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> DELL to lay off 15000 workers

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SUSchokia
post Feb 4 2014, 12:39 PM

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I like this comment on zdnet

QUOTE
Too many smart people that don't know anything

..but are always willing to comment.

Dell has never been a computer company. They are a sales and logistics company. Their value and growth was fueled by supply chain (ie buying cheap parts and putting them in a Dell case). It was good for consumers, but they essentially drove all value and profit out of the product are victims of their own success. They did they same thing with x86 servers.

Consumer is basically dead and Dell, like many companies, is transitioning to a B2B focus. Dell has bought a bunch of companies that focus on the Enterprise market (Data Storage, software, etc) to pursue this goal. (BTW, they had to buy them as Dell has never made anything other than Dell stickers. They are an assembler and then outsourced laptop mfg to an ODM in China)
Anyway, consumer PC sales is labor intensive so the focus on Enterprise will require less headcount and different skills sets. Look for huge layoffs in Consumer and client computing divisions and then hiring in other positions to support the new B2B focus.


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