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Dell Bundling Open Source Applications for SMBs

By ARN Wed, Jun 10, 2009

Dell is planning to offer small and medium businesses (SMBs) globally pre-configured bundles of hardware and open source software to run their businesses, according to an executive at the company.Amit Midha, President of Dell's Asia Pacific and Japan region for the SMB business said, “There is a definite shift from proprietary to open source software among SMBs, particularly as companies in this sector look to cut costs”.

"The more advanced the customers, the more likely they will adopt open source, because they are likely to ask why they should spend money on something they can get free," he added.

“Dell is now focusing on offering pre-configured software and hardware bundles using open source software to help customers who are not advanced enough to deploy open source on their own,” said Midha.

Midha also said that the company had already introduced a pre-configured product around open source software called "SMB-in-a-box" in the U.S. market for its retail customers and that it would be rolled out in Asia later this year.

Midha informed that Dell decided on open source software for retailers, because while they deploy technology across a large number of stores, retailers are also looking to cut software costs. Besides retail businesses, Dell is reportedly planning similar configurations for businesses in manufacturing, healthcare, advertising, and online gaming.

“The online gaming industry in China is using open source software, which provides an opportunity for Dell to configure and package it for other companies in the same business,” said Midha who is also the president of Dell's Greater China operations.

Dell is seeing a recovery for PC demand in the SMB market in general in a number of countries including the U.S., and China. According to Midha, the recovery usually shows up first in the SMB segment rather than in large corporate accounts, because while SMBs respond faster to economic changes, large companies have to first revise their budgets. “On a global basis, you get the sense that China is pulling the whole industry out of the recession" he added.

“Consumer spending is still quite strong, and spending under stimulus plans by various local governments has helped boost demand for technology by SMBs,” Midha concluded.

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