Originally published October 16 2005
Dell unveils luxury brand PC for tech-savvy homes
by Mike Adams, the Health Ranger, NaturalNews Editor
The premium Dell XPS brand offers increased performance, power and style for technology-savvy households. It will run with Vista, Microsoft Corp.'s next-generation operating system, and will initially use Windows XP.
Dell Inc., which became the world's largest supplier of personal computers by pushing down prices, unveiled a luxury brand yesterday aimed at an expanding market of tech-savvy households.
"We're consistently hearing a call for performance, power and style as more consumers see the value of expanding the computer's use for productivity and entertainment," Michael Dell, the company founder and chairman, said at a news conference in New York.
The premium brand is called XPS and the least expensive version will sell for more than twice the price of Dell's entry level desktop PC.
But while technology enthusiasts may be calling for more speed and storage, many other customers are increasingly content with what their PCs can do today and hardware makers face a challenge of finding ways to keep them upgrading their equipment.
Dell's XPS brand, which includes sleek styling and an enhanced level of service, will try to use a luxury image to entice more customers to upgrade in what has become a commoditized marketplace, analysts said.
"The industry has always had price points, but it hasn't really broken off something as a different brand in that kind of Lexus-like way.
And I think they're likely to get a fair amount of traction," Mr. Kay said.
I do think there is a status play here," he said.
Although Dell's consumer division generates just 15 per cent of overall revenue, the Round Rock, Tex.-based company is trying to boost sales in all areas after setting a goal of $80-billion (U.S.) in revenue in four years, up from $49.2-billion in fiscal 2005.
Mr. Dell said the XPS lineup will have sufficient memory and power to run Microsoft Corp.'s next-generation operating system, called Vista, which is expected on the market some time next year.
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