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startups
Twitter, Facebook Just Actively Ignoring Business Opportunities Now
Who can afford to be blasé about making money in this economy? A hot Web 2.0 startup, it turns out. More » -
badvertising
Dell Discovers Ladies Use Computers For More Than Diet Tips
In response to widespread internet backlash, Dell has revised "Della," its website marketing netbooks to women, purging it of references to calorie counting and shopping. [Jezebel] -
nerdfight
Vladimir Putin Taunts Michael Dell
Dude, Russia's not getting a Dell. That's a polite version of what Prime Minister Vladimir Putin, Russia's testy KGB agent turned autocrat, told Michael Dell in Davos. Dell's sin? After Putin delivered a fiery 40-minute sermon about the doom of the West, Dell asked if there was any way his company could help Russia with its computers. Yes, he gave a tacky sales pitch at the high-minded World Economic Forum. But he didn't deserve the tongue-lashing Putin gave him next, as reported by Fortune: "We don't need help. We are not invalids. We don't have limited mental capacity." More » -
corrections
Pro journalists flub Dell CTO's departure
This morning, I blogged that Dell had "unpublished" CTO Kevin Kettler from the company's executive staff page. Kettler had been planning to leave as part of a reorganization, but his sudden disappearance from the management headshots would indicate a food fight behind the scenes. Truth is, Dell had never put Kettler on its exec staff page. As CTO, he wasn't considered one of the suits. There's a lesson here for me: John Paczkowski, from whom I got the factoid that Kettler had been removed from the management page, can be as wrong as Valleywag when he really tries. Sorry for the error. I have only one question for Paczkowski's publisher, AllThingsD: You guys hiring? (Photo by CNET/Stephen Shankland) -
michael dell
PC maker rediscovers PC market
Wall Street types are worried because Michael Dell's company hasn't delivered the new music player that had been in the works for the holiday shopping season. The launch has been canceled, says an anonymous insider. That's the best news I've heard from Dell in a long time. Here's why. More » -
Tim the IT Guy
Dell wants employees to practice being laid off
Call it Company (Red). Michael Dell is asking employees at his computer maker to take five unpaid days off and thus help the company trim costs instead of slashing jobs. Extorting your people by suggesting they take a small hit now as opposed to a larger hit later on isn't particularly original. “We’ve seen a slowdown in spending,” says a Dell spokesbot, “but the primary reason is to ... to better position Dell for long-term competitiveness.” That makes no sense: Skimping on five days of payroll may temporarily give the company's bank account a fillip, but it doesn't change its permanent cost structure. Then again, maybe Dell's strategy is to drive away employees who are capable of doing math. -
meltdowns
After layoffs, Michael Dell brags
In a briefing with journalists, Dell CEO confirmed the completion of his company's 8,500-people layoff. He was not demonstrably saddened, as is normal founder practice when discussing layoffs. But he did point out a recent IDC report showing Dell "outpacing" the rest of the PC industry. If Dell's falling stock price is any indication, the company might be outpacing everyone to the poorhouse. (Photo by eschipul) -
software as a disservice
Microsoft, Dell agree: Windows XP is worth more than Vista
Most old software gets remaindered to the bargain bins. Not Windows XP, however. In June, Dell wangled a deal with Microsoft to let it install the older operating system for customers who didn't want Vista. In June, the companies charged $50 extra. According to this order page, XP now costs an extra $99 — on top of the cost of Windows Vista, which is baked into the basic price for the computer. Here's the full order page: More » -
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great moments in journalism
New York Times reporter says he's an unwitting Dell shill
Marc Santora, the New York Times reporter who appears in ads for Dell's DigitalNomads site, says he received no compensation for the ad, which came from an interview Santora did for Big Think, a website backed by Facebook investor Peter Thiel. What appears to have happened: Dell or its ad agency, Federated Media, created the ad for Dell's DigitalNomads, using a clip from Santora's Big Think video. In a comment, Big Think cofounder Peter Hopkins says that Dell is a sponsor of his site, but the ad does not mention Big Think. (The Big Think interview was also published to YouTube, and DigitalNomads' producers embedded the clip in a blog post.) From what Santora's saying, no one asked him or the Times for permission to run the endorsement. If so, Dell could be in rather big trouble — and not just with the Times. More » -
Cash Is King
The 10 richest tech companies
Where's the debt crisis in Silicon Valley? The knock-on effects are all too real, but frozen credit markets have had little direct effect on business operations, aside from possibly scotching the debt-fueled sales of Alltel and Nextel. That's because technology companies are run by paranoid sorts who like to keep large cash reserves, in case some upstart renders their market obsolete. In good times, activist shareholders whinged about their parsimonious habits, but the cash hoarders are now sitting pretty — and could be set for acquisition binges. More » -
great moments in journalism
New York Times reporter shills for Dell site
Why is Marc Santora, a respected war correspondent for the New York Times, appearing in ads chattering about mobile technology? Click on the ad, running on sites like VentureBeat, and you're taken to a site, DigitalNomads, which appears to be a collection of blog-filler pablum about the wonders of the wireless Internet. Buried at the bottom is a tiny disclaimer: "Powered by Dell." Dig under the ad-placement code, and you'll see that the ad is sold by Federated Media, John Battelle's online-ad network. Battelle's outfit grew infamous last summer for getting some of the bloggers for whom he sells ads to recite a sponsor's slogan. That last time, it was Microsoft. More » -
breakdowns
Lehman Brothers spent $309M on IT last quarter
Pride cometh before the fall, with Lehman Brothers having spent $309 million on information technology infrastructure in the quarter before the venerable financial firm went belly-up, which was up from $282 million the previous quarter. The company spent $1.1 billion on IT in 2007. Projects included a system for the London Stock Exchange to create an anonymous, automated way for traders to do business (which, in the wake of the United Airlines share price debacle, sounds like a fantastic idea). While the relevant divisions can be split off and sold (and the IT grunts are still hard at work), as more banks fail, selling IT equipment to financial firms doesn't look it's going to be a growth business for some time to come. More » -
meltdown
Dell sales, stock price slipping
"The company is seeing further softening in global end-user demand in the current quarter," a Dell spokesperson told Reuters on Tuesday. The news had company shares down over 10 percent an hour after this morning's market open. In August, Dell posted poor profits and said it planned to cut 8,500 jobs. Earlier this month it announced it would begin selling factories in China, Malaysia and Brazil. -
startups
New Dell infomercial reality show premieres on A&E
"We Mean Business" is a new reality show that debuted on cable channel A&E over the weekend. Though "reality show" is somewhat of a misnomer. As the clip above makes clear, it's really just one long infomercial for its biggest sponsor, Dell. It stars former “Apprentice” winner Bill Rancic, who these days serve as celebrity non-chef Rachael Ray's "financial buddy"! Rancic is accompanied by a stereotypically flamboyant interior designer and a sexy-librarian-looking computer whiz. The implication: Dell is funding the fantasy that business problems can be fixed with glib advice from a self-appointed business expert, some new computers, and better-designed offices. If that were true, wouldn't we see more successful startups out of San Francisco? -
domain names
35 percent of biggest companies own ____sucks.com
A study of Fortune 500 and other companies found that one in three have bought the name, say, walmartsucks.com. But corporate attitudes toward hate sites vary widely between, say, Dell and Xerox: More » -
hardware
Dell to sell factories worldwide
Insiders have blabbed to the Wall Street Journal that Dell "has approached contract computer manufacturers with offers to sell ... its computer factories." Founder Michael Dell is a Texan, not a Valley guy. But he did build a $1,000 investment into the world's biggest PC maker, starting from his college dorm in 1984. Shedding its factories would be a huge change for Dell, which made its name on build-to-order sales. Why would Dell dump its plants? More » -
dell
Dell hopes the telephone company will buy computers for you
A Citigroup analyst says "netbooks" — cheap mininotebook computers like the Asus Eee — will make up a third of all notebook sales in the future, and the majority of sales in developing nations. Michael Dell pitched his company's NetBook product line as something telcos could offer to customers for free, subsidizing the hardware with monthly subscription fees. [ZDNet] -
copyfight
Dell can't have cloud computing
Michael Dell will not get paid every time you say "cloud computing." The U.S. Patent and Trademark Office has finally shut down Dell's attempt to trademark the phrase "cloud computing" late last week. Earlier in the week, the USPTO reversed a decision letting Dell proceed with its trademark request. [The Register] -
hardware
Former PC World chief: Macs no more expensive than PCs
"A MacBook is in the same ballpark as a roughly similar Dell or HP, and less than a Sony." That's the conclusion of Technologizer editor Harry McCracken, after running the numbers several different ways on competing notebooks. The MacBook didn't win most hardware categories, but it came out well-rounded, with superior warranty service and media software. McCracken, until recently the editor in chief of PC World, was infamous among local tech journalists for toting Apple laptops to work. -
copyfight
Dell still wants to get paid every time you say "cloud computing"
Dell's recent attempt to register the term "cloud computing" as a trademark has taken on one small hitch. The U.S. Patent and Trademark Office recently reversed its decision to grant a "Notice of Allowance" — a written notification that a specific mark has survived the opposition period following publication — and is reviewing Dell's request once more. Maybe Dell will have better luck selling its MP3 players. [Sam Johnston] -
copyfight
Dell trademarks cloud computing
The PC megamaker quietly obtained trademark protection last month for the term "cloud computing." U.S. law says that as soon as Dell begins using the term, it owns the trademark and can force other companies to stop using it. But realistically, would you try to sell "cloud computing" to Wal-mart shoppers? Dell's move will probably backfire by forcing other companies to come up with a more appealing term for the technology. Everybody wins! -
Great Moments in Analysm
Analyst Rob Enderle does it without disclosure
Rob Enderle is an "analyst," which means that his column at TechNewsWorld runs under an "Opinion" banner, the accompanying photograph is years out of date and he doesn't bother to tell readers that he counts Dell hired him to consult on the company's new MP3 player project that he writes so glowingly about. Even the "analysts" at TechCrunch have figured out that whole "disclosure" thing by now. [MacUser] -
clips
Michael Dell's succession plan: "Stay away from trucks"
Apple CEO Steve Jobs would have you believe his health is a private matter, but in this clip Michael Dell, the eponymous founder of the PC churner-outer, tells reporters otherwise. More » -
feature
Dell and Sony discover gold in the old
A relentless neophilia is Silicon Valley's signature characteristic. One must have a new iPhone, a new Twitter, a new electric car. You're either in beta or in the grave. That's why I'm intrigued by two decisions by Dell and Sony. Dell has figured out a way to wriggle around Microsoft's licensing rules and still sell its discontinued Windows XP operating system. Sony, meanwhile, is profitably selling its nine-year-old PlayStation 2 videogame console in markets like India. This just isn't done. More » -
wpp
Dell, far too late, trims ad-agency roster down to one
Why is Dell taking a beating from HP? One reason may be that it didn't apply its vaunted supply-chain techniques to its marketing. Before asking WPP to create a single-client ad agency just for Dell, the PC maker worked with 800 advertising agencies around the world. [News.com] -
dell
Dell names new CFO
Dell replaced departing CFO Don Carty with Brian Gladden, former CEO of a plastics company. Carty is the third exec in recent weeks to leave Dell as its founder Michael Dell, recently returned to the CEO role, cuts payroll costs in an effort to turn around the company. Carty, a Dell board member who stepped in after a former CFO quit in late 2006, is also the chairman of Virgin America. [WSJ] -
acquisitions
HP moving to acquire EDS in $12 billion-plus deal
The Wall Street Journal is reporting that Hewlett-Packard is nearing a deal to buy EDS for $12 billion to $13 billion. Having set Dell back on its heels in PC sales, HP is now moving to challenge IBM. As computers become commodities, the money is in installing and maintaining them, not marking up Intel's microprocessors and Microsoft's operating system for a thin margin. One wonders if Michael Dell is gutsy enough to launch a rival bid — or, with HP now worth three times as much as Dell, if he can really afford to. -
apple
Intel lets Jobs play with its chips early, makes the other PC kids watch
Apple updated its iMacs today with a new processor from Intel that's not supposed to be available for another 45 days yet. It's not the first time Intel gave Steve Jobs first dibs. A year ago, new iMacs came out with an Intel 3.0-GHz quad-core processor that HP and Dell had to wait on. -
apple
Salesforce to become an all-Mac shop
Customer relationship management software shop Salesforce's contract with Dell is about to run out, and the company has decided not to renew it. Instead, the company will be outfitting everyone one of their 4,000 employees with a brand new Macintosh, according to an anonymous tipster cited by Alex Curylo. The tipster explains:And why, you ask, Security! The resources it takes to defend against all the stuff the baddies throw at a PC, it's just cheaper/easier to pay a few bucks more for a Mac and not have any of those issues.
While that excuse makes some rational sense, I'm thinking there's also some regional chauvinism at work with Salesforce's earlier move to publicly side with Google — in other words, score another point for Team Valley against Team Redmond. (Photo by Andrew) -
layoffs
Your pink slip is here
Dell will lay off more than the 8,800 employees it originally estimated last year, CEO Michael Dell told analysts. Since last year, the company has fired 3,200. Another 900 will go with the impending closure of an Austin, Texas factory. [WSJ] -
layoffs
Dell lays off 900 as it closes once-groundbreaking PC factory
Dell is closing its Austin, Texas manufacturing plant, once hailed as a miracle of modern manufacturing, and will fire up to 900 employees. The computer maker is looking to save $3 billion over the next three years and views the firings as a "opportunity to drive both productivity and efficiency." Dell announced last year that it wanted to cut 8,800 jobs or 10 percent of its workforce. So far, the company has laid off more than 3,000 workers. Which serves as a reminder: For the 250, April 1 is a big joke; for working stiffs who actually make technology and have to hit their numbers, it's the deadly serious start of the second quarter. (Photo by Michael Kanellos/News.com) -
earnings
Dell's profit declined 6.5 percent to $679 million. Restructuring and other charges hurt the computer maker's bottom line. Revenue climbed 10 percent to $16 billion. The company, which has been struggling to reshape itself in the cutthroat computer market, warned future results could suffer as it incurs more restructuring costs and copes with "conservative spending" by customers. [WSJ] -
the chart
2008 has not been kind to tech stocks, especially the Valley's leading lights.
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conflicts of interest
Michael Dell wants to buy his little brother's start-up, awww
Michael Dell is adding one more bronco to his stable, email backup service MessageOne. The company is ho-hum — boring enterprise software; the founder, not so much. That's because his last name is also Dell. As in Adam Dell, Michael's younger brother. That's not the only part of this deal that's staying in the family: The $155 million addition will kick $12 million back to Michael, who invested in MessageOne. He says his profits will go to charity. Adam will walk away with $1 million, and the brother's parents, another $500,000. -
hardware
Dude, you're not getting a Dell ... with an AMD chip
Dell has stopped selling almost all consumer PCs with AMD processors in favor of chips from Intel. It will continue to sell AMD machines over the phone and through retail partners like Wal-Mart, but since much of Dell's computer sales are through its website, this is a serious blow to AMD. Dell spokesman David Frink did not give any reasoning behind the switch, but said "we adjust our product offerings frequently." A posting on the Direct2Dell blog said "we are committed to the AMD product lines as a long-term partner to provide the maximum choice for our customers." Translation: Intel gave Dell a better deal. AMD shareholders were not impressed with the switch: AMD was off almost 3.5 percent on the day. (Photo by AP/Paul Sakuma) -
advertising
Tech ads from the Super Bowl
While none of these can match the drama of Apple's 1984 ad — or the actual football game — a few of this year's crop of tech ads made me laugh. Check out these clips from Dell, GoDaddy.com, Cars.com, CareerBuilder, E-Trade and more. More » -
retail
Dude, you're not getting a Dell ... at the mall
Dell is closing its 140 mall kiosks to focus on sales through major retailers like Best Buy, Wal-Mart and Staples, all of which Dell has made deals with in the past few months. The kiosks will be be mostly closed within a few days, though Dell kiosks abroad will remain open. More » -
100-word version
Tom Perkins on how Tom Perkins turned around HP
BusinessWeek's Spencer Ante has another interview outtake with former Hewlett-Packard board member and Kleiner Perkins cofounder Tom Perkins. In it, Perkins explains how he helped turn around HP. Here's the 100-word version of the harrowing tale of board committees, patent policies and microprocessors oh my! More » -
politics
Immigration limits spur Hindu god's popularity
The U.S. government's cap on how many educated immigrants can come and work for companies like Google, Microsoft and Dell continues to spur the economy. Just not ours. But business couldn't be better at the Chilkur Balaji temple on the outskirts of Hyderabad, India, reports the Wall Street Journal. That's where some 100,000 visitors a week flock to pray before Lord Balaji, known as the "Visa God." More » -
forecasts
Valleywag's 25 predictions for 2008
Valleywag is of course known for its dead-on accuracy, so our predictions for 2008 need no introduction. Inside, my 25 predictions (made without inside information) cover the futures of Facebook, Google, Digg, YouTube, Twitter, the Wall Street Journal, Apple, Yahoo, Gawker Media, AOL, Dell, LOLcats, the president, and more. More »




























