As a result, Dell is moving into a market segment with a fierce competitive pressure, and it seems like the company may be having problems identifying something special enough to generate interest in its entry. A research note from Shaw Wu, analyst at Kaufman Bros found that carrier interest in Dellï¿¼s system was tepid. Without any carriers willing to carry the product, the vendor will be hard pressed to generate the buzz -- and more importantly the distribution channel -- needed to make headway in this highly competitive market.
Yet, Dell has proven its skeptics wrong in the past. The company has been able to build a multi-million dollar business by delivering low cost, high performance hardware that was simple to deploy, and its approach has met the needs of many small and medium businesses. Also some observers did not think that the company would be much of a factor in the storage market, but such predictions have proven to be incorrect. Consequently, its expected entry into the smartphone market could drive pricing down and make the devices more appealing to small and medium businesses.