Given the declining sales in the PC market, Dell had earlier tried to get its foot into the smartphone market. However, the handsets released by the company were an abysmal failure. Since the past few months, it had been rumored that Dell may give the smartphones another shot. But the company has firmly denied having any such plans.
The categorical rebuttal comes from Dell’s president of global operations, Jeff Clarke. Clarke apparently decided to put an end to all the gossip talk by stating explicitly that Dell has absolutely no plans of entering the smartphone market and is rather going to pin its hopes on the future of the PC market.
Clarke said, “We’ve been really clear about smartphones — we’re not going to do smartphones. We’re not going to be in the smartphone hardware business. We’re going to provide smartphone solutions, we’re going to be the preferred BYOD provider of solutions in the marketplace.”
Although, Clarke says he is hopeful that with the burgeoning middle class, PC sales are going to boom in the coming days, his expectations do not seem very well-placed. PC sales have been declining year over year and so has Dell’s revenue, since the company relies heavily on PC sales.
And the trend, most analysts agree, is going to continue over the coming days. Smartphones and tablets continue to be the rage of the day and all estimates show that they are going to continue dominating the computing world in the near future.
“I look at the middle class as it grows over the next 20 years from 1.8 billion people to 4.9 billion people and the opportunity for PCs there,” said Clarke. His hopes may not stand a very good chance in face of reality. To be viable in a fast changing tech world, Dell may have to significatly trim down itself and focus on services, rather than hardware.
Source: Computer World UK