wind farms and 40% coming from the Austin Community Landfill gas-to-energy plant operated by Waste Management, Inc. Dell facilities in the United States are located in Austin, Texas; Nashua, New Hampshire; Nashville, Tennessee; Oklahoma City, Oklahoma; Peoria, Illinois; Hillsboro, Oregon (Portland area);
Winston-Salem, North Carolina Winston-Salem is a city in and the county seat of Forsyth County, North Carolina, Forsyth County, North Carolina, United States. With a 2019 estimated population of 247,945 it is the second largest municipality in the Piedmont Triad region, the Lis ...

Winston-Salem, North Carolina
; Eden Prairie, Minnesota (Compellent, Dell Compellent); Bowling Green, Kentucky; Lincoln, Nebraska; and Miami, Florida. Facilities located abroad include Penang, Malaysia; Xiamen, China; Bracknell, UK; Manila, Philippines Chennai, India; Hyderabad, India; Noida, India; Hortolândia, Hortolandia and Porto Alegre, Brazil; Bratislava, Slovakia; Łódź, Łódź, Poland; Panama City, Panama; Dublin and Limerick, Ireland; Casablanca, Morocco and Montpellier, France. The US and India are the only countries that have all Dell's business functions and provide support globally: research and development, manufacturing, finance, analysis, and customer care.


Manufacturing

From its early beginnings, Dell operated as a pioneer in the "configure to order" approach to manufacturing—delivering individual PCs configured to customer specifications. In contrast, most PC manufacturers in those times delivered large orders to intermediaries on a quarterly basis. To minimize the delay between purchase and delivery, Dell has a general policy of manufacturing its products close to its customers. This also allows for implementing a just-in-time (business), just-in-time (JIT) manufacturing approach, which minimizes inventory costs. Low inventory is another signature of the Dell business model—a critical consideration in an industry where components depreciate very rapidly. Dell's manufacturing process covers assembly, software installation, functional testing (including "burn-in"), and quality control. Throughout most of the company's history, Dell manufactured desktop machines in-house and contracted out the manufacturing of base notebooks for configuration in-house. The company's approach has changed, as cited in the 2006 Annual Report, which states, "We are continuing to expand our use of original design manufacturing partnerships and manufacturing outsourcing relationships." ''The Wall Street Journal'' reported in September 2008 that "Dell has approached contract computer manufacturers with offers to sell" their plants. By the late 2000s, Dell's "configure to order" approach of manufacturing—delivering individual PCs configured to customer specifications from its US facilities was no longer as efficient or competitive with high-volume Asian contract manufacturers as PCs became powerful low-cost commodities. Assembly of desktop computers for the North American market formerly took place at Dell plants in Austin, Texas, (original location) and
Lebanon, Tennessee Lebanon is the county seat of Wilson County, Tennessee, Wilson County, Tennessee, United States. The population was 38,431 at the 2020 United States census, 2020 census. Lebanon is located in Middle Tennessee, approximately east of downtown Nas ...

Lebanon, Tennessee
, (opened in 1999), which were closed in 2008 and early 2009, respectively. The plant in
Winston-Salem, North Carolina Winston-Salem is a city in and the county seat of Forsyth County, North Carolina, Forsyth County, North Carolina, United States. With a 2019 estimated population of 247,945 it is the second largest municipality in the Piedmont Triad region, the Lis ...

Winston-Salem, North Carolina
, opened in 2005 but ceased operations in November 2010. Most of the work that used to take place in Dell's US plants was transferred to contract manufacturers in Asia and Mexico, or some of Dell's own factories overseas. The Miami, Florida, facility of its Alienware subsidiary remains in operation, while Dell continues to produce its servers (its most profitable products) in Austin, Texas. Dell assembled computers for the Europe, the Middle East, and Africa, EMEA market at the Limerick facility in the Republic of Ireland, and once employed about 4,500 people in that country. Dell began manufacturing in Limerick in 1991 and went on to become Ireland's largest exporter of goods and its second-largest company and foreign investor. On January 8, 2009, Dell announced that it would move all Dell manufacturing in Limerick to Dell's new plant in the Polish city of Łódź by January 2010. European Union officials said they would investigate a €52.7million aid package the Polish government used to attract Dell away from Ireland. European Manufacturing Facility 1 (EMF1, opened in 1990) and EMF3 form part of the Raheen Industrial Estate near Limerick. EMF2 (previously a Wang Laboratories, Wang facility, later occupied by Flextronics, situated in Castletroy) closed in 2002, and Dell Inc. has consolidated production into EMF3 (EMF1 now contains only offices). Subsidies from the Polish government did keep Dell for a long time. After ending assembly in the Limerick plant the Cherrywood, Dublin, Cherrywood Technology Campus in Dublin was the largest Dell office in the republic with over 1200 people in sales (mainly UK & Ireland), support (enterprise support for EMEA) and research and development for cloud computing, but no more manufacturing exceptIDA Ireland website o
Dell
visited October 12, 2012
Dell's Alienware subsidiary, which manufactures PCs in an Athlone, Ireland, plant. Whether this facility will remain in Ireland is not certain. Dell started production at EMF4 in Łódź, Poland, in late 2007. Dell moved desktop, notebook and PowerEdge server manufacturing for the South American market from the Eldorado do Sul, Brazil, Eldorado do Sul plant opened in 1999, to a new plant in Hortolândia, Hortolandia, Brazil, in 2007.


Products


Scope and brands

The corporation markets specific brand names to different market segments. Its Business/Corporate class includes: * Dell OptiPlex, OptiPlex (office desktop computer systems) * Dell Dimension, Dimension (home desktop computer systems) * Dell Vostro, Vostro (office/small business desktop and laptop, notebook systems) * Dell n Series, n Series (desktop and notebook computers shipped with Linux or FreeDOS installed) * Dell Latitude, Latitude (business-focused notebooks) * Dell Precision, Precision (Computer workstation, workstation systems and high-performance "Mobile Workstation" notebooks), * Dell PowerEdge, PowerEdge (business servers) * Dell PowerVault, PowerVault (direct-attach and network-attached storage) * Force10 (
network switch A network switch (also called switching hub, bridging hub, and, by the IEEE The Institute of Electrical and Electronics Engineers (IEEE) is a professional association A professional association (also called a professional body, professio ...

network switch
es) * Dell PowerConnect, PowerConnect (
network switch A network switch (also called switching hub, bridging hub, and, by the IEEE The Institute of Electrical and Electronics Engineers (IEEE) is a professional association A professional association (also called a professional body, professio ...

network switch
es) * Dell Compellent (storage area networks) * EqualLogic (enterprise class iSCSI Storage area network, SANs)
Dell EMR
(electronic medical records) Dell's Home Office/Consumer class includes: * Dell Inspiron, Inspiron (budget desktop and notebook computers) * Dell XPS, XPS (high-end desktop and notebook computers) * Dell G Series, G Series (high/medium-performance gaming laptops) *
Alienware Alienware is an American computer hardware subsidiary of Dell. Their product range is dedicated to gaming computers which can be identified by their alien-themed designs. Alienware was founded in 1996 by Nelson Gonzalez and Alex Aguila. The ...

Alienware
(high-performance gaming systems) * Dell Venue, Venue (Tablets Android / Windows) Dell's Peripherals class includes Keydrive, USB keydrives, Liquid crystal display television, LCD televisions, and printer (computing), printers; Dell monitors includes LCD, LCD TVs, Plasma display, plasma TVs and Video projector, projectors for
HDTV High-definition television (HD or HDTV) describes a television system providing a substantially higher image resolution Image resolution is the detail an image holds. The term applies to digital images, film images, and other types of images. Hig ...

HDTV
and Computer display, monitors. Dell UltraSharp is further a high-end brand of Dell monitors, monitors. Dell service and support brands include the ''Dell Solution Station'' (extended domestic support services, previously "Dell on Call"), ''Dell Support Center'' (extended support services abroad), ''Dell Business Support'' (a commercial service-contract that provides an industry-certified technician with a lower call-volume than in normal queues), ''Dell Everdream Desktop Management'' ("Software as a Service" remote-desktop management, originally a SaaS company founded by Elon Musk's cousin, Lyndon Rive, which Dell bought in 2007), and ''Your Tech Team'' (a support-queue available to home users who purchased their systems either through Dell's website or through Dell phone-centers). Discontinued products and brands include Dell Axim, Axim (Personal digital assistant, PDA; discontinued April 9, 2007), Dell Dimension, Dimension (home and small office desktop computers; discontinued July 2007), Dell Digital Jukebox (MP3 player; discontinued August 2006), Dell PowerApp (application-based servers), and Dell Optiplex (desktop and tower computers previously supported to run server and desktop operating systems).


Security


Self-signed root certificate

In November 2015 it emerged that several Dell computers had shipped with an identical pre-installed root certificate known as "eDellRoot". This raised such security risks as attackers impersonating HTTPS-protected websites such as Google and Bank of America and malware being signed with the certificate to bypass Microsoft software filtering. Dell apologized and offered a removal tool.


Dell Foundation Services

Also in November 2015, a researcher discovered that customers with diagnostic program Dell Foundation Services could be digitally tracked using the unique service tag number assigned to them by the program. This was possible even if a customer enabled private browsing and deleted their browser cookies. ''Ars Technica'' recommended that Dell customers uninstall the program until the issue was addressed.


Commercial aspects


Organization

The board consists of nine directors. Michael Dell, the founder of the company, serves as chairman of the board and chief executive officer. Other board members include Donald J. Carty, Don Carty, Judy Lewent, Klaus Luft, Alex J. Mandl, Alex Mandl, and Sam Nunn. Shareholders elect the nine board members at meetings, and those board members who do not get a majority of votes must submit a resignation to the board, which will subsequently choose whether or not to accept the resignation. The board of directors usually sets up five committees having oversight over specific matters. These committees include the Audit Committee, which handles accounting issues, including auditing and reporting; the Compensation Committee, which approves compensation for the CEO and other employees of the company; the Finance Committee, which handles financial matters such as proposed mergers and acquisitions; the Governance and Nominating Committee, which handles various corporate matters (including the nomination of the board); and the Antitrust Compliance Committee, which attempts to prevent company practices from violating antitrust laws. Day-to-day operations of the company are run by the Global Executive Management Committee, which sets Strategic management, strategic direction. Dell has regional senior vice-presidents for countries other than the United States.


Marketing

Dell advertisements have appeared in several types of media including television, the Internet, magazines, Mail-order catalog, catalogs, and newspapers. Some of Dell Inc's marketing strategies include lowering prices at all times of the year, free bonus products (such as Dell printers), and free shipping to encourage more sales and stave off competitors. In 2006, Dell cut its prices in an effort to maintain its 19.2% market share. This also cut profit margins by more than half, from 8.7 to 4.3 percent. To maintain its low prices, Dell continues to accept most purchases of its products via the Internet and through the telephone network, and to move its customer-care division to India and El Salvador. A popular United States television and print ad campaign in the early 2000s featured the actor Ben Curtis (actor), Ben Curtis playing the part of "Steven", a lightly mischievous blond-haired youth who came to the assistance of bereft computer purchasers. Each television advertisement usually ended with Steven's catch-phrase: "Dude, you're gettin' a Dell!" A subsequent advertising campaign featured interns at Dell headquarters (with Curtis' character appearing in a small cameo at the end of one of the first commercials in this particular campaign). In 2007, Dell switched advertising agencies in the US from BBDO to Working Mother Media. In July 2007, Dell released new advertising created by Working Mother to support the Inspiron and XPS lines. The ads featured music from the The Flaming Lips, Flaming Lips and Devo who re-formed especially to record the song in the ad "Work it Out". Also in 2007, Dell began using the slogan "Yours is here" to say that it customizes computers to fit customers' requirements. Beginning in 2011, Dell began hosting a conference in Austin, Texas, at the Austin Convention Center titled "Dell World". The event featured new technology and services provided by Dell and Dell's partners. In 2011, the event was held October 12–14. In 2012, the event was held December 11–13. In 2013, the event was held December 11–13. In 2014, the event was held November 4–6.


Dell partner program

In late 2007, Dell Inc. announced that it planned to expand its program to value-added resellers (VARs), giving it the official name of "Dell Partner Direct" and a new Website. Dell India has started Online Ecommerce website with its Dell Partner www.compuindia.com GNG Electronics Pvt Ltd termed as Dell Express Ship Affiliate(DESA). The main objective was to reduce the delivery time. Customers who visit Dell India official site are given the option to buy online which then will be redirected to Dell affiliate website compuindia.com.


Global analytics

Dell also operates a captive analytics division which supports pricing, web analytics, and supply chain operations. DGA operates as a single, centralized entity with a global view of Dell's business activities. The firm supports over 500 internal customers worldwide and has created a quantified impact of over $500 million.


Criticisms of marketing of laptop security

In 2008, Dell received press coverage over its claim of having the world's most secure laptops, specifically, its Latitude D630 and Latitude D830. At Lenovo's request, the (US) National Advertising Division (NAD) evaluated the claim, and reported that Dell did not have enough evidence to support it.


Retail

Dell first opened their retail stores in India.


United States

In the early 1990s, Dell sold its products through Best Buy, Costco and Sam's Club stores in the United States. Dell stopped this practice in 1994, citing low profit margins on the business, exclusively distributing through a direct-sales model for the next decade. In 2003, Dell briefly sold products in Sears stores in the US. In 2007, Dell started shipping its products to major retailers in the US once again, starting with Sam's Club and Walmart, Wal-Mart. Staples Inc., Staples, the largest office-supply retailer in the US, and Best Buy, the largest electronics retailer in the US, became Dell retail partners later that same year.


=Kiosks

= Starting in 2002, Dell opened kiosk locations in the United States to allow customers to examine products before buying them directly from the company. Starting in 2005, Dell expanded kiosk locations to include shopping malls across Australia, Canada, Singapore and Hong Kong. On January 30, 2008, Dell announced it would shut down all 140 kiosks in the US due to expansion into retail stores. By June 3, 2010, Dell had also shut down all of its mall kiosks in Australia.


Retail stores

, Dell products shipped to one of the largest office supply retailers in Canada, Staples Business Depot. In April 2008, Future Shop and Best Buy began carrying a subset of Dell products, such as certain desktops, laptops, printers, and monitors. Since some shoppers in certain markets show reluctance to purchase technological products through the phone or the Internet, Dell has looked into opening retail operations in some countries in Central Europe and Russia. In April 2007, Dell opened a retail store in Budapest. In October of the same year, Dell opened a retail store in Moscow. In the UK, HMV's flagship Trocadero (London), Trocadero store has sold Dell XPS PCs since December 2007. From January 2008 the UK stores of DSG International (retailer), DSGi have sold Dell products (in particular, through Currys and PC World (retailer), PC World stores). As of 2008, the large supermarket chain Tesco has sold Dell laptops and desktops in outlets throughout the UK. In May 2008, Dell reached an agreement with the office supply chain, Officeworks (part of Coles Group), to stock a few modified models in the Inspiron desktop and notebook range. These models have slightly different model numbers, but almost replicate the ones available from the Dell Store. Dell continued its retail push in the Australian market with its partnership with Harris Technology (another part of Coles Group) in November of the same year. In addition, Dell expanded its retail distributions in Australia through an agreement with the discount electrical retailer, The Good Guys (Australasia), The Good Guys, known for "Slashing Prices". Dell agreed to distribute a variety of makes of both desktops and notebooks, including Studio and Dell XPS, XPS systems in late 2008. Dell and Dick Smith Electronics (owned by Woolworths Limited) reached an agreement to expand within Dick Smith's 400 stores throughout Australia and New Zealand in May 2009 (1 year since Officeworks—owned by Coles Group—reached a deal). The retailer has agreed to distribute a variety of Inspiron and Studio notebooks, with minimal Studio desktops from the Dell range. , Dell continues to run and operate its various kiosks in 18 shopping centers throughout Australia. On March 31, 2010, Dell announced to Australian Kiosk employees that they were shutting down the Australian/New Zealand Dell kiosk program. In Germany, Dell is selling selected smartphones and notebooks via Media Markt and Saturn, as well as some shopping websites.


Competition

Dell's major competitors include
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Lenovo
Hewlett-Packard (HP), Hasee, Acer, Fujitsu, Toshiba, Gateway,
Sony , commonly known as Sony and stylized as SONY, is a Japanese multinational Multinational may refer to: * Multinational corporation, a corporate organization operating in multiple countries * Multinational force, a military body from mult ...

Sony
, Asus,Micro-Star International, MSI, Panasonic, Samsung and Apple. Dell and its subsidiary, Alienware, compete in the enthusiast market against AVADirect, Falcon Northwest, VoodooPC (a subsidiary of HP), and other manufacturers. In the second quarter of 2006, Dell had between 18% and 19% share of the worldwide personal computer market, compared to HP with roughly 15%. , Dell lost its lead in the PC business to Hewlett-Packard. Both Gartner and International Data Corporation, IDC estimated that in the third quarter of 2006, HP shipped more units worldwide than Dell did. Dell's 3.6% growth paled in comparison to HP's 15% growth during the same period. The problem got worse in the fourth quarter, when Gartner estimated that Dell PC shipments declined 8.9% (versus HP's 23.9% growth). As a result, at the end of 2006 Dell's overall PC market share stood at 13.9% (versus HP's 17.4%). IDC reported that Dell lost more server market share than any of the top four competitors in that arena. IDC's Q4 2006 estimates show Dell's share of the server market at 8.1%, down from 9.5% in the previous year. This represents an 8.8% loss year-over-year, primarily to competitors EMC Corporation, EMC and IBM. As of 2021, Dell is the third-largest PC manufacturer after Lenovo and HP.


Partnership with EMC

In 2001, Dell and EMC entered into a partnership whereby both companies jointly design products, and Dell provided support for certain EMC products including midrange storage systems, such as fibre channel and iSCSI storage area networks. The relationship also promotes and sells OEM versions of backup, recovery, replication and archiving software. On December 9, 2008, Dell and EMC announced the multi-year extension, through 2013, of the strategic partnership with EMC. In addition, Dell expanded its product lineup by adding the EMC Celerra NX4 storage system to the portfolio of Dell/EMC family of networked storage systems and partnered on a new line of data deduplication products as part of its TierDisk family of
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s. On October 17, 2011, Dell discontinued reselling all EMC storage products, ending the partnership 2 years early. Later Dell would acquire and merge with EMC in the largest tech merger to date.


Environmental record

Dell committed to reducing greenhouse gas emissions from its global activities by 40% by 2015, with the 2008 fiscal year as the baseline year. It is listed in Greenpeace's Guide to Greener Electronics that scores leading electronics manufacturers according to their policies on sustainability, climate and energy and how green their products are. In November 2011, Dell ranked 2nd out of 15 listed electronics makers (increasing its score to 5.1 from 4.9, which it gained in the previous ranking from October 2010). Dell was the first company to publicly state a timeline for the elimination of toxic polyvinyl chloride (PVC) and brominated flame retardants (BFRs), which it planned to phase out by the end of 2009. It revised this commitment and now aims to remove toxics by the end of 2011 but only in its computing products. In March 2010, Greenpeace activists protested at Dell offices in Bangalore, Amsterdam and Copenhagen calling for Dell's founder and CEO Michael Dell to "drop the toxics" and claiming that Dell's aspiration to be 'the greenest technology company on the planet' was "hypocritical". Dell has launched its first products completely free of PVC and BFRs with the G-Series monitors (G2210 and G2410) in 2009. In its 2012 report on progress relating to conflict minerals, the Enough Project rated Dell the eighth-highest of 24 consumer electronics companies.


Green initiatives

Dell became the first company in the information technology industry to establish a product-recycling goal (in 2004) and completed the implementation of its global consumer recycling-program in 2006. On February 6, 2007, the National Recycling Coalition awarded Dell its "Recycling Works" award for efforts to promote producer responsibility.Winners of NRC's "Recycling Works" Award
National Recycling Coalition
On July 19, 2007, Dell announced that it had exceeded targets in working to achieve a multi-year goal of recovering 275 million pounds of computer equipment by 2009. The company reported the recovery of 78 million pounds (nearly 40,000 tons) of IT equipment from customers in 2006, a 93-percent increase over 2005; and 12.4% of the equipment Dell sold seven years earlier.Dell Ahead of Schedule to Achieve Multi-Year Product Recycling Goal
Dell. July 19, 2007
On June 5, 2007, Dell set a goal of becoming the greenest technology company on Earth for the long term. The company launched a zero-carbon initiative that includes: # reducing Dell's carbon intensity by 15 percent by 2012 # requiring primary suppliers to report carbon emissions data during quarterly business reviews # partnering with customers to build the "greenest PC on the planet" # expanding the company's carbon-offsetting program, "Plant a Tree for Me" Dell reports its environmental performance in an annual Corporate Social Responsibility (CSR) Report that follows the Global Reporting Initiative (GRI) protocol. Dell's 2008 CSR report ranked as "Application Level B" as "checked by GRI". The company aims to reduce its external environmental impact through an energy-efficient evolution of products, and also reduce its direct operational impact through energy-efficiency programs.


Criticism

In the 1990s, Dell switched from using primarily ATX motherboards and Computer power supply, PSU to using boards and power supplies with mechanically identical but differently wired connectors. This meant customers wishing to upgrade their hardware would have to replace parts with scarce Dell-compatible parts instead of commonly available parts. While motherboard power connections reverted to the industry standard in 2003, Dell remains secretive about their motherboard pin-outs for peripherals (such as MMC readers and power on/off switches and LEDs). In 2005, complaints about Dell more than doubled to 1,533, after earnings grew 52% that year. In 2006, Dell acknowledged that it had problems with customer service. Issues included call transfers of more than 45% of calls and long wait times. Dell's blog detailed the response: "We're spending more than a $100 million—and a lot of blood, sweat, and tears of talented people—to fix this." Later in the year, the company increased its spending on customer service to $150 million. Since 2018, Dell has seen significant increase in consumer satisfaction. Moreover, their customer service has been praised for its prompt and accurate answers to most questions, especially those directed to their social media support. On August 17, 2007, Dell Inc. announced that after an internal investigation into its accounting practices it would restate and reduce earnings from 2003 through to the first quarter of 2007 by a total amount of between $50 million and $150 million, or 2 cents to 7 cents per share. The investigation, begun in November 2006, resulted from concerns raised by the US Securities and Exchange Commission over some documents and information that Dell Inc. had submitted. It was alleged that Dell had not disclosed large exclusivity payments received from
Intel Intel Corporation is an American multinational corporation A multinational company (MNC) is a corporate A corporation is an organization—usually a group of people or a company A company, abbreviated as co., is a Legal personalit ...

Intel
for agreeing not to buy processors from rival manufacturer Advanced Micro Devices, AMD. In 2010 Dell finally paid $100 million to settle the SEC's charges of fraud. Michael Dell and other executives also paid penalties and suffered other sanctions, without admitting or denying the charges. In July 2009, Dell apologized after drawing the ire of the Taiwanese Consumer Protection Commission for twice refusing to honor a flood of orders against unusually low prices offered on its Taiwanese website. In the first instance, Dell offered a 19" LCD panel for $15. In the second instance, Dell offered its Latitude E4300 notebook at NT$18,558 (US$580), 70% lower than the usual price of NT$60,900 (US$1900). Concerning the E4300, rather than honor the discount taking a significant loss, the firm withdrew orders and offered a voucher of up to NT$20,000 (US$625) a customer in compensation. The consumer rights authorities in Taiwan fined Dell NT$1 million (US$31250) for customer rights infringements. Many consumers sued the firm for unfair compensation. A court in southern Taiwan ordered the firm to deliver 18 laptops and 76 flat-panel monitors to 31 consumers for NT$490,000 (US$15,120), less than a third of the normal price. The court said the event could hardly be regarded as mistakes, as the prestigious firm said the company mispriced its products twice in Taiwanese website within 3 weeks. After Michael Dell made a $24.4 billion buyout bid in August 2013, activist shareholder
Carl Icahn Carl Celian Icahn (; born February 16, 1936) is an American businessman. He is the founder and controlling shareholder of Icahn Enterprises, a diversified conglomerate holding company based in New York City, formerly known as American Real Esta ...
sued the company and its board in an attempt to derail the bid and promote his own forthcoming offer.


See also

* List of computer system manufacturers * List of Dell ownership activities * Configurator * Mass customization


References


Further reading


Dell Company Information
*
Michael Dell Michael Saul Dell (born February 23, 1965) is an American billionaire A billionaire is a person with a net worth of at least 1,000,000,000, one billion (1,000,000,000, i.e. a thousand million) units of a given currency, usually of a major cu ...
, Catherine Fredman, ''Direct From Dell'', *
Dell as the seventh-most-admired computer company in the USAeighth overalland seventh worldwide
''
Fortune Fortune may refer to: General * Fortuna or Fortune, the Roman goddess of luck * Luck, a chance happening, or that which happens beyond a person's controls * Wealth, an abundance of items of economic value * Fortune, a prediction made in fortune-te ...
'', ''Most Admired Companies 2006''. * ''BBC News'', August 21, 2003
''Dell makes grab for market share''
* ''USA Today'', January 20, 2001
''Dell business model turns to muscle as rivals struggle''
* ''Ubuntu Forums'', June 7, 2007
''Dell's with Ubuntu called Dellbuntu''


External links

* {{Authority control Dell, Computer companies of the United States Consumer electronics brands American brands Cloud computing providers Display technology companies Home computer hardware companies Mobile phone manufacturers Netbook manufacturers Networking hardware companies Online retailers of the United States Multinational companies headquartered in the United States Manufacturing companies based in Austin, Texas Companies based in Round Rock, Texas Computer companies established in 1984 Electronics companies established in 1984 1984 establishments in Texas Companies formerly listed on the Nasdaq Privately held companies based in Texas Silver Lake (investment firm) companies 1980s initial public offerings