Dell reports rebound in business PC sales


Dell reports rebound in business PC sales

Warwick Ashford

Businesses have begun increasing spending after months of cutbacks, according to PC maker Dell.

The PC maker is among a growing number of technology companies to express cautious optimism about signs of an economic recovery, including Cisco and VMware.

Dell, which reported a 54% decline in third-quarter sales, said businesses of all sizes have begun placing orders, bringing about the first gains in 21 months, according to the Financial Times.

Dell said profits dropped to $337m from $727m for the same period in 2008 as sales shrank to $12.9bn from $15.2bn.

Dell claims sales have begun increasing since the second quarter and rose 1% in the third quarter, with the best sales in China and Brazil.

In China, Dell's largest market after the US, sales grew 20% from the second quarter and 8% compared with the same period in 2008.

Dell also predicts that the October launch of Microsoft's new Windows 7 operating system will help boost sales in the last quarter.

Michael Dell, chief executive, said early demand for Windows 7 reaffirmed his belief that companies that skipped Windows Vista will soon refresh their hardware.

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