Dell computers will be sticking around, said Michael Dell

HP’s decisions to focus on software development, spin off its PC business into a separate unit and to abandon the tablet market are music to Dell’s ears, according to the latter company’s chief executive.

Michael Dell told the Financial Times that hardware was still very much part of his firm’s future plans, and that HP’s retreat would give Dell an increased market share. Downsizing its PC business, Dell said, would mean that HP would have to pay more for integral manufacturing parts.

Bob O’Donnell, from the industry analysis group IDC said: “While there is uncertainty over the HP PC business, HP has handed Dell a big slice of business on a silver platter. Dell is perfectly placed to take advantage.”

As the demand for tablets and smartphones grows, many are predicting the end of the PC. Mr Dell is not one of them: “Those devices aren’t necessarily replacing the PCs, so we are very committed to that part of the business, as part of this broader, end-to-end IT solutions company”, he said.