Dell may be next to leave China

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Old 15-Jan-2011
Dell may be next to leave China

If comments made by the prime minister of India are to be believed, Dell could be following Google out of China. Such a move would see Dell having to find new manufacturing partners to meet its demands elsewhere in the world. But more importantly, it would see China lose $25 billion in revenue from Dell.
The suggestion that this may happen has not been confirmed by Dell, but was stated by Indian prime minister Manmohan Singh during a planning commission meeting. He said:
A very important point has been raised regarding development of the hardware sector of information technology. This morning I met the chairman of Dell Corporation. He informed me that they are buying equipment and parts worth $25 billion from China. They would like to shift to safer environment with climate conducive to enterprise with security of legal system. So I think this is an area where there are immense opportunities. I urge the Planning Commission to apply their mind about development of hardware and parts of computer industry.
Dell already has a growing business in India, and Michael Dell commented earlier in the day that:
Our India business is growing at 100 per cent. We are growing faster than the market, which is growing less than 100 per cent. We see enormous opportunities of growth in India.
Dell has yet to officially respond to the comments made by the prime minister.

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