Who among the Apple fan folk does not remember Michael Dell’s indictment of Apple, circa 1997? What goes around, comes around, you know?
These days Dell is trying his best to resurrect his dying dinosaur, and looking for a way to give money back to the shareholders, and take Dell private. You know what would be a match made in heaven? Dell needs a sugar daddy. What is the world’s greatest sugar daddy company?
Microsoft To The Rescue
Dell’s CEO uttered this phrase back in 1997 when asked what could be done to fix Apple. ‘What would I do? I’d shut it down and give the money back to the shareholders.’
Dell doesn’t want to shut down, of course, but attempts to raise enough capital to take Dell off the public dole and turn it into a private venture are underway.
Yes, Dell’s daddy needs a sugar daddy of the highest order, and who better to save his company than the company that helped him turn into a billionaire in the first place?
Who? Microsoft. After all, Microsoft is in the PC manufacturing business with the Surface tablets (partnering with manufacturers). This story isn’t really new news. Speculation has been bobbed to the surface more frequently since Dell has become the official poster child of beleaguered tech companies.
Steve Rosenbush in the Wall Street Journal’s CIO Journal carries is a step beyond.
A Microsoft Corp. investment in Dell Inc. —should the reported talks come to fruition—could help Microsoft sell into the all-important business market more effectively.
Yes, because Microsoft doesn’t do well selling to the enterprise. Uh huh.
Wait. I see something familiar in a Microsoft-Buys-Dell scenario. Microsoft, like Apple, has their own brand of hardware. Microsoft, like Apple, has their own stores. Microsoft needs to compete with Apple in smart phones and tablets.
Therefore, Microsoft should buy Dell (to compete against Apple in retail stores, against the Mac, and the iPad). And, Microsoft should buy Nokia (to compete against Apple’s iPhone).
Doesn’t that make sense? Hasn’t the Microsoft Surface tablet been labeled an iPad killer? Hasn’t Windows Phone been tagged to exceed iPhone’s market share sometime next year?
Microsoft’s efforts, launched late last year, haven’t lived up to expectations. Sales of the Surface tablets, which run the Windows 8 operating system, have not gained traction, although there are some indications that sales of Windows Phone 8 devices are doing better, especially in recent weeks.
Yes. They’re doing better. I heard Windows Phone market share doubled in the past year, now at 2-percent. Whatever.
The tech landscape is undergoing a massive change. Again. HP is on the rocks, continuously restructuring while flailing about to figure out what it invents. Oracle sells hardware and software now (still looking for an Oracle store, though). Meanwhile, Motorola and Nokia are losing money almost as fast as the federal government.
Why shouldn’t Microsoft invest in Dell? Steve Ballmer’s behemoth would get a compliant and willing manufacturing partner, and an entry way into the enterprise areas where Microsoft doesn’t own already.
Microsoft can afford Dell. And Dell needs the money and independence. Because, you know, Microsoft investments fare so well over time.