Dell 2000 Annual Report Download - page 5

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For financial information about the results of the Company's operating segments for each of the last three fiscal years, see Note 10 of
Notes to Consolidated Financial Statements included in "Item 8 — Financial Statements and Supplementary Data."
During fiscal year 2001, the Company opened new manufacturing facilities in Nashville, Tennessee and Xiamen, China. The
Company also opened a call center in Nashville, Tennessee and additional office and research and development space in Austin,
Texas.
Products and Services
The Company's product offerings include: Dimension and OptiPlex desktop computers, Latitude and Inspiron notebook computers,
PowerEdge servers, PowerApp server appliances, PowerVault storage products, and Dell Precision workstations. The Company has
also continued to broaden its revenue base beyond the core systems, commonly referred to as "beyond the box" revenues. These
offerings include warranty services, product integration and installation services, Internet access, ReadyWare, DellWare, peripherals,
technology consulting and other offerings.
Enterprise Systems
Servers — The Company offers two lines of server products. The PowerEdge line of servers consists of systems that can operate as
file servers, database servers, applications servers and communications/ groupware servers in a networked computing environment.
The PowerEdge SC family of servers was announced in the first quarter of fiscal year 2002 and is designed for high growth small
business and small corporate local area network and branch office environments. PowerApp appliance servers, introduced in the first
quarter of fiscal year 2001, are specialized servers that target Web hosting and network traffic management needs of Internet service
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providers, dot-coms and other companies that are developing or enhancing their Internet infrastructures. According to International
Data Corporation ("IDC"), based on preliminary first quarter calendar year 2001 data, the Company ranked number one in the United
States for standard Intel architecture server shipments. The Company ranked number two in the United States and worldwide for
server shipments, based on calendar year 2000 data. In fiscal 2001, the Company achieved a 39% unit-shipment growth in servers, the
fastest among the industry's ten largest companies.
Storage — The Company's PowerVault storage offerings are designed to standardize and simplify storage solutions for customers who
need complete, affordable storage systems without sacrificing enterprise capabilities. The Company offers a comprehensive portfolio
of hardware, software and services for server-attached storage, Storage Area Networks (SAN), and Network-Attached Storage (NAS),
targeted at small businesses, as well as workgroups and data centers within enterprises. The Company's products include SCSI and
Fibre-channel based disk systems, tape backup systems, SAN and NAS appliances, as well as complimentary storage management
software to simplify administration and minimize related costs. Based on calendar year 2000 IDC data, the Company ranked number
six worldwide in storage revenue.
Workstations — The Dell Precision workstation product line is intended for professional users who demand exceptional performance
to run sophisticated applications, such as computer-aided design, digital content creation, geographic information systems, computer
animation, software development and financial analysis. According to IDC, the Dell Precision workstation product line held the
number one worldwide market share position in calendar year 2000.
Notebook Computers
The Company offers two lines of notebook computer systems. The Latitude line provides large corporate, government and education
customers with reliability, stability and superior battery performance for complex networked environments. The Inspiron line is
targeted to home and small business users who require the latest technology and high-end multimedia performance. The Company
ranked number one in U.S. and number four in worldwide notebook computer shipments in calendar year 2000, according to IDC.
Desktop Computers
The Company offers two lines of desktop computer systems. OptiPlex desktop computers are designed for corporate and institutional
customers who require highly reliable systems within networked environments. Dimension desktop computers are designed for small
businesses and home users requiring fast technology turns and high-performance computing. According to IDC, the Company ranked
number one in U.S. desktop shipments and number two in worldwide desktop shipments in calendar year 2000.
Beyond the Box Products and Services
The Company maintains a variety of software and accessory programs to complement its systems offerings. Through these programs,
the Company offers nearly 30,000 competitively priced software and peripheral products from leading manufacturers. The DellWare
line of software and peripherals is a single source solution for customers. DellWare offerings include memory upgrades, printers,
monitors and software, all of which is available online through www.dell.com. The Company's custom factory integration program
provides installation and configuration of customer hardware and software, asset tagging and labeling. Through the ReadyWare
program, the Company offers factory-installed off-the-shelf software applications. Additionally, the Company offers a wide array of
handheld products.