Larry and ALL.. More DELL fuel.......
Dell servers spark strong Europe growth
Reuters Story - August 21, 1997 06:38
FRANKFURT, Aug 21 (Reuter) - Dell Computer Corp said on Thursday soaring server sales powered a 42 percent rise in European sales to $620 million in its fiscal second quarter, despite the effects of the strong dollar in two key markets. In Germany and France, sales in the three months ending August 3 rose more than 60 percent in local currency terms, but the strength of the U.S. currency trimmed that to 46 percent in dollar terms, Hans-Juergen Mammitzsch, head of Dell Computer GmbH, told Reuters. Sales in Britain rose 37 percent, but were less affected by exchange rates because the pound has remained strong against the dollar, he said before a news conference. "Our direct business model is winning acceptance in Europe," Mammitzsch said. "We are not dependent on the market for growth." Dell on Wednesday reported second-quarter net profit rose 108 percent to $214 million as worldwide sales climbed 67 percent to $2.8 billion. In Europe, Dell outstripped market growth rates in all segments of the personal computer industry, the company said, using figures from market researcher International Data Corp (IDC). In the second quarter of the calendar year, Dell's desktop PC sales in Europe rose 43 percent in unit terms, while the desktop market in the region rose 10.6 percent, according to IDC figures. Dell sales of servers -- computers that distribute information to "clients" on a network -- soared 244 percent, versus European market growth of 35 percent. In portable "laptop" PCs, Dell's unit sales climbed 73 percent, compared to 14 percent market growth in the April-June period, IDC said. Dell controlled 5.7 percent of the total European PC market, ranking fourth behind Compaq Computer Corp. , IBM Corp. and Hewlett-Packard Co. . It was fifth in servers with a 6.5 percent share, ninth in desktops with 5.8 percent and eighth in portables with 5.3 percent, according to IDC. Mammitzsch said a line of workstations that began shipping this month would help the company maintain its rapid pace. Workstations combining Intel Corp.'s Pentium II processors with Microsoft Corp.'s Windows NT operating system were rapidly taking sales away from high-powered machines built around proprietary chips and versions of the Unix software. According to IDC, sales of Intel-based windows NT workstations were poised to rise 42 percent annually over the next four years, and had the potential to become an even larger segment than servers. Workstations are powerful computers used to run complex financial, scientific and engineering programmes. "We see the possibility to grow very strongly through the year 2000," Mammitzsch said. "It shouldn't be a problem for us to keep growing."
Good luck to all Phil k. |