Dell to Acquire Alienware

by admin March 23, 2006 at 12:23 pm

Dell has put the industry buzz to bed about Alienware. The number one computer maker announced today that it would buy the high-end maker of PC and gaming PCs.

Terms of the deal were not disclosed. But Dell said Alienware would continue as a subsidiary once the deal closes, and will maintain its own product development, product marketing, sales, technical support and other operations.

The deal could be worth as much as $400 to $600 million, according to analyst Roger Kay of Endpoint Technologies Associates.

“This is a company with real profits and a real brand recognition,” Kay told “It’s also a new thing for Dell since they haven’t bought a company and maintained it as a separate subsidiary before that I know of.”

Before the deal was announced, Dell’s stock was up almost half a percent Tuesday to 30.41. Dell’s been trading in the high 20’s to low 30’s this calendar year, but reached the 40’s last summer. Dell spokesperson Jess Blackburn told he didn’t think the deal would “have any material affect on Dell’s financial status.”

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