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  Is Dell the Next Microsoft?
Time: 06:21 EST/11:21 GMT | News Source: NewsFactor | Posted By: Alex Harris

In a business traditionally built on partnerships and cooperation, Dell Computer seems bent on making more enemies than friends of late. In July, Hewlett-Packard terminated a four-year reseller agreement with Dell that reportedly brought HP as much as US$100 million per year in revenue. The companies, which have long been rivals in the personal computer market, parted ways after word leaked that Dell intended to make and sell its own line of printers and other peripheral devices.

Earlier this month, Dell lost another longtime partner when Cisco Systems announced that effective in October, Dell no longer would be authorized to sell Cisco data switches. Like HP, Cisco acted after Dell announced plans to offer similar products under its own brand name. Is Dell taking a page from the Microsoft handbook -- one that eventually will see it standing alone?

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#1 By 1845 (12.254.162.111) at 9/20/2002 7:11:40 AM
Lol. Looks like horizontal integration to me. Of course jerk will say I know nothing about business, so I'm probably wrong about that. Anyway, if HP was making money on the deal, I don't see why they cut themselves off. Same with Cisco.

#2 By 3653 (63.162.177.140) at 9/20/2002 10:21:55 AM
For Dell to be anything like Microsoft, they'll need to go through the same transformation that Microsoft did. Remember when Microsoft was uber conservative with their product line? I'm talking about back when everyone accused them of having no innovation at all. Thats the way Dell is today. They don't take many chances (notice how they are just now thinking of building a PDA, or building printers). Well, at some point Microsoft must've noticed their cash balance (or that the pc business was going to slow down)and decided they could/should loosen up a bit. Now, Microsoft is clearly innovative with a broad product line. Perhaps Dell is on their way to "loosening up" as well. Time will tell...

#3 By 1913 (68.14.48.57) at 9/20/2002 11:01:02 AM
#4 ...Dell has gone ahead with their PDA (Pocket PC) plans. They hope that it would be available by the holidays, but most likely sometime early 2003 at the cost of under $300. If I remembered it correctly, they've tapped Acer or HTC (iPaq) to build the the device. Acer is alrady selling PDAs in Asia, but not here in the US. Nice ones too.

Dude I'm getting a Dell (PDA)!!! =)

Dell is just trying to expand beyond the PC arena. With their recent success over the past years, they can afford to do it. Totally agree with you #4.

This post was edited by rommels on Friday, September 20, 2002 at 11:05.

#4 By 3653 (63.162.177.140) at 9/20/2002 2:30:24 PM
Good points Kennedy, but I would add that a single failing isn't enough to overcome a big company that is hitting on all their other cylinders. Look at Microsoft, they are KILLED in the area of security... but their market share improves across most of their product line. IMO, that is because they hit on all their other cylinders.

#5 By 135 (209.180.28.6) at 9/20/2002 3:12:50 PM
I thought Redhat was the next Microsoft?

#6 By 5444 (208.180.245.190) at 9/20/2002 7:55:25 PM
barrod thank you for that post;)

Like talking to a brick wall to the linux users.

The more people we get off of Win9x the better we will be though:)

El

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