Dell’s consumer products division is not doing well lately, because of competition from cheap entry-level products in emerging markets by other companies. The company’s earnings reduced by a factor of three. Its shares tumbled in extended trade. Its consumer unit is struggling to slow down the decline in sales. Overall, Dell is struggling. Now the company is planning to revamp its consumer unit with sales of new touchscreen laptops and tablets featuring Windows 8 OS.
Noting that to enjoy the full features of the new touch capable Windows OS people would need new touch enabled devices, Dell, both the company and the CEO, has decided to launch a offer a full complement of Windows 8 products. He quoted,”The product refresh cycle associated with this release of Windows is likely to be very different from other releases, but it’s hard to know exactly what that looks like. We’re preparing a full complement of products, and we’ll be ready with those.” However, Dell also doesn’t expect huge adoption of Windows 8 early on. From his remarks on Windows 8 tablet adoption, it seems that the company would invest equally on touch enabled laptops and tablets.
Dell has tried to tap into the tablet market with its Windows and Android based tablets. But, failed to make waves against Apple’s iPad and Amazon’s Kindle Fire. But, the launch of Windows 8 could be a big opportunity for Dell to crack the market. As technology analyst Chris Green at Davies Murphy Group Europe noted, “We see Windows 8 as opportunity for all the PC manufacturers to reclaim the huge ground that they have lost to Apple and some of the other Android tablet makers.”
The question is – could Dell manage to make its fortune out of higher-priced touch enabled Windows 8 devices?