Dell Dumps White Boxes

Dell has dropped its three year old white box program, an idea hatched to increase channel penetration through small resellers and VARs. Dell concludes that in 2005 customers are willing to pay for the Dell name, as opposed to the "no name" implied by a white box.

I don't think of this as an end of life issue so much as a change in market. The Dell brand name -- widely recognized now by consumers and small businesses who buy from local resellers due to Dell's extensive U.S. print and TV advertising -- is valued more now than it was in 2002. That makes it a plus for resellers.

Peter S. Kastner