Posted on 03/31/2008 3:34:17 PM PDT by kiriath_jearim
SAN FRANCISCO (Reuters) - Dell Inc (DELL.O: Quote, Profile, Research) said on Monday it plans to save $3 billion annually over the next three years by closing its Austin, Texas desktop computer manufacturing plant and cutting thousands of jobs.
The company's shares rose 1.1 percent following the announcement after closing up 1.6 percent on Nasdaq.
Dell, the world's second-largest PC maker after Hewlett-Packard Co (HPQ.N: Quote, Profile, Research), also repeated its goal of cutting 8,800 jobs, or about 10 percent of the work force, and said it will review "ownership alternatives" for its Dell Financial Services business.
The company said it had already eliminated 3,200 of the targeted jobs.
The Round Rock, Texas-based company also said it would reduce costs in design, manufacturing and logistics, materials and operating expenses.
Dell announced the plans as it prepares for its first analyst meeting in three years. Analysts have called on Dell to cut costs more aggressively as profit margins have narrowed.
The financing-business review should be completed by Dell's fiscal third quarter, the company added.
"dell fired you, dude !!"
This means all manufacturing moves to China (my prediction).
IBM sold to Lenovo, now it`s just another crappy laptop
made in China.
Never went near a Dell, not even with a 10 foot pole,
they`re junk.
Ouch.
I don’t know about that. I’ve had mine just about trouble-free (not counting operator error) for 6 years. I’d buy another.
Buggy whip jobs. Fired employees need to become self employeed and sell cheap merchandise on ebay through that late night informercial Crazylikeafox123
LOL
That means that pretty much 100% of DELL computers will come from Asia... nice.
I won’t touch another one. In less than 3 years the motherboard fried on my last Dell.
Ain’t free trade great?
IOW they will be made in a full automated non human operated plant someplace outside of the USA.
(see also why there are no new car plants in michigan)
Somebody needs to write the story of how Dell moved from being the radically innovative PC disintermediator and turned into General Motors.
Saving $3 billion annually is huge. If they can deliver the same product with that kind of savings, it’s a no-brainer.
I ain’t NEVER buying a Dell computer again!!
Well, what a great time for this question!
Now that I’m NOT going to be buying a Dell, what would all of you good techie FReepers recommend for a DIY gaming desktop? I already have the tower and other items picked out, but would like to know your opinions on what CPU, MoBo and videocard.
I’m talking a rig that’ll play Crysis at the best settings.
Thanks in advance.
You’d buy another from an outsourcing, American worker-firing/shafting mega company? The U.S. should slap a 30% tariff on ALL Dell products made outside the U.S. for sale in the U.S. Come to think of it, the U.S. should do this to ALL imported items from outsourced/offshored U.S. companies!! Whatta dream!
they`re junk.
For notebooks I stick with Toshiba. I never had a problem with them. They never seem to quit working either. I still have an old one that I bought in 91 that still works.
I’ve got over 10 yrs of heavy use on mine and have had to replace only the modem, which was 16 bucks at walmart.
Oxy moron.....never near enough to know what you’re talking about.
I expect you are only happy with your commodore
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