News
 

Bookmark and Share

(3) 

After Dell announced earlier today that it will be becoming a private company, which will likely result into intensifications of its internal transformations, Hewlett-Packard, one of Dell’s arch-rivals released a statement claiming that the change of ownership will negatively impact Dell’s customers. HP claims that the $15 billion debt to banks will reduce Dell’s ability to develop new products and technologies.

“Dell has a very tough road ahead. The company faces an extended period of uncertainty and transition that will not be good for its customers. And with a significant debt load, Dell's ability to invest in new products and services will be extremely limited. Leveraged buyouts tend to leave existing customers and innovation at the curb. We believe Dell's customers will now be eager to explore alternatives, and HP plans to take full advantage of that opportunity,” the official statement of HP reads.

While changes are something that clearly waits Dell in the future, at present it is hard to determine how this will affect customers of the company. Quite obviously, some will be unhappy as Dell will likely drop outdated or declining product lines or categories in a bid to focus on rapidly growing and promising segments.

Keeping in mind that Dell has not yet announced any particular plans for changes after it becomes private in several months, it is hard and too early to predict the outcome of Dell’s move as well as any effect on the company’s clients.

Tags: Dell, HP, Hewlett-Packard, Silver Lake, Microsoft, Business

Discussion

Comments currently: 3
Discussion started: 02/05/13 10:18:53 PM
Latest comment: 02/06/13 09:53:28 AM

[1-3]

1. 
I am sure HP has the best intention for Dell to make this comment. Wait... why is this on XBitLabs?
1 0 [Posted by: gamoniac  | Date: 02/05/13 10:18:53 PM]
Reply

2. 
So says HP, the company that is currently losing ground extremely fast and is considering a break up of the company's divisions.
0 0 [Posted by: KeyBoardG  | Date: 02/06/13 08:20:17 AM]
Reply

3. 
Yeah, HP is a master of not leaving customers with an uncertain future! Wow.
0 0 [Posted by: bluvg  | Date: 02/06/13 09:53:28 AM]
Reply

[1-3]

Add your Comment




Related news

Latest News

Monday, April 14, 2014

8:23 am | Microsoft Vows to Release Xbox 360 Emulator for Xbox One. Microsoft Xbox One May Gain Compatibility with Xbox 360 Games

Tuesday, April 1, 2014

10:39 am | Microsoft Reveals Kinect for Windows v2 Hardware. Launch of New Kinect for Windows Approaches

Tuesday, March 25, 2014

1:57 pm | Facebook to Acquire Virtual Reality Pioneer, Oculus VR. Facebook Considers Virtual Reality as Next-Gen Social Platform

1:35 pm | Intel Acquires Maker of Wearable Computing Devices. Basis Science Becomes Fully-Owned Subsidiary of Intel

Monday, March 24, 2014

10:53 pm | Global UHD TV Shipments Total 1.6 Million Units in 2013 – Analysts. China Ahead of the Whole World with 4K TV Adoption

10:40 pm | Crytek to Adopt AMD Mantle Mantle API for CryEngine. Leading Game Developer Adopts AMD Mantle

9:08 pm | Microsoft Unleashes DirectX 12: One API for PCs, Mobile Gadgets and Xbox One. Microsoft Promises Increased Performance, New Features with DirectX 12

3:33 pm | PowerVR Wizard: Imagination Reveals World’s First Ray-Tracing GPU IP for Mobile Devices. Imagination Technologies Brings Ray-Tracing, Hybrid Rendering Modes to Smartphones and Tablets

2:00 pm | Nokia Now Expects to Close Deal with Microsoft in Q2. Sale of Nokia’s Division to Close Next Month