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Dell Bets On Windows 8
Demand for Windows 8 may be still somewhat lukewarm, but Dell is maintaining its stance that it is the best operating system for business tablets and plans to roll out more Windows 8-based products later this year, according to a senior executive at the computer maker.
“Our Windows tablets are more secure and easier to manage than Android-based products and iOS-based products [because Windows is] on our tablets,” said Jeff Clarke, vice chairman and president of global operations at Dell. “And we are not going to change that.”
Windows-based devices accounted for just 4.5% of tablet sales in this year’s second quarter, according to research firm IDC. In comparison, Android-based devices had 62.6% of the tablet market and Apple’s iPad had 32.5%.
The slow adoption of Windows 8 tablets is partly due to their high prices, and to the operating system’s lack of mobile apps, analysts say. Windows 8 has also received mixed reviews, with some people citing its lack of a Start button in the desktop mode as a major problem.
But Dell expects demand for Windows 8 devices to pick up with the availability of Windows 8.1, which Microsoft will release in October.
HP Goes All-In On Tablets
Hewlett-Packard garnered attention at Mobile World Congress show with its new Slate 7-inch tablet and then the sale of webOS assets, but the company is looking to put past distractions behind and will release more tablets in the future, the company said.
“You can expect going forward [to release] a family of products,” said Shane Wall, chief technology officer at Hewlett-Packard’s mobility group, in an interview at MWC. The mobility trade show is being held in Barcelona from Feb. 25 to 28.
The 7-inch tablet attracted a small crowd at the HP booth, with people lining up to photograph or use the device. The company effectively took a dive into the low-cost tablet and tried to differentiate its tablet by a lower price, and also features like a micro-SD card slot for expandable storage and dual-cameras. Google’s $199 Nexus 7 is priced higher and has a quad-core processor, a higher-resolution screen and Android 4.2, but HP believes it will sell a lot of the tablets at the $169 price.
“We’re obviously late,” Wall said. “We wanted to start and see how aggressive we can be on the low end.”
The Slate 7 also signifies HP’s re-entry into the consumer tablet market after a disastrous stint with the webOS mobile operating system, which it got with the acquisition of Palm in 2010 for $1.2 billion. The first webOS tablet, the TouchPad, was launched in 2011, but later discontinued along with webOS smartphones. Since then HP has released enterprise tablets such as ElitePad 900 with Windows 8, and now the company has adopted Android for consumer tablets.
I.T. Spending On The Rise
Worldwide IT spending remains on track to increase by 6% in 2012 despite the grim economic conditions in Europe, thanks to strong software, storage, smartphone and tablet sales, according to IDC.
While 2012 has been a tough year for many IT vendors, they have done better overall than many expected in the first half of the year, IDC said.
For example, software spending has been robust, even in parts of the world where the economy has been weakest, as businesses hope software tools and applications will help them implement cost-reduction strategies.
The 6% growth compares to a 7% increase in worldwide IT spending last year. IDC expects 6% growth in 2013.
Software, storage, enterprise network and mobile device markets have offset weaker sales in servers, peripherals and PCs. However, the launch of Windows 8 during the fourth quarter should help the PC market recover next year, IDC said.
U.S. IT spending will grow by 5.9% in 2012, compared to 8.5% last year. However, the strength of the dollar during the first six months of the year means that IT spending in dollar terms will grow just 4% for the full year.