Mon, Jul 18, 2005 - Page 11 News List

Dell seeks to add flash to its laptops

`DESIGN DRAMA' The computer maker is hoping to entice customers into upgrading to a new line of premium computers that will have more features

AP , DALLAS

Though Dell isn't providing many details yet, the very company where price reigns supreme has hinted at a line of high-priced premium PCs sometime this fall.

The as-yet unnamed models were discussed briefly during a recent investors' call with Mike George, vice president of Dell's US consumer business. The company has declined to discuss any details.

cost-conscious

Kay, the analyst, says these premium models shouldn't come as a surprise, even at cost-conscious Dell. By offering low-end US$500 machines, Dell is able to draw in customers, then entice them into upgrading for better machines with more features.

One analyst believes consumers will continue turning to Dell for value, not style.

"They haven't been positioning themselves as a style company before," said Chuck Jones, senior vice president at Stein Roe Investment Counsel Inc. "It's probably the right thing to do, unless they are moving away from a low price business model. And I highly doubt that."

L'Henaff said computers and technology in general will become increasingly invisible as electronic components shrink.

"All that's left is the interface -- the screen, the keyboard and a mouse," he said. "And even that further down the line might go away."

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