Dell Computer's CEO Says 1st-Quarter Sales `Strong'
Hi Kemble! Good News for Dell! :)Leigh
Lake Tahoe, California, May 1 (Bloomberg) -- Dell Computer Corp. Chairman Michael Dell said sales at the No. 1 direct seller of personal computers were robust in the quarter ended Friday.
``Business is strong,'' Dell said in an interview at the Venture 2000 Conference in Lake Tahoe, California, sponsored by Red Herring magazine. He declined to elaborate. Dell Computer is scheduled to release fiscal first-quarter earnings May 11.
Like other PC makers, Dell's sales slowed in late 1999 and early this year as companies delayed computer purchases because of concerns the machines would have trouble recognizing the Year 2000 date change. Those sales began to pick up again in March.
Asia remains one of Dell's fastest-growing markets, Michael Dell said. Sales in the region grew 56 percent in the last fiscal year.
``We're very intrigued by the opportunities we see in Asia,'' he said. ``Our business is booming there.''
Michael Dell said the company plans to introduce an Internet appliance for corporate customers, though he declined to specify when.
``We will continue to have an array of new products,'' he said.
Last fall, the company began selling the Web PC, a machine designed for consumers who primarily want to access the Internet. Dell rival Compaq Computer Corp. in November announced its iPaq, a corporate appliance that sells for about $600.
Dell Ventures
Separately, Dell said the Round Rock, Texas-based company is generating about $1 billion in cash every quarter, some of which is being invested through its Dell Ventures unit, the company's investment arm.
Tom Meredith, who recently stepped down as Dell's chief financial officer to run Dell Ventures, is forming an incubator that will invest in early-stage companies. Dell's incubator will complement Dell Ventures' current investments in mid- to late- stage private companies.
Dell Ventures has made about 90 investments for a total of $700 million since it was formed in April 1999. The division focuses on companies that develop Internet equipment and services.
Dell shares rose 15/16 to 51 1/16 on the Nasdaq Stock Market. The stock is little changed this year.
May/01/2000 16:41
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