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NEC Corp. Expands PC Server Lineup to Counter Dell's Low-Priced Offerings

Strategic Insights

— 1 min read

In a move to regain its leading position in Japan's PC server market, NEC Corp. is expanding its lineup of personal computer server products to compete with Dell Inc.'s low-priced offerings. According to recent data, Dell's domestic shipment volume of PC servers surpassed NEC's for the January-March quarter, making Dell the leading supplier in Japan. NEC currently markets only three servers, while Dell Japan Inc. offers six models. To address this gap, NEC will introduce three new models that are comparable in function and price to their Dell counterparts, priced between 138,000 yen (US$1,270) and 408,000 yen.

Key Takeaways:

  • NEC Corp. will expand its PC server lineup to counter Dell's low-priced offerings in Japan.
  • Dell's domestic shipment volume of PC servers surpassed NEC's for the January-March quarter, making Dell the leading supplier in Japan.
  • NEC currently markets only three servers, compared to Dell Japan Inc.'s six models.
  • The new NEC servers will be priced between 138,000 yen (US$1,270) and 408,000 yen, comparable to Dell's offerings.
  • NEC will offer a notebook PC server, a product that Dell does not sell in Japan, priced from 99,800 yen.
  • The new notebook PC server requires about 320 sq. cm of space, less than half that of a conventional server.
  • NEC has already rolled out the least expensive PC server for the domestic market, priced in the 40,000 yen range.
  • NEC launched a service that fills PC server orders in two days or less, the fastest in the industry.
  • The company also offers a rapid-response troubleshooting service run by a subsidiary through 436 centers nationwide.

Statistics:

  • Dell's domestic shipment volume of PC servers surpassed NEC Corp.'s for the January-March quarter.
  • NEC currently markets three PC servers, while Dell Japan Inc. offers six models.
  • The prices of the new NEC servers will range from 138,000 yen (US$1,270) to 408,000 yen.
  • The notebook PC server requires about 320 sq. cm of space, less than half that of a conventional server.
  • The least expensive PC server for the domestic market is priced in the 40,000 yen range.
  • 436 centers nationwide offer rapid-response troubleshooting service.
  • NEC's service fills PC server orders in two days or less, the fastest in the industry.

Sources:

  • (Nikkei) 20-07 1628

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