Dell Acquires Alienware

Dell, the world’s largest computer maker is set to acquire Alienware, a computer maker that is no stranger among gamers. However, Alienware fans should not get too worried about Alienware’s future after the acquisition. Dell said Alienware will operate as a wholly owned subsidiary following completion of the transaction and will maintain its own product development, product marketing, sales, technical support and other operations as well as brand. The management and founders of Alienware will continue to operate the company as a standalone unit of Dell.

“Alienware has a legacy of success designing the highest-performance PCs using bleeding -edge technologies and innovative industrial design. We believe that Alienware will realize significant advantages from Dell’s world-class supply chain and operational efficiencies. They will allow us to continue to satisfy our core customers with the most innovative and highest-performing PCs, and ultimately extend the reach and appeal of the Alienware brand”
- Nelson Gonzalez, chief executive of Alienware.

Personally, I feel this could be a good strategy for both Dell and Alienware. Despite Dell’s best attempt to win the hearts of gamers with its high-end range of PCs, it still lacks the extra edge that most gamers seek. Alienware on the other hand knows the needs and made PCs that appeal to gamers. This could perhaps mark Dell’s revived attempt in capturing the lucarative high-end gaming systems market with the expertise and the brandname that Alienware has. Combining Dell’s global operations and cost efficiencies, Alienware could reach out further into the global gaming systems market. Perhaps a year or two down the road, we may get Alienware PCs in Malaysia (which isn’t currently available yet).

We may have all heard about the rumour of Dell using AMD processors in its product line-up since the success of the Athlon processor. Unfortunately, the rumour remains just a rumour till today. Could Dell’s acquisition of Alienware be an indirect way of Dell using AMD processors in its high-end gaming systems? This could be an interesting way of keeping Dell’s exclusive partner, Intel, happy; while offering customers who demands an AMD powered PCs through its wholly owed subsidiary – Alienware.

This could be a promising future for both Dell and Alienware if the strategy is played out right. We may one day have a Dell branded PC for the low-cost and mainstream market, and an Alienware branded PC for the high-end market. Just like the Lexus (a subsidiary of Toyota) branded car for the luxurious market and a Toyota branded car for the rest of us. Well, just my 2 cents.

3 Comments

  1. ShaolinTiger 1 April, 2006
  2. Jane 1 April, 2006
  3. Ding Dong-er 20 December, 2006