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Wal-Mart, You're Getting a Dell

Direct-to-consumer giant will get in-store presence at big-box superstar

By M. Morris,  Newser Staff

Posted May 24, 2007 1:10 PM CDT
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(Newser) – Dell is about to expand beyond its traditional direct-to-consumer sales channels in a big way: by making a deal with Wal-Mart. The struggling computer maker and the world's largest retailer announced today that Wal-Mart and Sam's Club stores will start carrying Dell Dimensions next month. The two exclusive models will be part of bundles that sell for less than $700.

Hewlett-Packard has seized the top spot in the industry from Dell, which made its name by customizing PCs for customers who ordered online, over the phone, and at freestanding kiosks. Founder Michael Dell returned to the helm in January, and today's move into big-box retail is just one part of the company's strategy to right itself.

Michael Dell, chairman and chief executive officer of Dell Inc., right, leaves the podium after a ceremony donating a collection of materials relating to the company's history to the National Museum of American History in Washington, Wednesday, May 9, 2007. Items donated include a PC's Limited computer from 1985, seen...
Michael Dell, chairman and chief executive officer of Dell Inc., right, leaves the podium after a ceremony donating a collection of materials relating to the company's history to the National Museum of...   (Associated Press)
Chairman and Chief Executive Officer, Dell, Michael Dell answers...
Chairman and Chief Executive Officer, Dell, Michael Dell answers...   (Getty Images)
A Wal-Mart worker pushes carts at a Wal-Mart store in Mountain View, Calif., Monday, May 14, 1007. Wal-Mart Stores Inc. warned Tuesday, May 15, 2007 that its profits in the current quarter could fall short of expectations after reporting an 8 percent gain in first-quarter earnings amid cost-cutting and strength...
A Wal-Mart worker pushes carts at a Wal-Mart store in Mountain View, Calif., Monday, May 14, 1007. Wal-Mart Stores Inc. warned Tuesday, May 15, 2007 that its profits in the current quarter could fall...   (Associated Press)
A Wal-Mart store is seen in Mount Holly, N.J., Wednesday May 9, 2007. Rising gasoline prices and the slumping housing market kept consumers out of stores last month, leaving many of the nation's merchants with disappointing sales results. Wal-Mart reported a 3.5 percent decline in same-store April sales,...
A Wal-Mart store is seen in Mount Holly, N.J., Wednesday May 9, 2007. Rising gasoline prices and the slumping housing market kept consumers out of stores last month, leaving many of the nation's merchants...   (Associated Press)
The Dell XPS 720 H2C Edition gaming desktop stands ready to take on the most challenging games, with factory over-clocked Intel multi-core processors and Corsair DOMINATOR memory with EPP technology, and dual SLi-ready nVIDIA graphics cards. (Photo
The Dell XPS 720 H2C Edition gaming desktop stands ready to take on the most challenging games, with factory over-clocked Intel multi-core processors and Corsair DOMINATOR memory with EPP technology,...   (Associated Press)
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More on the battle for PC supremacy
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retail • Dell • Sam's Club • Michael Dell • computer • Walmart • Hewlett-Packard

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