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DELL.O
DELL COMPUTER
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25.00 -0.33
HPQ.N
HEWLETT-PACKARD
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LXK.N
LEXMARK INTL
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Dell to Sell Dell, Not HP, Printer Cartridges
October 09, 2002 11:24 AM ET
 

LAKE BUENA VISTA, Fla. (Reuters) - Dell Computer Corp. DELL.O plans to sell ink cartridges for Dell printers as part of an across-the-board printer offering, but not ones designed to work with competing machines from Hewlett-Packard Co. HPQ.N , Dell's founder said on Wednesday.

Dell said last month it planned to enter the printer business with Lexmark International Inc. LXK.N , but did not provide details. Dell will resell Lexmark products and will work with the company on Dell-branded printers, it said.

Michael Dell, chief executive of the No. 2 PC maker, said on Wednesday at the Gartner technology conference in Lake Buena Vis ta, Florida that the company plans to drive costs down when it enters the printer market, selling everything from printers to supplies like replaceable ink cartridges.

Printer makers make most of their profits on cartridges, not necessarily printers.

"I think the price for the total offering, printer, supplies -- obviously consumables are part of supplies -- that entire price can come down quite significantly," Dell said. He said more details would come in the first half of next year.

He said that the company doesn't intend to sell Dell-branded ink cartridges that are compatible with printers from Hewlett-Packard, the world's No. 1 printer maker and personal computer maker.

"That's not our plan," Dell said.


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