SEC Investigation of Dell’s Finances Intensifies

A ~50% fall in net profit, and a US Securities and Exchange Commission (SEC) investigation is usually more than enough to make a corporate executive quake in his/her shoes. But it seems the Powers That Be aren’t done with Dell’s management just yet.

According to a BusinessWeek feature, Dell recently reported that the federal probe of its finances had widened, and it would not only drop a proposed stock buyback plan but also delay filing quarterly documents with the SEC.

But that ain’t all, so I suggest giving the BW feature a run through if you have some time to spare. Of course, that’s if you haven’t been burnt out by the recent deluge of “Dell’s in trouble” reports.

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September 14th, 2006 @ 02:33 AM • Filed under Corporate, News, Precision

Dell’s American Consumer Satisfaction Index Results Rise 5.4%

University of Michigan’s American Consumer Satisfaction Index (ACSI) results were released last week, and they point to a 5.4% increase in Dell’s consumer satisfaction scores since last year. This is against an increase of only 2.5% for Apple (though Apple’s scores are still 5 points higher than Dell’s).

This is certainly the way to go for Dell, and is definitely a good follow-up to Dell’s B+ score in the recent Laptop Magazine tech. support investigation.

[News via Direct2Dell]

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August 23rd, 2006 @ 12:44 AM • Filed under Corporate, News

Dell’s Net Profit Drops 50% with SEC Investigation In the Works

Dell recently announced a heavy ~50% fall in net profit, which though significant, is only “slightly” greater than the 30% it forecasted internally and within the average forecasts of most analysts. This fall is attributed to greater competitive pressures and “more aggresive pricing in a slowing market”.

More worryingly (at least to the stock market) is news of an informal SEC investigation on how Dell’s handles its accounting. Further details on the investigation have not been revealed.

These two pieces of news come in the wake of a large-scale battery recall involving 4.1 million Sony-manufactured notebook batteries - though somewhat compensated by news that Dell could possibly begin pumping out AMD-based notebooks by Q4.

[News via Reuters]

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August 22nd, 2006 @ 10:31 AM • Filed under Corporate, News

Michael Dell Walks Down Memory Lane

CNET Australia recently got a chance to sit down with Dell founder, Michael Dell, for an interview, and here’s the resulting transcript.

Among the issues posed to the founder of the World No. 1 PC vendor were his early experiences with PCs, his decision to start Dell Corp., and the future potential of both Dell and the PC market in general.

Give it a look.

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August 17th, 2006 @ 08:31 AM • Filed under Corporate, Misc., News, Reviews

Saving Dell

Dell has experienced problem after problem, even as it attempts to redeem itself in the eyes of customers, analysts and investors. In the past year alone, its stock has fallen nearly 45% to around US$22 in the wake of heavy competition from its rejuvenated arch-nemesis, Hewlett-Packard, and lower cost rivals, such as Acer.

It’s not that Dell hasn’t tried to do anything. Not only has it attempted to improve service (whether its $100 million investment in service or improved server support), it has also tried to “connect” to its customers through a new corporate weblog. Add in a simpler pricing system and a move away from its dependence on budget PCs, and you have a full range of moves to counter their decline.

Some believe that it will take more than just this to save Dell though. According to thebusinessonline.com, it’ll have to restructure its overall line of thought by not denying problems and freshening its operating model. Pushing the boundaries in design is another suggested move, though of a more micro-level if compared to the prior two suggestions.

We here believe that it’s far too early to write off the World No.1 PC manufacturer (and No. 2 in servers), especially given its strong moves in the early adopter market and attempt to bring in just a bit more retail into their direct selling model. But only time will tell whether the giant will triumph again.

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August 13th, 2006 @ 03:29 AM • Filed under Corporate, News

Dell Computers Deemed Environmentally Preferable

The U.S. Environmental Protection Agency (EPA) recently released their initial list of 60 computer products deemed environmentally preferable. The products all came from 3 manufacturers, Dell, Hewlett-Packard and CTL Corp., and were either desktops, notebooks or monitors.

The list was part of the EPA’s Electronic Product Environmental Assessment Tool (EPEAT) database, and will allow high-volume customers, such as universities, to consider environmental performance when making their purchasing decisions.

For laymen, this means that Dell and Co. will be getting some nifty preference from big customers being pressed to be “environmentally-friendly”.

[News via Waste News]

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August 5th, 2006 @ 04:14 AM • Filed under Corporate, Desktops, Monitors, News, Notebooks

AMD-Dell Notebooks to Launch in Q4?

Ever since Dell hooked up with AMD server-wise, the market has been buzzing with speculation on whether Dell with extend their partnership further. Last month, some signal rose from all the noise, with sources claiming that AMD-based Dell desktops would be appearing by September this year.

Just a few days back, this extended a bit further with sources now claiming that AMD-based notebooks will be launched by the World No. 1 PC manufacturer in the fourth quarter of this year.

Believe it or not, this is definitely good news for Dell, though it does spell more trouble for Intel - which only recently went one up on AMD by launching its fastest consumer microprocessor yet, the Intel Core 2 Duo.

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August 4th, 2006 @ 03:57 AM • Filed under Corporate, News, Notebooks

Dell’s First Store Opens

Dell’s first store (you know, one of the two that captured everyone’s attention two months back) opened a couple of days back in Dallas’ NorthPark Center.

For those who have forgotten, while the stores contain sample products for consumer viewing, they do not contain inventory. All purchases will have to made through phone or internet within or outside the store.

The second of the two stores will open later this year at New York’s Palisades Center.

[News via KRISTV.com]

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July 26th, 2006 @ 10:57 AM • Filed under Corporate, News

Dell in $24 Million Tax Scandal

“Oops…” That’s what Dell claims to have happened when it was discovered to have overcharged 470,000 of its customers in Washington State, USA by US$24 million in sales taxes.

What happened was that the World No. 1 PC vendor charged sales tax on warranties (or rather, extended warranties) - services where sales tax does not apply.

Dell was ordered by the court to repay the $24 million to its customers, but this is probably just the tip of the iceberg considering that the class action suits in other US states have yet to conclude.

FYI, this is at least the second time this month that Dell has been charged with ripping of its customers. It was reprimanded on charges of misleading advertising earlier this month.

[News via The Inquirer]

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July 24th, 2006 @ 05:01 AM • Filed under Corporate, News

Another Best Brands Poll, With Dell No. 2

If the previous survey by TechnoMetrica wasn’t enough, here’s another Best Brands in the US poll, this time by Harris Interactive. Their verdict (or rather, that of the 2,351 American adults asked): Dell No. 2, with Sony topping the list for the seventh year in a row.

This result means Dell retains the No. 2 position it gained last year (from No. 3 in 2004).

[News via Harris Interactive]

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July 18th, 2006 @ 10:14 AM • Filed under Corporate, News
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