Dell: Don’t Pick Up That Phone
Today was a big day for Dell’s channel effort. As expected, the company announced an aggressive strategy to engage and reward channel partners. But The VAR Guy is distracted by another report, claiming that Dell may be interested in buying Motorola’s handset business. Memo to Michael: Don’t do that. Here’s why.
Frankly, the last thing Dell needs is another commodity business — especially one that’s been under-performing as badly as Motorola’s handset business. If Dell could somehow leapfrog the mobile industry (say, by cornering the dual-mode phone market with a strong emphasis on WiFi) then perhaps snapping up Moto handsets would be smart.
But honestly, The VAR Guy likes Dell’s current strategy — thought it will take some time to pay dividends. Pushing into managed services and the channel to improve customer support and boost sales is a clear, valid strategy. Dabbling in Ubuntu Linux on the desktop and the server (soon) helps Dell to spot next-gen hardware opportunities.
But handsets? If Moto calls, as The Financial Times is speculating, don’t pick up the phone Michael. You’ve got your own headaches. Don’t acquire another one.Oh, and about Dell’s latest channel announcements: You can find the info here.