The company will focus on Alienware's professional gaming offerings

May 13, 2008 08:15 GMT  ·  By

System vendor Dell plans to phase out its high-end XPS gaming desktop PC line-up in order to focus on its truly professional gaming solutions shipped through its boutique PC subsidiary Alienware. According to a news report released by the Wall Street Journal, Dell will only offer high-end desktop gaming rigs through its subsidiary.

The computer manufacturer claims that the new strategy is part of Dell's efforts to swing back to profitability. The system builder is currently ranking second in global PC shipments, as it slipped behind its Arch-rival Hewlett-Packard in sales charts.

However, Dell's decision to cap down its flagship XPS gaming line-up seems to have been triggered by other factors. Both Dell and Alienware's products were addressing the same market niche, and it seems that the company's XPS offerings were directly competing with Alienware's offerings. Shortly put, Dell's XPS series of gaming desktop PCs were endangering sales of Alienware systems, which suddenly became less appealing to the gamers.

Dell's decision to pull the plug on the XPS gaming line-up will leave Alienware as the only manufacturer of high-end gaming desktop solutions. Alienware's systems are directly competing with Hewlett-Packard's top-notch offerings such as the Voodoo PC and the Falcon Northwest.

Gaming systems are premium products, as they sell for prices ranging between $2,000 and $6,800. Although users who buy such expensive systems are still a niche market, their undisputed authority influences other mainstream buyers and, at the same time, sets the trends for future PC designs.

The system manufacturer will not kill the entire XPS line, but rather the XPS machines that are specially crafted for gamers. The XPS notebook models are among the company's best-sellers and they will be available, at least for the near future.

Although Dell did not specify when the slashes will occur, the first models to be pulled off will be the company's XPS WoW notebook and the 730 gaming desktop model.