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Dell founder offers low-key response to Charlottesville violence
Tech giants like Apple and Intel have vocally opposed both the racist violence in Charlottesville and President Trump's equivocating response to it, but former manufacturing council member Dell has remained silent. Where's its statement? Well, company founder Michael Dell has finally spoken. The CEO has sent a brief email to employees condemning both the Charlottesville violence and the terrorist attack in Barcelona, but in generic terms. His message declares that "hate is evil" and stresses that Dell is a company where "everyone is welcome," pointing to the company's culture code. And... that's it.
Dell officially goes private, says focus is on you
Michael Dell's acquisition of his namesake company is now complete. The purchase under Dell and investment firm Silver Lake Partners was valued at $24.9 billion and, as Dell said during a September investor's call, the company is committed to innovation and customer service as a newly private company. He reiterated that point in a statement today, saying, "Our 110,000 team members worldwide are 100 percent focused on our customers and aggressively executing our long-term strategy for their benefit." In the lead up to the deal, Dell seems poised to re-focus the business around emerging markets, enterprise R&D and acquisitions, and the PC, tablet and virtual computing space. The move to privatize comes after multiple quarters of dwindling profits and lackluster tablet sales for one of the World's biggest PC makers. Credit: Getty Images
Dell merger clears final regulatory hurdles in bid to go private
Michael Dell and investment firm Silver Lake Partners' joint bid to take Dell private has just cleared its final obstacle: regulatory approval. That means the deal is now all but completed. The transaction, valued at $25 billion, will see Dell transitioning to a private entity by the end of the company's fiscal Q3 2014 (which wraps this month). It also puts the company back firmly in Michael Dell's control, as he'll now own 75 percent of the new entity. And, as he discussed on the company's last open call with investors, that means a return to "innovation" for the PC, tablet and enterprise markets that will come to define the new Dell. Update: The post has been updated to reflect accurate timing for the transaction.
Daily Roundup: HP Haswell Chromebook hands-on, Dell going private, Samsung's 64-bit CPUs, and more!
You might say the day is never really done in consumer technology news. Your workday, however, hopefully draws to a close at some point. This is the Daily Roundup on Engadget, a quick peek back at the top headlines for the past 24 hours -- all handpicked by the editors here at the site. Click on through the break, and enjoy.
Dell board votes in favor of Michael Dell's $24.9 billion buyout offer
Dell has finally agreed to let founder Michael Dell take the company private through a partnership with investment firm Silver Lake Partners, in a deal valued $24.9 billion. The transaction, which is still pending regulatory approval, should see stockholders receiving $13.88 per share of common stock (including payment of a special cash dividend) and is expected to close in Q3 of Dell's 2014 fiscal year. In a statement released to the press, Michael Dell said that the newly private company's mission will be to "serve our customers with a single-minded purpose and drive the innovations that will help them achieve their goals." Update: On the company's investor call, Michael Dell, who retains 75 percent ownership under this new structure, reaffirmed Dell's commitment to innovation and customer service -- goals he said can now be better achieved "without the scrutiny of operating as a public company." He also outlined several key areas of focus for the newly private Dell, among which expanding its presence in emerging markets, investing in R&D and acquisitions for enterprise solutions, as well as the PC, tablet and virtual computing space are key pillars.
Michael Dell and Silver Lake up their offer for Dell buyout
The competition for Dell is heating up again today, as CEO Michael Dell and investment outfit Silver Lake have increased their buyout offer for the company. The new agreement raises the per share price to $13.75, provides for a special dividend of 13 cents per share, as well as an 8 cents per share dividend in the third quarter. Basically, these revised terms add, at the most, $470 million to the previous proposal that valued the company at around $24.4 billion. In order to give shareholders a chance to mull it over, the date when deciding votes will be cast has been pushed to September 12th. Plenty of time for the next counter-offer to come through, then.
Dell CEO memo talks of a 'significant' boost to PCs and tablets in restructuring
When Michael Dell signaled intentions to take his company private for an overhaul, there were questions as to just what he wanted to do if and when shareholders weren't watching his every move: was he going to shift attention away from PCs toward the enterprise? There's no reason to worry, according to a staff memo that his company has published through the SEC. Dell tells his employees that the firm will "significantly increase investment" in PCs and tablets after going private. While he's cryptic about what that means, he does note that there would be a shift away from valuing gross margins -- in other words, the company may take a hit on profits to make its device sales sing. Other strategies are more what you'd expect from any good business: more research and development, a simpler experience and a stronger push into developing markets like Brazil and China. We can't say we're completely surprised when Microsoft made an investment in Dell's reorg precisely to safeguard PCs, but it's good to know that Dell's interest in PCs still extends well beyond the server room.
Dell announces that it's going private, assisted by $2 billion loan from Microsoft
The rumors were true. Dell has announced that it will go private, assisted by a $2 billion loan from Microsoft. The full deal between stockholders, Michael Dell and investment firm Silver Lake is being valued at around $24.4 billion. The exchange, which has been in the works since August, will involve a $2 billion loan from Redmond, as well as debt financing from other companies involved. According to the press release (included after the break) Mr. Dell will continue as CEO if the move goes through, adding his shares and additional capital. Update: Microsoft has issued a statement about the funding deal with Dell: "Microsoft has provided a $2 billion loan to the group that has proposed to take Dell private. Microsoft is committed to the long term success of the entire PC ecosystem and invests heavily in a variety of ways to build that ecosystem for the future."
Dell speaks out on infamous Apple quote
Dell CEO Michael Dell spoke at the Web 2.0 Summit, and he discussed his infamous quote regarding Apple. Back in 1997, Dell famously said that if he were put in charge of Apple, "I'd shut it down and give the money back to the shareholders." Nowadays, given all of Apple's success, it's easy to laugh at Dell's thinking. But Dell today says the quote "was misconstrued." In fact, he says, he was asked the same question a few times, and when he finally answered, it was from his point of view not as a potential Apple CEO, but as the head of Dell, which is where he says he belongs. "The meaning of my answer was that I'm the CEO of Dell, I don't think about being the CEO of any other company, I'm not a CEO for hire, so if you asked me what I'd do for any other company, it's not really something I think about," he says today. Dell in fact says he has great respect for both Steve Jobs and Apple. "Obviously Steve will be missed and was a friend." Well, OK then. That makes Mr. Dell sound pretty reasonable, actually. Of course, even if he was CEO of Dell and Apple, he'd still have been smart to keep the company going (and no matter what he says, Apple fans will probably always use his quote as an example of why you should never vote against this company), but sure, thinking of himself as head of Dell always, he'd have good reason to go ahead and shut the company from Cupertino down.
Dell XPS 15z coming tomorrow for $999? (updated)
The thinnest 15-inch laptop "on the planet" is coming tomorrow, costing a measly $999, according to the Wall Street Journal. In a profile of Dell's recent history and forthcoming plans in the consumer electronics market, the financial paper twice makes reference to an ultrathin, $999 laptop that is set to launch on Tuesday of this week. Pairing that intel with the abundance of leaks surrounding the slinky 15.6-inch XPS 15z -- including a Michael Dell tweet promising it's "coming soon" -- leads us to the conclusion that we've finally gotten ahold of the price and date for Dell's next big thing. Interestingly enough, the WSJ article goes on to say that Dell had canned a similar set of slim laptops earlier in the year, which might give us greater hope for the quality of the 15z -- it survived where others didn't. Other disclosures in the piece include a quote from Michael Dell, saying that he "didn't completely see" the tablet boom coming, which might explain why sales of his company's Streak tablets have been low enough to be described as "immaterial." There's also a discussion of the abortive Zing music service and related MP3 players that never were, but you'll have to hit the source link to learn more about them. Update: As further evidence of the 15z's imminent release, the tease has turned into a show with a video that fully reveals its slimline chassis and declares that the new Dell packs the Streak's Stage UI as well. [Thanks, Ishai and Ming Han] Update 2: And now we have the answer to our headline question: yes.
Michael Dell: Android tablets will overtake iPad
Michael Dell is bullish on Android tablets [registration required]. In an interview with the Wall Street Journal published today, the founder and chief executive officer (CEO) of Dell Inc. predicted Android tablets would one day overtake Apple's iPad as the leading platform in the tablet market. Dell cited Android's success in the smartphone market to support his theory. "If you look at 18 months ago, Android phones were like, 'What is that?' And now there are more Android phones than iPhones," Dell said. "I don't see any reason why the same won't occur with Android tablets." At the moment, Android faces the Herculean task of catching up to the device that defined a new class of consumer electronic. Unlike the iPhone, which entered an already healthy mobile phone marketplace with well-established rivals, the iPad set the benchmark for tablet computing. A recent report from IDC suggests the iPad represents 83 percent of the rapidly growing tablet market. IDC expects Apple to continue its dominance by winning up to 80 percent of tablet sales in 2011. The iPad's most well-reviewed rival, the Motorola Xoom, has done little to sink Apple's staggering dominance despite its flashy marketing campaign and tablet-specific flavor of Android. One estimate from Deutsche Bank suggests Motorola has sold only 100,000 units of its flagship tablet. Similarly, Samsung has been disappointed with sales of its Galaxy Tab and its sales of about 2 million units. Dell, of course, offers its own family of tablets called the Streak. The 5- and 7-inch tablets, powered by Android, were met with generally negative reviews and are widely considered flops. Dell is expected to release its 10-inch Streak Pro, in both Windows and Android varieties, later this year. Although Dell claims to be doubling down on Android, the CEO, who also expressed being surprised by the sudden rise of the iPad, may also be hedging his bets by releasing tablets on two competing software platforms. [via CNET]
Dell tweaks its logo just subtly enough for nobody to notice
A vital, mind-boggling stat: back in 2007, Dell used to have 800 creative teams churning away on its brand identity around the globe. Talk about fragmentation! Well, the company that Michael built wasn't happy with the disparate messages its ever so slightly different logo variations were sending to customers, and so over the summer it introduced a definitive new design. Yes, to most people it's just a blue circle wrapped around the familiar all-caps name and tipsy E, but oh no, it's so much more. For starters, that new blue is a custom shade that you won't find in any conventional color book, now called Dell Blue, and it's seconded by a Dell Gray (fitting for a business-centric operation) and a whole palette of specially selected extra colors. Additionally, the lettering is now a little taller and squarer, with the E extending above and below its brethren by tiny little bits. Oh, and there's an exciting new typeface for the company's slogan -- check it out after the break.
Michael Dell: Developing Windows smartphones 'easier' than Android
Not much detail here, just some vagaries uttered by Michael Dell at an event in Hong Kong. According to Reuters, Mr. Dell said that it's easier to develop smartphones using Microsoft's Windows operating system than Google's Android. Something that he, or at least his developers, should know something about having dabbled a bit on both platforms. Unfortunately, that's all we've got -- hopefully more details will be revealed later to give this some context. Switching gears, he also said that Dell would be launching a "significant number" of tablet PC models next year. Next year huh? What happened to Dell's 7-inch Looking Glass tablet that was coming in "a few weeks" now more than one month ago?
Dell reaches $100 million settlement in SEC fraud case
Dell announced back in June that it's set aside a $100 million reserve fund for a potential settlement, and it looks like it's now finally going to have to use it -- a federal judge has today approved a settlement with the government for that very amount in a long-standing civil fraud case brought by the SEC. Of particular note, CEO Michael Dell himself has agreed to pay a $4 million fine, although neither he nor the company has actually admitted to any wrongdoing in the settlement. Dell did say that the company is committed to implementing the range of reforms it's promised, however, and adds that "we will certainly live up to all the commitments in the settlement." As for the SEC, attorney John Worland says that the settlement is "appropriate," and he notes that there isn't any evidence that Dell intended to defraud.
Dell's Looking Glass tablet gets another chance to shine (video)
The elusive Looking Glass might have dodged the zoom lenses yesterday, but luckily, the good folks at Oracle managed to tape Michael Dell's lightning demo (pun totally intended) with a close-up shot. From what we can see, the volume rocker is located at the top side of the tablet, right next to what could potentially be a switch for screen rotation lock or silent mode; the headphone jack appears to be on the left-hand side of the device, which makes sense -- we can't imagine this beastly device fitting into a pocket of any sorts, otherwise. Sadly, we can't confirm whether this 7-inch Android tablet uses the same PDMI port as featured on the Streak, nor can we see what's on the back -- we caught a glimpse of something shiny, but the leaked spec sheet we came across some time ago doesn't mention a back camera. Anyhow, you can catch this big daddy in action right after the break -- about 1:27 into the clip.%Gallery-103167%
Michael Dell teases new 7-inch Android tablet, says Streak to land in Best Buy next month (update: pic)
Oh Michael, such a teaser you are. Word has it that the head honcho of Dell Inc. has just pulled out yet another Android tablet from his pocket, only this time it's a 7-inch whopper. Sadly, Mr. Dell left us high and dry with dates and specs (and the lack of photos from the event doesn't help, either), but we'll bet you that this is the long-rumored Looking Glass. On a more solid note, Dell also announced that the smaller Streak is heading to Best Buy next month. That's great, except some of us would rather see the tabletphone getting its share of Froyo sooner -- here's hoping that this bigger tablet won't disappoint us with an outdated OS. Update: As it just so happens, Reuters snapped a pic of Mr. Dell himself holding the tablet on stage, and sure enough, it resembles that leaked Looking Glass even from quite a distance away.
Michael Dell given an unsubtle hint by displeased shareholders
It's looking very much like that SEC investigation into Dell and Intel's overly intimate relationship has aggrieved investors in the former company. In a recent shareholder vote on the subject of Michael Dell's continued presence on his eponymous company's board, an almost unprecedented 25 percent expressed their desire that he leaves. We can't say we blame them, considering Michael had to spend $4 million of his own cash to square things with the SEC. He never admitted any personal guilt for the company's misreported earnings, but then innocent people don't tend to pay multimillion-dollar personal fines either. As it stands, he still has the backing of the majority of investors, but Mike might still do best to hand over the CEO reins to someone who hasn't been dragged through the mud of impropriety quite so thoroughly. We hear Mark Hurd might be on the market soon.
Dell settles with SEC for $100 million, moseys off into sunset
Looks like Dell might finally be at peace with the US Securities and Exchange Commission -- for now at least. The company has announced that it's reached a settlement for "alleged omissions prior to Fiscal 2008" regarding both its relation with Intel and some accounting this-and-that. In a nutshell, Dell was receiving payments from Intel (who had some nasty payouts of its own) to not use AMD chips, which the company didn't disclose to investors, and then failed to explain why profitability dropped once the payments stopped coming in. Remember that $100 million set aside in June for such a civil monetary penalty? Yep, this is exactly what it was for, and it's exactly what Dell is paying out. Additionally, CEO Michael Dell is paying $4 million out of pocket. Lesson learned, right guys?
Dell CEO: Streak coming next month to Telefonica O2, 'later this summer' to AT&T
You know who can't stop talking about (or showing off) the Dell Streak / Mini 5? Company CEO Michael Dell, that's who. The man once again returned with his Android-powered 5-inch display of choice, showing it off on stage at the Citrix Synergy conference this morning. Sure, we've seen the handset ad nauseum at this point -- we're even a proud owner of one prototype -- but here's the quote that piqued our interest: "this [phone] will be available starting next month, first with our partner 02 Telefonica [sic] in Europe, then later this summer with our pretty good partner here in the United States, AT&T." He couldn't be much more direct, and we couldn't get it from a more knowing source. Excited for the near future yet?
Dell looking outside of China for 'safer environments,' according to Indian PM
The Hindustan Times cover this morning has a generous space dedicated to Google's exit out of China and related efforts at redirecting mainland users to its Hong Kong hub, but couched cosily inside that story is perhaps an even bigger one. Indian Prime Minister Manmohan Singh is quoted as saying that Dell is considering taking its $25 billion's worth of business elsewhere, possibly India: "This morning I met the chairman of Dell Corporation. He informed me that they are buying equipment and parts worth $25 billion from China. They would like to shift to safer environment with climate conducive to enterprise with security of legal system." Michael Dell's outfit already has one manufacturing plant in India, and the man himself has been on a charm offensive in the country this week meeting and greeting local officials. It could well be, however, that Dell is just seeking to play China and India off one another to get itself the most favorable manufacturing deal, but it's still interesting to find such a high profile protestation against the supposedly enterprise-choking climate and uncertain legal system in China. It appears that Google's wrangle with the Middle Kingdom's leadership has forced consumer electronics execs to reevaluate their strong reliance on China, and the (very) long-term effects could indeed be a shifting, or at least diversification, of manufacturing away from Yao's homeland. [Thanks, Piyush]
