Dell's Tablet Strategy

By Reuters  |  Print this article Print

At Oracle OpenWorld Dell CEO Michael Dell flashed a new Android-based seven-inch tablet computer -- a follow up to the Dell Streak -- and said the company is on track for a $60 billion revenue year.


Dell executives have previously said the company planned to launch tablets in larger screen sizes.

The Streak, which runs on Android and doubles as a smartphone, costs $549.99, or $299.99 with a two-year contract from AT&T.

Dell is the world's No. 2 PC maker, according to industry tracker IDC, but has been expanding its product portfolio, with an emphasis on mobile devices. Apple's iPad has set the standard for tablet computers.

A slew of tablets has hit the market or is expected to in the coming months, including offerings from Samsung, Hewlett-Packard and Toshiba.

BMO Capital Markets expects tablet sales to top 40 million units in 2011 and hurt notebook and netbook sales.

Dell's shares fell 1.8 percent to close at $12.38 on the Nasdaq.

(Reporting by Gabriel Madway; Editing by Derek Caney, Maureen Bavdek and Steve Orlofsky)