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Michael Dell Steps Down as CEO

A whole lot of readers made sure we knew that Michael Dell is calling it quits as CEO of Dell, and has named Kevin Rollins, the current president and chief operating officer of Dell, as his successor. Rollins will retain the title of president, but Michael Dell hasn't left completely. He's still planning on sticking around as chairman of the board.

45 of 320 comments (clear)

  1. Dude.... by Anonymous Coward · · Score: 5, Funny

    You're getting a huge pension!

    1. Re:Dude.... by cachorro · · Score: 5, Interesting
      Actually, I had noticed that Mr. Dell cashed in a cool billion worth of stock last December. It must be nice to be able to take that much money off the table, and still be a major stakeholder.

      I wonder if he will simply take time to enjoy life, or perhaps he has a new pet project that has piqued his interest.

      Best wishes Michael, and thanks for all the magazine covers.

    2. Re:Dude.... by Gherald · · Score: 4, Funny

      Sad that I first heard about this story over here...

    3. Re:Dude.... by t0ny · · Score: 5, Insightful
      Mike Dell is really following intelligent business. The jobs of CEO and Chairman, while it looks good on your resume to hold both, are really two jobs with completely different responsibilities, and unless its a really small corp, they should really be done by two separate people.

      It was all the rage in the dot-bomb era, but as usually reality comes crashing back in, demonstrating that there really IS a reason businesses run the way they do. So kudos to MD, who went out on top, unlike Eisner who had to be forced out. But the difference between the two is that MD is looking out for his company, and Eisner is looking out for Eisner.

      --

      Manipulate the moderator system! Mod someone as "overrated" today.

    4. Re:Dude.... by Zeinfeld · · Score: 4, Insightful
      Mike Dell is really following intelligent business. The jobs of CEO and Chairman, while it looks good on your resume to hold both, are really two jobs with completely different responsibilities, and unless its a really small corp, they should really be done by two separate people.

      The problem being that to do the job of chairman effectively you usually have to have been the ex-CEO. So michael Dell is only following the normal practice for a founder, giving up the day to day running of the business and keeping the long term governance position.

      The dotcom startups were not really abberations here. There is not much point in having a chairman in a company that is only a few years old. if the management team are crooks or jerks then the truck is going to hit the wall and all the investors will lose their money in any case.

      What was an abberation was when the long established companies started running themselves in this way. Michael Eisener did not create Disney, he should not have unfettered control. He should not be paid so much for such mediocre results.

      --
      Looking for an Information Security student project suggestion?
      Try http://dotcrimeManifesto.com/
  2. Just what Dell needs` by _Sexy_Pants_ · · Score: 5, Funny

    a bad*ss like Henry Rollins tearin' it up as CEO. "CUZ I'M A LIAR!"

    --
    Look it's a joke about my sig IN MY SIG! LOL!
  3. Damn. by pclminion · · Score: 4, Funny

    "Dude, you're getting a Rollins" just doesn't have the same ring to it...

    1. Re:Damn. by mcpkaaos · · Score: 4, Funny

      They could always just say...

      "Dude, you're getting rolled!"

      At least it would have a ring of truth to it. :)

      --
      It goes from God, to Jerry, to me.
  4. Re:somebody tell me why is this .... by Zonnald · · Score: 5, Funny

    As compared to ....

    You stepping down?

  5. The Dell in Dell by lewko · · Score: 4, Funny

    So if Michael Dell is stepping down and Kevin Rollins is taking over, does this mean I will soon be able to buy a PC with Rollins written on the case?

    Awesome!

    --
    Do you or your partner snore? - Visit www.snoring.com.au
    1. Re:The Dell in Dell by TheKidWho · · Score: 5, Funny

      No it will be shortened to Rolls, you can add the Royce sticker by yourself.

  6. So Much for AtAT Plot Lines... by the+pickle · · Score: 5, Funny

    He didn't even wait to copycat Steve on this one! What a shame!

    p

  7. Re:Hmm by Anonymous Coward · · Score: 5, Funny

    must have something to do with exponential growth of Lunux on desktops, which I am told is happening

    No kidding. Two years ago 1, last year there were 2, this year: 4!

  8. Re:Why? by MissMarvel · · Score: 5, Funny

    Perhaps he's interested in plumbing. Ya think?

  9. So basically no change here... by overbyj · · Score: 5, Insightful

    Someone like Dell will not go quietly into night. Even though his title is changing, nobody believes that he still won't have a profound influence over the company. It is his baby. THis will most likely be like Gates and MS. Sure, his title is different than what it used to be but he certainly still has a tremendous influence.

    --
    No trees were harmed in the composition of this; however, numerous electrons were inconvenienced.
    1. Re:So basically no change here... by nomadic · · Score: 5, Funny

      I don't know why. If I had that much money I wouldn't care what happened to my company, I'd be too busy plumbing the depths of debauchery that such money can bring.

    2. Re:So basically no change here... by tomstdenis · · Score: 5, Funny

      Good then as his first order of new business he can give me a job!

      Or do I have to move to India first?

      --
      Someday, I'll have a real sig.
    3. Re:So basically no change here... by Twisted+Mind · · Score: 5, Insightful
      If I had that much money I wouldn't care what happened to my company
      Maybe that's why you don't have that much money ;-).
      --
      (-% TwistedMind %-)
    4. Re:So basically no change here... by nomadic · · Score: 5, Funny

      If you're the kind of person who would retire after the first couple million and spend the rest of your life knee-deep in booze and cheap women, you won't ever have that kind of money

      I find that offensive. If I had that much money I wouldn't be consorting with cheap women, I'd be consorting with EXPENSIVE women.

  10. New Perspective by LacroixDP · · Score: 4, Interesting

    Dell has gone a long way in the industry and has helped computing for the masses under Michael Dell's leadership. However, I'm hopefull the new CEO will increase the declining quality of Dell's products. I believe that their cost-cutting measures have really injured their corporate following; they aren't perceived as being as high of quality as they once were.

  11. Dell Steps Down by pyrrhonist · · Score: 5, Funny

    Said Dell, "It just got to the point where I was so damn rich, It just wasn't fun any more."

    --
    Show me on the doll where his noodly appendage touched you.
    1. Re:Dell Steps Down by palutke · · Score: 4, Insightful

      That's probably not too far from the truth. At some point, I'd probably lose motivation if I had more money than I could possibly spend.

      Hell, there are days now when I don't have much motivation, and I'm just a lowly mechanical engineer.

      --
      'I ain't a liar, baby, and I ain't proud I just want what I'm not allowed.' -- Violent Femmes, 36-24-36
    2. Re:Dell Steps Down by wass · · Score: 5, Funny
      Actually, the conversation went more like this:

      Mr. Dell : I would like to step down as CEO. Here's my written statement.
      Boardroom Exec : Whoa, that's one helluva doozy, your memo doesn't look right. Are you sure the power cord is plugged in to your computer?
      Mr. Dell : Yes, this isn't a computer issue at all. I want to step down as CEO. Let's elect someone else.
      Boardroom Exec : No, that cannot be right. Okay, reboot your computer and try printing our your memo again. That should fix the problem.
      Mr. Dell : No you nitwit, I just want to resign. I know it, and I want us all to elect a new CEO.
      Boardroom Exec : Okay okay, now I know what's wrong. Before we do anything else I want you to reinstall these drivers on your computer and then give me the memo again. That should really fix the problem this time.
      Mr. Dell : Argh, I don't have time for this crap. I know what I want to do, just listen to me. I've been running the show for years, and now I know I want to leave. Let's convene a chairholder's meeting now.
      Boardroom Exec : No, we cannot do that yet. It wasn't a driver issue, so it must be the OS. Before we convene any meetings you'll have to reinstall windows on your computer so we can all make sure this is a legit memo. I'll hold as you do that .......
      Mr. DellAAARRRGGGHHHH!!!

      --

      make world, not war

    3. Re:Dell Steps Down by SnappleMaster · · Score: 4, Informative

      In a related (and 100% true) note:

      Two weeks ago I cancelled an order for a $1400 projector with Dell because that morning they send me an email saying the projector would be shipping in the middle of March. 15 minutes on hold and the call is disconnected by gremlins. Next try: 45 minutes (yes, really) on the phone and the order is cancelled. I'm a little steamed at this point about the phone time but oh well.

      Three days after that I got an email from Dell saying that the projector had shipped. I call Dell. 20 minutes (quick this time, ROFL) later I have my marching orders: "when the projector arrives just refuse delivery". Sounds good to me. I am only slightly pissed off.

      The projector arrives two days early so my "DHL: I refuse delivery of Dell's package" sign is not yet hung up on my door. DHL leaves the package on my doorstep. This is a $1400 item, shipped without "signature required". WTF? Now I am annoyed.

      The next day I call Dell. Hold time is less than 3 minutes but it still takes 30 minutes for the Customer Care chick to arrange DHL pickup at my house. At the end of the call she asks, "are you satisfied with Dell's service in this matter"? I laugh, exert all my force of will to refrain from swearing, and say "no I am not ".

      The next day the package is picked up. Finally! I assume in 2 weeks Dell will charge my VISA for the order and I'll get to do it all again.

      --
      Be happy. Nothing else matters.
  12. Re:Hmm by Reid · · Score: 5, Funny

    You won't be laughing in 20 years!

  13. Michael Dell, visonnaire??? by Anonymous Coward · · Score: 5, Insightful

    This is not a troll, really. I'm just surprised they said something sorta like "Michael will think about The Next Big Thing (tm)" when they are just a hyper-efficient marketing arm/merchandizing facade for Intel. "Dell and R&D" don't go together in my mind, contrary to "Apple and R&D" or "IBM and R&D". Dell is nothing more than a glorified Northgate (or Everex, whatever).

    No, IMO, this does not jive. Either M. Dell has other objectives (politics, maybe, I dunno) or there was some sort of back-stage coup.

    1. Re:Michael Dell, visonnaire??? by Anonymous Coward · · Score: 5, Interesting

      I once got to speak with a fairly high-up person in Dell. Our VP was keen to switch from Compaq (pre HP merger) and had known this guy for years. So I call the guy, and he asks why I preferred Compaq. One of the reasons I cited was Compaq's history of contributing technology and otherwise pushing the industry forward a little bit. His reply: "Yeah, our strategy is pretty much to let Compaq do the work and then just copy them and sell it cheaper."

      Now, this didn't really surprise me, as I've been in the industry a long time and knew that was pretty much the case. What stunned me was that he not only admitted it, but seemed proud of it. From that point on, I had yet another reason to never buy from them.

    2. Re:Michael Dell, visonnaire??? by craenor · · Score: 4, Insightful

      Actually, Dell pushes tons of research and development. It's just not done in house.

      When Dell squeezes more features into a portable, desktop, pda or server, how do you think they do it? They go to their vendors and tell them what they want a product to be able to do, then their vendors trip over themselves to develop just that very thing so Dell will buy it.

      That alone has spurred more change and inovation in the computer industry then most people would believe.

    3. Re:Michael Dell, visonnaire??? by tverbeek · · Score: 4, Insightful
      The company's technological innovation may be questionable, but Michael Dell was a visionary, in terms of the marketing and distribution of computers. Back when I was schlepping my fresh college transcript to possible employers asking for a job (Dell and I are the same age), he was taking out ads in computer trade magazines for built-to-order "PC's Limited Turbo XT" clones, sold through the mail or over the phone, with competent phone tech support and on-site service available. No storefront. No sales force. And affordable prices, because you were buying directly from the manufacturer (assembly plant, actually).

      I wish I could say that I liked the idea so much I bought the company, but all I could afford at the time was to buy one of the machines. (Heck, that's about all my current budget could afford, either.) It's how everyone does this stuff today (with order-placing over the net instead of by phone/mail), but it was considered a kinda crazy business model in the mid-1980's, and he made a go of it... and made it work.

      --
      http://alternatives.rzero.com/
  14. Dell said that research is overrated by Anonymous Coward · · Score: 4, Informative

    Dell said at Oracle conference in SF last year that SUN and HP spend too much on overrated research and development and consequently are driving the cost of their systems up even higher.

    He should be fired now.

  15. And when we say by Anonymous Coward · · Score: 5, Funny

    And when we say "sticking around as chairman of the board", we mean "snorting cocaine off the backs of hookers on his yacht".

  16. This is similar to Bill Gates stepping down... by b0r0din · · Score: 4, Insightful

    We all know who the puppetmaster is. You don't have to wear all the hats to still be the man behind the curtain. This doesn't surprise me, Dell's quality has suffered in recent months and it wouldn't surprise me if he was doing this to take some of the pressure off of himself.

    I think this is actually a very wise move by Dell, because while this is a guy who started a business on his own and became extremely good at it, I would be surprised (I honestly don't know) if he was that business school MBA who can lead a company over the long run. Plus, if Rollins messes up, he can always blame the new CEO for all the problems.

  17. No More Pay Cuts by xeon4life · · Score: 5, Interesting

    Maybe under this new leadership Dell will stop it's massive pay cuts to ensure it will have enough money for it's "10K A Day Giveaway."

    I would know. My dad is one of the best Dell's licensing sales rep in his building and went from making bank (compared to what he used to make at Circuit City) to making near $60,000. Not only was it shocking at the time, it was appalling when two days later Dell announced it's "10K A Day Giveaway," not to mention the massive payroll cuts a few weeks after that.

    --
    Real programmers can write assembly code in any language. -- Larry Wall
  18. 'Cause I'm a LIAR by VitrosChemistryAnaly · · Score: 4, Funny

    "Michael Dell is calling it quits as CEO of Dell, and has named Kevin Rollins..."

    Oh man, it'd be so much cooler if he named Henry Rollins as his successor. There would really be some ass kicking going on then...

    Dude, you're getting a fucking punch in the face!!!

    --
    "It's a tarp!" -- Dyslexic Admiral Ackbar
  19. Re:Why? by Dukael_Mikakis · · Score: 5, Interesting

    Yeah, but for many people (especially CEOs, after a while) such decisions have nothing to do with pay. Many of these CEOs work up the ladder (or establish the company, in Dell's case) put in the effort and the hours, earn hundreds of millions of dollars, and don't see any reason to continue working, even though they might make $500K, $1M.

    It says that he had softened his role previously, working on big picture issues, and all the things that are sort of fun to do and don't necessarily generate a hard product, so it probably won't change anything. Probably he just got burned out and wanted to do regattas, Larry Ellison-style.

  20. Dell & Linux anyone? by Kevin+Burtch · · Score: 4, Insightful

    Anyone know if the new guy is Linux-friendly?

    I know Dell claims to be, and pretended to try Linux on consumer systems and gave up claiming "they weren't selling"... but that was because of the systems they chose to list Linux as an option with.

    Just because we like an OS that _happens_ to be free (in both senses of the word), doesn't mean we're cheapskates!

    How many Linux users do you know who would go out and buy the bottom-of-the-line of anything?
    We go for the hotrods, bigger/better/faster/more.
    I don't care if that monster notebook weighs 8.5#, I'm not a wimp, I want the power and rediculously-high resolution screen!

    Actually - after reading an article on installing Linux on an I8600, I priced one - amazing how cheap you can get a 1920x1200 LCD notebook for these days.

    Too bad it requires the MS-tax.

    The 1st thing I'd do with it is shrink down the MS partition to as small as it goes (to keep it around to make the diag-drones happy) and install Linux on it. (just like I did with the notebook I'm typing this on, sadly only having 1400x1050 on the LCD).

    --
    - Preferences: Solaris 10 (servers), Ubuntu (desktops), Solaris 11 (personal servers) -
  21. Outsourced? by MooseByte · · Score: 5, Funny

    When I first read the headline I thought Dell had finally outsourced their CEO position.

    (No doubt to be closer to the core of the company.)

    Support top-down outsourcing!

  22. Better Linux Support??? by Supp0rtLinux · · Score: 5, Interesting

    I can only hope that Mr. Rollins has the balls to step up and start supporting Linux. Dell has always been so wishy-washy about it... especially since they are known to get the largest discounts from M$. Perhaps a new CEO will mean new life for a new millenium and we'll actually get better Linux support across more of their product line.

    BTW: anyone notice that Dell's latest snail mail ad catalog was offering RedHat? So was Gateway's.

    The only thing necessary for Micro$oft to triumph is for a few good programmers to do nothing". North County Computers

  23. Rags To Riches Story. by pandrijeczko · · Score: 4, Funny

    Only 15 years ago, Dell's new CEO was up on stage fronting his band, Dexy's Midnight Runners, dressed in faded denim dungarees and singing "Come On Eileen" and now look at him... chairman of a global computer corporation... amazing.

    --
    Gentoo Linux - another day, another USE flag.
  24. Well, duh! (was Re:Dell & Linux anyone?) by CaptKilljoy · · Score: 4, Insightful

    I'd think that the answer is obvious: Rollins will be Linux-friendly if he thinks it will make Dell more money and he won't if he doesn't.

  25. Not a big deal, really by real+gumby · · Score: 4, Insightful

    One of the reforms suggested (i.e. not enforced by any code or law) by the SEC as a response to the enron/worldcom pseudo-scandal is that the job of CEO and chairman be split. Note that Disney just did this in the hopes of deflecting some dirt.

    In the case of Dell: if your company is doing well but you want to split this job to make the Street happy, well, would you take the job that involves more work or the one that involves less? So the CEO job becomes more like a COO...and guess what? Rollins is the COO right now!

    Like other posters I doubt this implies much change for Dell the company or Dell the man.

  26. Um, wrong... by gregwbrooks · · Score: 4, Insightful
    Dell is utterly visionary and their R&D people are first-rate -- just not at developing products.

    The Dell vision has been and continues to be to enter markets just before they reach commoditization and to rapidly scale up market share by undercutting on price.

    Think they don't have R&D people? Think again -- they've got hundreds. But those hundreds are busy looking for the next market Dell can enter and dominate (think of how they entered the server market and, more recently, the PDA market).

    Just because someone spends their R&D dollars on econometric models and market research rather than trying to invent truly new products doesn't mean they're not innovating. Dell taught an entire generation of successful companies how to analyze, parse, enter and dominate markets.

    --


    "It was a summer's tale: Just a boy, his Linux, and a head full of dreams..."
  27. Ted Waitt by TheViewFromTheGround · · Score: 4, Interesting

    Ted Waitt did the same thing at Gateway three or four years ago, to pursue his interests in sexual violence prevention and equitable access to technology. Oddly enough I work on both of those, and have had the chance to meet him several times. Waitt's intelligence and money have helped in these areas, and I can only hope that Michael Dell might think about doing something similar.

    --
    Online citizen journalism from the inner city: The View From The Ground
  28. It's obvious by DigiShaman · · Score: 4, Insightful

    Mr. Dell is cashing out because he knows the PC market is TOAST!. PCs are such a commodity now days that Dell doesn't have an advantage anymore. Just look at the sub $200 PCs at Walmart! And with China and Korea quickly sucking up market share, it won't be long before you can nab a highend PC for $200.

    I'm not saying this is bad. It's just that Mr. Dell is smart and KNOWS the market is about to crumble. In fact, Dell doesn't make anything anymore, they just rebrand the laptops made by Samsung. Soon, Samsung will cut out the middle man and sell the laptops themselves.

    Also, you can forget about fixing and repairing PCs as job security. That goldmine has ran out. Why pay someone $100 just to patch up an older PC when you can get a new one for double that amount (and comes with warranty)?

    --
    Life is not for the lazy.
    1. Re:It's obvious by operagost · · Score: 5, Interesting
      Also, you can forget about fixing and repairing PCs as job security. That goldmine has ran out. Why pay someone $100 just to patch up an older PC when you can get a new one for double that amount (and comes with warranty)?
      If it has your important data on it? Of course, this means that you'll need to learn real troubleshooting and data recovery techniques, and not just be a "reboot and reformat" monkey.
      --

      Gamingmuseum.com: Give your 3D accelerator a rest.