Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: kemble s. matter who wrote (172041)	1/7/2003 2:05:38 PM
From: calgal	Read Replies (2) \| Respond to of 176387

3Com says can meet competitive threat posed by Dell Tuesday January 7, 12:15 pm ET URL:http://biz.yahoo.com/rc/030107/tech_3com_dell_1.html NEW YORK, Jan 7 (Reuters) - Network gear maker 3Com Corp. (NasdaqNM:COMS - News) on Tuesday said it can withstand the competitive threat posed by Dell Computer Corp.'s (NasdaqNM:DELL - News) entry into the market for machines used to direct Internet traffic. But Mark Slaven, chief financial officer of Santa Clara, California-based 3Com, said Dell, best known as an online seller of personal computers, "has to be taken seriously," particularly in the low end of the market. Dell, the No. 1 PC maker, has already begun to hit the marketplace with its own networking gear, driving down prices. "Clearly they have the name and they are a tier one company, but they are by no means a tier one networking provider, and I am not sure that they ever will be," he said after a presentation at a Morgan Stanley conference in Scottsdale, Arizona, broadcast over the Internet. "They can make some noise at the low end," he added. "We believe that because of our focus on cost...and our expertise in network solutions, which is a lot different than PC solutions, that we can compete very effectively at the low end with Dell." Experts have said that Dell's model, which employs direct sales and low cost manufacturing, could hurt the profit margins of networking king Cisco Systems Inc.(NasdaqNM:CSCO - News), and threatens smaller switch makers such as 3Com, and Extreme Networks Inc. (NasdaqNM:EXTR - News) Both 3Com and Cisco last year terminated reseller agreements with Dell. "They weren't moving a substantial amount of product anyway," Slaven said. Still, Dell's entry has already had at least a mild effect on 3Com's business, according to one customer who told Reuters he picked Dell's products over 3Com. "It basically came down to price and the fact that 3Com was not flexible in negotiations," said Jerry Powers, technical services manager for the Ohio-based division of Honey Baked Ham Co. "For what we needed for our stores, the Dell switch fit perfectly." He added that 3Com came back and matched Dell's lower prices after he had closed the deal with Dell. Dell had sold some 100,000 switches through November, according to analysts' estimates. They put Dell's market share at about 1 per cent.

To: kemble s. matter who wrote (172041)	1/7/2003 2:11:16 PM
From: calgal	Read Replies (1) \| Respond to of 176387

Dell puts DSL in PC packages URL:http://news.com.com/2100-1033-979333.html By Ben Charny Staff Writer, CNET News.com January 6, 2003, 2:14 PM PT Dell Computer has begun selling broadband services from the top two U.S. providers of DSL (digital subscriber line) Internet access, the company will announce on Tuesday. The PC reseller is offering various high-speed Internet access plans from SBC Communications, the leader in U.S. sales of DSL services, and from second-place rival Verizon Communications, said Kurt Kirsch, director of home sales at Dell. The broadband services are being sold directly to Dell customers who buy new PCs, he said. In addition, the PC company is reselling Web subscriptions offered by BellSouth, the third-biggest U.S. DSL provider. Dell will join computer makers Gateway and Compaq in reselling high-speed Web services directly to customers. "More and more computer buyers see DSL as a necessary service," said Verizon spokeswoman Briana Gowing. Dell is the first PC company to resell DSL service from the top two U.S. providers simultaneously, she added. PC companies such as Dell are trying to latch onto a growth in broadband subscriptions to boost sales of personal computers. The PC market has been hit by a slumping economy that has forced corporations--among the biggest computer buyers--to limit their information technology spending. In addition, consumers have opted to buy other kinds of electronics devices instead of replacing their PCs. Broadband services could provide a lifeline to PC companies. The number of DSL customers worldwide grew at an unprecedented rate from July through September 2002, according to a recent survey from the DSL Forum. More than 5 million people worldwide signed up for DSL service between July 1 and Sept. 30, 2002, an increase of nearly 20 percent over the previous three-month period, according to the survey, which was released last month. SBC, Verizon and BellSouth are expected to introduce rebates or discounts on subscriptions that are meant just for Dell customers. However, details of program pricing were not available Monday.