Dell wants to buy supplemental PC and server business

Source: Internet
Author: User
Keywords Acquisitions Dell
Tags .mall analysts expect business company continue cost market research pc shipments
Dell founder and CEO Michael Dell Science and technology Beijing time December 12 Morning news, Dell founder and CEO of The Dell (Michael) in Tuesday at the "World" conference, said the company since 2009, has spent 12.7 billion dollars to complete 18 acquisitions, Focus on small-and medium-scale transactions, adding tools for PC and server business. Dell's acquisition cost is $5 billion trillion this year and will continue to buy companies that provide systems management, security technology and virtualization services, Michael Dell said. "We found that some of the companies that were acquired performed well. Michael Dell said. The company will also continue to make "organic" investments in technology. Dell is moving from a PC vendor to a more lucrative server, business software and storage and network equipment provider, but the PC still contributes more than half of its revenue to the company. Analysts expect Dell's gross profit to fall slightly from 22.3% a year ago to 22.1% in the fiscal year up to next January. The company's revenues and profits are also falling. Analysts expect the company to fall 8.5% to 56.8 billion dollars in revenue this fiscal year, excluding some items that could shrink to $1.71 per share. Global PC sales in the third quarter were suppressed as companies hesitated to upgrade their PCs and consumers turned to mobile devices like smartphones and tablets. Global PC shipments fell 8.3% per cent year-on-year in the third quarter of this year, according to Gartner, a market research firm. But market research firm ISUPPLI expects that this year's PC shipments will be the first annual decline since 2001. To diversify, Dell has acquired the data center management company Quest Software, the computer network company FORCE10 NX and the data storage company Compellent Technologies. In a conference call last month, Dell said the company's cash and investment balances were $14.2 billion trillion as of the third quarter. John Swainson, president of Dell's software division, said the company plans to continue a merger similar to that of Gale Technologies, which has annual sales of about 20 million to 30 million John Swainsen. Dell's share price rose slightly, by 0.37% in Tuesday, to $10.67 in the Nasdaq conventional trading. The unit has fallen 27% per cent this year, but its share price rose 11% this month, boosted by Bill Shope, Goldman Sachs analyst Shaop. SHAOP bullish on Dell's net cash position and the prospect of Mairk Dale's overweight, and even thought it might trigger a leveraged takeover. (PEI)

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