Subject: [NEXTEL-1] Dell to Sell Retail Store Systems

From: Marcel <[email-masked]>
Date: Mon, 13 Jan 2003 13:23:44 -0500

Dell to Sell Retail Store Systems
Source: Associated Press
Publication date: 2003-01-13

Dell Computer Corp. said Monday it will sell retail-store systems,
including cash registers based on personal computers, under alliances with
four software vendors.

The world's largest maker of personal computers said it has fostered
relationships with Retek Inc., AutoGas, GERS Retail Systems and MSS
Global to develop software that manages retail operations.

The move is part of the Round Rock, Texas, company's plan to expand
beyond its traditional turf.

Under the agreement, Dell will offer a pair of PC-based cash registers along
with the specialized software, services and peripherals required to link
retail-store checkout lanes to corporate information systems.

Michael J. Farello, Dell's vice president of retail-business development, said
the company's goal is to provide customized equipment required to
automate department-store and convenience-store operations. Dell will use
its existing factories to assemble the PC-based cash registers.

For several months, Dell has been quietly testing retail-systems sales and
has even landed point-of-sale system contracts with two specialty retailers -
Wet Seal Inc. and Nextel Communications Inc.

Farello said Dell has been encouraged to enter the market by large retailers
looking to lower the cost of their point-of-sale systems. The two PC-based
systems it announced Monday are based on existing Dell PCs with prices
starting at $1,700.

Also, many retailers have aging point-of-sale systems in need of updates.

However, Dell is entering a crowded market that includes traditional
point-of-sale suppliers such as International Business Machines Corp.,
NCR Corp. and Wincor Nixdorf GmbH, as well as newer entries from
Hewlett-Packard Co. and Sun Microsystems Inc.

Retail market research firm, IHL Consulting Group, estimates the North
American market for checkout systems at $4 billion a year.

Shares of Dell traded at $26.39, down 78 cents, or 2.9 percent, Monday
afternoon on the Nasdaq Stock Market.

http://cnniw.yellowbrix.com/pages/cnniw/Story.nsp?story_id=35848088&ID=cnniw&scategory=Business+and+Finance&

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