08/22/2006, 3:30pm, EDT
Tuesday, August 22nd
Dell withdraws from MP3 player market
Dell has apparently conceded defeat in the MP3 player market, as reports indicate that the company is no longer selling any of its MP3 players and has removed most referencs to its DJ Ditty MP3 player from the Dell website. Electronista notes that the Texas-based Dell originally entered the digital audio player market in late 2003 to capitalize on the rapidly expanding popularity of Apple's iPod; however, despite attempts to compete with Apple on features and price, Dell has consistently struggled to find significant marketshare. Earlier this year, Dell discontinued all its hard drive-based players in favor of the lower-end DJ Ditty flash player. "As of today, Dell has quietly admitted its long-term failure in the market by removing the DJ Ditty and most references to it from the company website. Users of Dell's DJ forums have also reported that no Dell-branded players remain in the monthly catalog and that the DJ Ditty had been discounted earlier in the month," the report said.
In recent months, the company has struggled to leverage its operational superiority and direct model, posting dismal second-quarter earnings, including a decrease of 50 percent in profit; the company also recently anounced an informal probe by the SEC and the largest consumer recall ever, affecting 4.1 million batteries used in its laptops. Dell was reportedly aware of the battery flaws since last October.
In addition, the company said it will turn to AMD for CPU chips for its desktop lines, following an announcement earlier this year that it would offer servers with AMD's Opteron line.
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its funny how none of these companies get it. Ipods are great because itunes is great. And great = simple.
maybe next time dell. go back to.. what do you guys do again?
I generally have nothing against PCs or PC makers. But I never miss the opportunity to engage in a little healthy schadenfreude at Michael Dell's expense. Had he not been so vocal about his disdain for the Mac and Mac users, I wouldn't be trashing him at every turn.
Too bad for the deliriously dumb DJ Ditty. What marketing genius thought up that lame "aw shucks" name in the first place. the name sucked, the product sucked, and the manufacturer never ceases to find new way to suck at everything except for mediocrity.
And would somebody please tell Bill that Zune is being born DOA?!?!? Huge losses are sure to be inflicted on all companies whom embrace the windows vista trap...Or does he already know that Vista too is aproaching DBD..(dead before delivery).
Might be better just to close Dell now and sell off the assets to overseas investors who are the same wackos writing the spyware-virus anyway, outdated technology is infact a liability and those who hang on to it are doomed to repeat the death spiral...then retire to paradise.
But I'm sick of people looking at the MP3 player market. I don't want an MP3 player. I want an AAC player and currently the only one in the game is the iPod. Since most people use iTunes, and most people buy CD's still and rip them, doesn't it make sense to make AAC players and a little app that will copy the AAC's to the player. Even if it didn't work with iTMS songs, it would have a much, much larger audience than all these MP3/WMP players that are out there.
This just goes to show that you can have all the money and resources in the world and still not be able to see what's staring you in the face.
Queen's Greatest Hits On sale now at the iTunes Music Store... :)