Posted on 05/31/2007 2:16:17 PM PDT by Zakeet
Dell Inc. said Thursday that earnings fell slightly in preliminary first-quarter results, but the computer maker planned to lay off more than 8,000 employees over the next year as part of an ongoing restructuring.
Dell said it earned $759 million, or 34 cents per share, in the three months ended May 4. That compared with $762 million, or 33 cents per share, in the year-ago period.
First-quarter sales rose nearly 1 percent from the year ago period to $14.6 billion.
[Snip]
The layoffs, which represent 10 percent of Dell's global work force of 88,100 full time and part-time employees, come as Dell struggles to regain market share after Hewlett-Packard Co. ousted it from the top spot in worldwide computer shipments last year.
In the first quarter, HP kept its lead over Dell with about 4 percent more shipments, according to tech research firms IDC and Gartner Inc.
As part of an ongoing turnaround effort led by Michael Dell, the company has undergone an executive shake up and numerous other changes to improve customer service and reclaim market share.
The company said it was reviewing costs across the board and that the job cuts would vary across geographic regions and customer segments to "reflect business considerations as well as local legal requirements."
"While reductions in head count are always difficult for a company, we know these actions are critical to our ability to deliver unprecedented value to our customers now and in the future," Michael Dell said in a statement.
(Excerpt) Read more at news.yahoo.com ...
the layoffs most likely will be in the USA....their sub-standard outsourced un-intelligeable tech support in india will be kept at a pitance!!!!
“the layoffs most likely will be in the USA....their sub-standard outsourced un-intelligeable tech support in india will be kept at a pitance!!!!”
That’s why I’m a former Dell customer too. My last dealings with them was a headache and a half.
I guess that customer service with “Steve” over in India isn’t working out so well?
Foreign tech support sucks. That is a certain sign they do not care about their customers.
They're only now joining the AMD party, now that their processors are behind the curve.
Every one of those employees laid off should file a class-action suit against Intel. AMD is already pounding on Intel in court for strong-arm, anti-competitive practices. They're ripe for another assault by some of those harmed by those policies.
Dell’s stock was up 2.6% today and is up another 6% in after hours trading, for what that is worth.
The funny thing about Dell trying to finally get on the AMD bandwagon is that right now AMD is falling behind the Intel dual cores.
“Steve” in India.........LMAO. I’m not sure exactly what or why, but that literally made me LOL. :) I guess I always got a kick out of talking to some tech support guy named “Chip” in Bangalore. :)
By the way, they DO try in most cases, and all kidding aside, I have a lot of respect for the technical prowess of the products of Indian universities. They have universities easily on par with Cornell, MIT, and other premier US engineering-oriented schools. Their graduates are damned good.
While I strongly dislike dell because of hteir poor quality computers, I’ve never understood the extreme dislike most people seem to have for the Indian tech suppport staff. I’ve yet to speak to one (and believe me I’ve spoken to many from various companies) that I couldn’t understand and who wasn’t polite and didn’t do their best to resolve whatever issue I might be having.
Frankly I’d rather have an indian than a lazy snippy young american who speaks broken eubonics. (avoid sprint unless you want that kind of help)
Worked so well for me, I bought my last Dell computer 5 years ago, after nothing but grief.
A correct way of saying "things aren't going too well and we need to cut costs and then reevaluate"...
Yeah, that's what I meant about them being "behind the curve."
By the end of the year, AMD's Barcelona core should make things a bit more interesting.
I was going to comment about how sending those customer service jobs overseas has really worked out for them.
I have bought 2 Dell computers in the last 5 years and they have been trouble free and worthy of commendation.
I bought a Dell HDTV however and took my losses and replaced it with a Sony HDTV.
Oh come on. You think people like repeating "huh" 50 times over the phone? You think Americans like buying a product in America, and then are forced to call overseas 9,000 miles away just to ask a question, when the company could have built their support centers and provided jobs for our young people right here in the USA?
Would you pay more for a product to have tech support in the US?
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.