Dell apparently has its eye on crafting a business-centric Windows 8 tablet.
“Having a secure Windows tablet that works with all the Windows applications – we’re hearing a lot of demand for that, and we think that will be quite attractive,” Michael Dell (pictured), CEO and founder of Dell, said on a Bloomberg West television show.
That is unsurprising, considering Dell’s past comments on the matter. Speaking to analysts and journalists on an August 2011 conference call, he said, “Our early work on Windows 8 on the tablet side looks to be pretty encouraging.” At the time, he also suggested the company was “quite interested” in Google Android.
Dell viewed Android as a way to break into the consumer tablet market. Windows 8 tablets, however, offer the prospect of a sustained enterprise play. This dovetails with Microsoft’s intentions for its next-generation operating system, which it will aim at not only consumers, but also the wide variety of businesses that rely on Microsoft infrastructure for everyday business processes. Windows 8 is scheduled to hit the market later in 2012.
For Dell, the rise of tablets presents a particular conundrum. For several quarters, analysts have debated over whether the popularity of mobile touch screens correlates directly with slowing PC sales worldwide. Whatever the actual answer, it’s unequivocal that PCs are experiencing a soft patch, sales-wise, which in turn could affect a PC manufacturer like Dell in negative ways.
Hence the continued focus on tablets, despite the failure of the Streak experiment. On a macro level, Dell might also position itself as less a PC-manufacturing concern and more a purveyor of IT services. “We’re no longer a PC company, we’re an IT company,” Brad Anderson, president of Dell’s Enterprise Solutions, told PC Pro during a February event in London. “It’s no longer about shiny boxes, it’s about IT solutions.”
This path also carries significant risks. In 2011, Hewlett-Packard attempted a similar repositioning, acquiring UK-based IT services provider Autonomy and announcing it would spin off its PC-manufacturing Personal Systems Group (PSG). It later revrsed the PSG decision, but not before the markets punished the company’s stock.
Dell has not embarked on anything near the scale of HP’s Autonomy acquisition, but the recent comments about tablets suggest the company is nonetheless trying to adapt to the times. Given how Android tablets have failed to break the iPad’s majority hold on the tablet market, Windows 8 tablets may represent the best bet for manufacturers to seize a few more of the mobility dollars.
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