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Personal computer manufacturer Dell decided this week to cancel its consumer department in the United States, which means that Dell has withdrawn from the home entertainment market to some extent. Although the market scale of household appliances is very attractive, up to 654.38+025 billion dollars, PC manufacturers are struggling in it, and they have to deal with the impact from some low-priced PCs.

Despite the unfavorable situation of slow growth, Dell is expected to lay off 65,438+0,000 employees, but a company spokesman said that its efforts in consumer business have not changed, and it will continue to sell home computers, digital TVs and music players in various ways.

However, analysts believe that these businesses are reducing the company's profit margin and adversely affecting the overall financial situation. In the second fiscal quarter, the profit of American home computer business fell by 33% to only $98 million.

Some analysts pointed out that Dell's problems in household appliances were partly due to the competition with large household appliance retailers, such as BestBuy and Circuit City Stores Inc, both of which took new measures after PC manufacturers entered the market. In addition to price concessions, they also sold more products, increased high-end products and services through bundling, and strengthened the cooperation between store sales and online sales. With its comprehensive advantages, powerful traditional electrical appliance sellers not only have the upper hand in home appliance sales, but also face new pressure in the PC market. It is predicted that Wal-Mart will sell a laptop with wireless configuration this year for only $398, while the cheapest Dell laptop will cost $599.

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