Dell to step up growth in China's enterprise server market
The Texas-based firm wants to strengthen its dominant position in this growing sector despite facing competition from rival Lenovo
Computer maker Dell plans to bolster its lead in the mainland's growing market for enterprise servers, despite efforts by rival Lenovo to expand operations in that niche over the next few years.
The privatisation of Texas-based company Dell, which is the world's third-largest personal computer supplier behind Lenovo and Hewlett-Packard, is also expected "to accelerate development of its capabilities in the market", Philip Davis, the Asia-Pacific vice-president for Dell's enterprise solutions business, told the South China Morning Post yesterday.
Founder Michael Dell and technology investment firm Silver Lake Partners last week received all regulatory clearances for their US$25 billion buyout deal, which is expected to close by the end of this month.
We plan to … focus on the entrepreneurial spirit that made Dell … successful
Dell, the chairman and chief executive of his namesake company, had earlier said: "We plan to go back to our roots, focusing on the entrepreneurial spirit that made Dell one of the fastest-growing and most successful companies in history."
The company's "Greater China" operations, which include Hong Kong and Taiwan, employ about 9,000 staff. It plans to add about 100 new sales and marketing personnel this fourth quarter to meet further expansion into the mainland's tier-four to tier-six cities.
"We're adding significant sales capacity to go after what we call preferred accounts, or mid-market companies, as we cover more of the mainland's lower-tier cities," Davis said.
The government has estimated that there are about 40 million small and medium-sized enterprises on the mainland.