To diversify its offering

Dec 7, 2009 10:01 GMT  ·  By

Computer maker Dell is reportedly getting ready to make more steps into the mobile phones area. The company has announced recently that it is working on the creation of a new business unit that will have as main focus communications and mobile devices, the latest news around the Internet show. This move is meant to prove the company's commitment towards delivering new appealing products to users.

According to the reports, the new communications solutions business division will have at its lead the ex-Motorola exec Ron Garriques, which has formerly served Dell’s consumer business too. The new company structure is expected to have the consumer division combined with Dell's small business computer unit, while being led by Steve Felice, who is in charge with the latter division at the moment.

Moreover, it seems that the new unit will be mainly focused on the building mobile phones and other portable devices. The creation of the unit is seen as an effort from Michael Dell, the company's chief executive and founder, to diversify the range of products and services the computer maker offers at the moment. A proof in this direction would be the earlier acquisition of IT services giant Perot Systems, which cost Dell $3.9 billion.

During the latest quarter of the year, the company has seen a 54 percent drop in profits, as well as 15 percent lower revenues. According to the news, the poor performance was mainly caused by a decline in demand from large corporate buyers, the main area of activity for Dell, it seems. The sales in small and medium sized company segments managed to see a growth of five percent compared to the previous quarter, though still much lower than a year ago.

When it comes to the current quarter, Dell is expected to see an increase in sales in the consumer market, it seems. As many of you might already know, Dell has just announced the launch of Dell Mini 3i, and Android-based device that will reach the market in China and Brazil.