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Dell To Sell Its Computer Factories

Anti-Globalism sends us to a Wall Street Journal for a report that Dell plans to sell its factories in an effort to revamp its production model. Quoting: "Dell's plants are still regarded as efficient at churning out desktop PCs. But within the industry, company-owned factories aren't considered the least expensive way to produce laptops, which have been the main driver of growth lately and are complex and labor-intensive to assemble. Rivals such as Hewlett-Packard Co. years ago shifted to contract manufacturers -- companies that provide production services to others -- to build their portable computers. H-P builds "less than half" of its PCs in facilities it owns, wrote Tony Prophet, H-P's senior vice president for PC supply chain, in an e-mail. Contract manufacturers can generally produce computers more cheaply because their entire operations are narrowly focused on finding efficiencies in manufacturing, as opposed to large firms like Dell, which must also balance marketing and other considerations."

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  1. Re:Quality control by Warbothong · · Score: 1, Offtopic

    Sounds like Dell really are embracing Linux. They're moving their manufacturing into a specialised daemon, doing one thing and doing it well.

    It was inevitable, since they've been treating their components as files for years (they are kept in a "notebook" afterall) :P