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Dell's Marketshare Decline Due to Intel?

Posted by ryuzaki0 on from the jump-ship dept.

timeOday writes "News.com reports that Dell's PC sales are growing more slowly than the overall PC market for the first time on record. Gartner's Charles Smulders blames Dell's decline on their allegiance to Intel, and cites Hewlett Packard's embrace of AMD as a key to their growing sales. Can Dell continue to shun AMD, or is a breakthrough imminent for the #2 chipmaker?"

2 of 275 comments (clear)

  1. Marketing Failure by Penguinoflight · · Score: 4, Interesting

    The problem here is Intel doesn't have a processor that the public views as solid and powerful. They have a processor that fits that description (dual core mobile), but they try to push P4s at people instead.

    Dell is only failing because they expect Intel to do all their work for them. If they want people to get back on board they'll have to convince them that their systems perform well.

    Their models are so unlinked to the processors that they carry that this will be a disaster for dell to handle simply because they have a stupid branding scheme. Moving to AMD wont help dell, but solidifying their position will.

    This whole summary is based on a false premise. I for one think it's absolutely absurd to suggest that following Hewlett Packard's business plan is a good idea. If you do that everyone will just think you're the other HP.

    --
    "And we have seen and do testify that the Father sent the Son to be the Savior of the World"
    1 John 4:14
  2. Has their reputation has caught up with them? by BadAnalogyGuy · · Score: 5, Interesting

    Dell has long been the leader because they have been able to ship easily configurable PCs quickly and dependably to their customers. Now anyone can do that. They used to offer premium discounts on their PCs. Now anyone can do that.

    Dell has always used very marginal hardware in several levels of their lineup. Perhaps this is what has caught up with them. Another company who used to sell well until their reputation caught up with them was Packard Bell. If you keep shipping inferior product, at some point you will get called on it.

    Now, does it hurt that they need to keep prices high in order to offer genuine Intel Inside PCs? You bet. But that's just a straw on the camel's back. It was the heavy load that broke the camel in the first place.