http://www.marketwatch.com/story/dell-negotiating-possible-compellent-deal-2010-12-09
In this article it talks about how Dell is trying the emerge with Compellent. But they are negotiating a deal so in a way they can make a profit. This is because Dell is making money but in different departments of dell. So in my opinion i think dell should emerge because for the pass couple of months dell has been in a decline phase but since compellent is a big company they will make a big profit. As well, Wells Fargo is trying to emerge with them too.
I believe you mean merge, not emerge. Emerge is to come out, where as merge is to join, in this case, Dell with Compellent.
ReplyDeleteAlso Wells Fargo is not trying to merge with Dell. In the article, one of their analyst was simply stating their opinion. Wells Fargo is a bank (actually the 4th largest in america), and it is in a totally different sector/field (financial) from Dell and Compellent (technology).
As far as the article, it is very interesting, I am surprised that Dell would try to make a move like this knowing that it could hurt its relations with EMC (not the competition, but the Data Storage company). I don't really know whether or not this attempt a merger is a good idea or not, but I think it is possible that this maybe was a more rash decision in trying to end their downward trend. I think the best and hardest thing that Dell needs to do today, is start making products that stand out from the competition, and trying to expand on them over time. Apple's use of an innovative idea and then expansion of that idea to create a whole new industry was remarkable, and the reason that they have done so well. I don't think though that this merger will do that, nor do I think it will break them.