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Dell, a top supplier of personal computers, admitted during a conference call with financial analysts that Windows 8 platform has not met its expectations and has not become a catalyst for the PC revival. At the same time, the PC maker remains optimistic about the platform as new microprocessors hit the market, Windows 8 gets updated and other things change.

“It is some of the things we have been talking about over the last few quarters, where you have competing devices in some cases. Windows 8 has been from our standpoint, not necessarily the catalyst to drive accelerated growth that we had hoped it would be,” said Brian Gladden, chief financial officer at Dell.

In fact, Dell’s business does not seem to be that gloomy in general. Commercial segment continues to upgrade to Windows 7, demand from corporations and small businesses is picking up. Two customer segments who are slow-downing their purchases are consumers and governments.

Dell remains generally optimistic about the future of the PC market overall thanks to emergence of new microprocessors, form-factors and improved Windows 8 operating system in particular and Windows eco-system in general. Generally, Dell pins hopes onto the code-named Blue updates from Microsoft that will upgrade Windows 8, Windows RT, Microsoft’s online services and presumably Windows Phone 8.

“We are encouraged by what is going to play out with new chipsets and some of the work that is going on within the Windows ecosystem to hopefully over the next few months create some catalysts,” said Mr. Gladden.

At the same time, one of the largest PC makers warns about being overoptimistic about the prospects of PC in general now that the world has loads of devices, whereas buyers are limited in resources.

“We would expect to continue to see declines in PC demand [over the next few quarters year-over-year]. I think that we are trying to run the business based on that we be in a position where we are in this thing for the long-term and we position the business for success for the long-term,” concluded Mr. Gladden.

Tags: Dell, Windows, Microsoft, Windows 8, Windows RT, Business


Comments currently: 14
Discussion started: 05/17/13 04:34:12 PM
Latest comment: 06/01/13 01:27:45 PM
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"At the same time, the PC maker remains optimistic about the platform as new microprocessors hit the market, Windows 8 gets updated and other things change."

So optimistic in fact, that Dell recently brought BACK Windows 7 on most of their consumer models.
5 0 [Posted by: Asok Smith  | Date: 05/17/13 04:34:12 PM]

Traditional PC sales will continue their decline until they bottom out. They will never regain their dominant position with consumers.
1 0 [Posted by: beck2448  | Date: 05/17/13 08:32:14 PM]

This looks like the 5th wave of tech. and the incumbents always miss out as they continue doing the same thing which worked in the past. The 1st 5 waves were:
1930-47 large value machines.
2nd Mainframes in business Unix including mechanical typewriters, adding machines and bookkeeping ledger units all mechanical.
3rd Workstations Dos
4th PC's x86 (Win/tel)
5th ARM Mobile computing.
Just look back over history and count the number of large tech co.s which have gone by the way. What happened to the calculating machine manufactures, The typewriter manufacturers, The telephone hand set makers? Tape recorder makers, Film and photograph makers. Most extinct. They missed the new waves of Tech they were so focused on being the best in their fields, This now is happening to the PC makers and chip makers who are belatedly waking up after the horse has bolted.
There is a very informative paper by Dr.Hauser available can be accessed on the Registers site.
3 2 [Posted by: tedstoy  | Date: 05/18/13 12:50:21 AM]
- collapse thread

> ARM mobile computing

You make me laugh. This is going to be the era of Linux desktops soon, not Windows. Microsoft software simply sucks, and has been stagnating in functionality and features for years.
1 0 [Posted by: mmstick  | Date: 05/19/13 11:05:51 PM]

"If we do the exact same thing again, maybe it will work this time." LMAO.
3 0 [Posted by: lol123  | Date: 05/18/13 07:32:54 AM]

Big dinosaurs at the cusp of mass extinction, these old line companys are, Dell, HP. Microsoft, Intel! They are so big and management laden! These lumbering giants, have lost any agility, or hindsight into why the markets will pass them buy! Intel, once it captured market share, and If AMD was not breathing down its neck, never continued to innovate, with new CPU designs, but instead focused on its process technology, which was the only way Intel could manage power savings on its unoptimized, for low power, high transistor count designs! Meanwhile, the small mammalian like companys using ARM based designs, have proliferated, living on the remaining market niches, that happened, as a matter of necessity, to require low power designs! these small companys individually, were no match for Intel's massive R&D budget for high power high cost/performence CPUs, but added togather as an group, these small companys have taken the ARM DNA, and customizied it for so many usefull low power applicatins, at so low a profit margin, that Intel may not be so much of a factor, now that the High Power PC/Server/HPC market has gone down in the same manner as that giant meteor, in a great mass extinction event! Microsoft, like Intel, another lumbering giant, spends more time changing the UI on its OS, and only superfically improving the base OS! The METRO UI is not there to assist the end user in any way, but was poorly pieced together, as an attempted added revenue stream, from the Full function PC users, that currently are Microsoft's main revenue source, and not the mobile users, which are the major revenue producers for the smaller companys, and one former small company APPLE! Dell and HP, well they are going away if they can not get smaller, and get that ARM DNA working for them, beacuse price and lower profit margins, in the new market, is the only enviromental factor that will drive the new evolution, and for the big dinosaurs their food source (Big Margins) is gone!
1 0 [Posted by: BigChiefRunAmok  | Date: 05/18/13 07:53:59 AM]
- collapse thread

AMD is not breathing down on anyone's neck.
1 0 [Posted by: Marenics János  | Date: 05/19/13 11:19:26 AM]

The more MS dumb down windoz (metro/touch on PC) the closer they come to extinction

Whilst it might be 'fashionable' to tell/force consumers how to use an existing product, at the end of the day the old adage remains........the customer is always right (well mostly... smile.jpg), ignore @ your peril
1 0 [Posted by: alpha0ne  | Date: 05/21/13 12:32:03 AM]

Sale! Buy Windows 8 pro !
0 1 [Posted by: Dmitriy Mostovoy  | Date: 05/24/13 09:27:49 AM]


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