Dell to stick to PCs
October 12, 1999
Dell Computer Corp., the No. 1 seller of personal computers directly to customers, says it will stick to its strengths despite Wall Street pressure to vigorously branch into areas such as computer services.
While Dell’s financial results are among the strongest in the computer industry, its stock price has fallen 16 percent since early this year in part due to investor concerns that tumbling PC prices will slow galloping revenues and profits.
But Dell chief executive Michael Dell said Monday that computer services, or helping corporate customers set up and maintain their computer networks, will remain an adjunct and not a substitute for Dell’s main business of selling hardware.