He admits that tablets may be the first touch to the internet for most people in emerging markets, but he says it would mainly be a media viewing device. PCs, he says, will continue to be the primary computing device, and innovations like two-in-ones, all-in-ones and micro tower chassis have made the segment very inviting.
All-in-ones are increasing their marketshare within the PC segment. These are devices that combine the PC chassis and screen, so what you have is a compact device that saves a lot of space and avoids some of the unseemly tangle of wires. Their performance capabilities have been rising steadily, many now come with HDMI inputs so that you can connect them to console games, and some have touch screens.
"Our all-in-ones now start at a little over Rs 20,000, and that's enabling a shift from white boxes (assembled PCs)," Schmoock says. About 70% of desktops in India are still white boxes. The Dell XPS 27 has won good reviews among all-in-ones that are touch-enabled.
Micro-tower chassis as the name suggests are small form-factor chassis that again saves a lot of space compared to regular desktop chassis. They today offer almost 90% of the performance of full-tower boxes.
Two-in-ones are devices that are able to serve as both a laptop and a tablet. These come in two forms — either as a detachable touchscreen that doubles as a tablet, or one where the notebook's hinge rotates 360 degrees for a similar effect. Early versions of these were not particularly popular given that they invariably compromised on either the laptop or tablet experience or both. But that's beginning to change.
"Both micro-tower and two-in-one sales have been ahead of our initial forecast. Two-in-ones are a new category for us and we see a lot of interest. I expect they are going to become a bigger and bigger part of both the consumer and commercial market," says Schmoock.
He says Dell put a lot of focus on touch in PCs and that's paying off. "People prefer to touch to pause a video or to send a message. And Windows 8 with touch provides a much better experience than Windows 8 without touch," he says.
Schmoock says Dell going private in late 2013 has helped the company to focus on the longer term. Founder Michael Dell wrote similarly in a piece in Wall Street Journal in November: "Privatization has unleashed the passion of our team members who have the freedom to focus first on innovating for customers in a way that was not always possible when striving to meet the quarterly demands of Wall Street."
Schmoock says Dell has now seen six straight quarters of improved growth. India, he says, has been growing very well for Dell, especially the consumer and small business markets. "India, China, Brazil, US and Canada are our focus markets," he says.
Dell was the top PC seller in India in the first quarter of 2014, but was beaten to that spot by HP in the following quarter. It had close to a fifth of the overall market in the second quarter.
http://timesofindia.indiatimes.com/followceleb.cms?alias=Dell India business,Dell India,PC,Michael Dell,Dell PC
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