Dell reports falling profits

Dell reports falling profits

World’s largest seller of personal computers Dell has said in its revenue reports that quarterly profit fell 18 percent. This was mainly due to the recent price cuts they introduced in its products to gain market share against competitors like Hewlett Packard and Lenovo.

The net income for the company was down to $762 million, or 33 cents per share, from $934 million, or 37 cents per share, a year earlier. The revenues however increased to $14.2 billion from $13.4 billion.

Dell has been facing increasing competition in the market with its challenger dominating some of the key segments in the market. The decision to stick to Intel processors for all their computers also hurt them in the recent past. Dell has now changed that stance and just recently announced their plans to launch server products based on AMD processors.