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Friday 5 July 2013

Dell Considers Move Into Wearable Computing


Dell is considering a move into wearable computing, a potential growth area that might offset sinking PC sales.
The company is "exploring ideas in that space," Sam Burd, Dell's global vice president of personal computing, told The Guardian. "Looking ahead five years, we expect devices and form factors to continue to change. There will still be a need for 'static' computing on desktops, but there will be a real need for mobile devices. There's a lot of discussion about how that fits into wearable devices like we've seen with Google Glass and watches. We're looking at a world of lots of connected devices."
Wearable computing these days looks like an oasis compared to PCs. PC shipments plunged13.9% in the first quarter, according to IDC. That was the biggest decline since IDC began tracking the market in 1994. Dell's end-user computing business, meanwhile, fell 9% in the company's first quarter and its operating margin dropped 65%.
Wearable computing is still in its early stages. Google just started shipping its Glass headsets to several thousand "explorers" in April and the Pebble smart watch is hitting retail this month. Meanwhile, other entries into the category — like a smart watch from Apple — are merely rumors at this point.
For Dell, a company in the process of trying to go private, wearable computing presents a more profitable alternative.
Image via Justin Sullivan/Getty Images

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