Dell offering 0% loans to keep IT spending

Hardware giant Dell is offering zero-percent finance and cutting prices for its business customers in the US, in a bid to slow plummeting demand and discourage IT departments from delaying their procurement plans.

Dell shares have lost half their value this year, and the company has shed almost 9000 staff since 2007. Its third quarter results, released last week, reported a three percent drop in revenues, although the company was able to boost its profit margins 1.4% to 5.3%.

Dell’s financing move could well be an answer to rival HP, which marked a 10% jump in PC sales in its own quarterly report.

Other large enterprise technology companies with cash reserves, such as Microsoft and SAP, are offering similar programs in the hopes of keeping cash-strapped businesses spending.

Further reading

Dell reveals unexpected 3% revenue drop

Dell’s radical rebuild
Michael Dell, founder and CEO of Dell, talks about reviving the company’s fortunes, green IT, his laptop and more

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