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Dell plans acquisitions to expand global services

Jenny Williams

Dell is to focus its mergers and acquisitions (M&A) strategy on buying IT services firms, according to a senior company executive.

Steve Schuckenbrock, Dell's global president for large enterprise business, told a news conference Dell's M&A plans will drive an expansion of its services globally.

But Schuckenbrock said the PC maker would not necessarily focus on large acquisitions. "Services expansion on a geographic basis is a priority. China is high on that list," he said, according to Reuters.

Schuckenbrock's comments follow the acquisition of software-as-a-service (SaaS) integration company Boomi last week. The terms of the purchase were not disclosed, but Dell said the deal would "help businesses reap the full value of cloud computing".

A Dell spokesman said the company continued to identify potential acquisitions but were unable to comment on future plans.

"We're always looking at acquiring potential intellectual property that will help build out the future of computing, whether software, cloud or services. Our acquisitions are based on identifying companies to support our key business initiatives, and acquisitions are a key component of our strategy to transform Dell into a provider of complete solutions for our customers," said the spokesman.

Despite a slight decline in shipments during Q3, HP retained the top worldwide position for PC sales with 18% marketshare. Acer followed with 13% and Dell with 12%.

Lenovo had the strongest growth rate, displacing Toshiba in the top five in Europe, Middle East and Africa, with marketshare growing 33%.

Dell recently lost out in a bidding war with HP for specialist storage supplier 3Par after HP closed the deal at $1.6bn.


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