Dell Results: Still a Corporate Tech Bellwether?

By Matt Phillips

Dell results are due after the bell. As one of the world’s largest PC makers, the company was long considered a bellwether of corporate tech spending. But the computer giant has seen market share losses of late, says MarketWatch, the story notes:

Dell has also seen its position among the world’s top PC makers decline. According to technology-research company Gartner Inc., during the third quarter, Dell dropped to third place among worldwide PC companies, behind Hewlett-Packard Co. and Taiwan’s Acer. Dell had shipments of 10.3 million units, a 6.7% decline from a year ago.

Whether the company’s importance as a bellwether of corporate tech spending has declined along with its market share remains an open question. But any hints that Dell does give as to the corporate tech spending climate will be interesting, as part of the rationale for tech investors has been that productivity enhancing tech products are a smart bet during tough economic times. And yet today’s downgrade of some chip-makers by BofA suggests that short-term end demand might be a shaping little softer than they had planned. Hmmmmm.