Compaq snipes at Dell enterprise business

Compaq has dismissed claims that Dell will be a top enterprise systems and servers supplier and challenged Compaq's leadership with its direct sales model as "laughable".

Dell currently trails Compaq in UK server sales by 34 points, according to IDC and only just entered the workstation market in July.

"To be honest, from the server point of view, we looked at [Dell's] market share figures they were posting in utter amazement," said Hugh Jenkins, enterprise group manager of the Compaq systems division. "We don't see them winning the big bids. To be a a 10 per cent player in the market you have to win large server bids in medium and corporate businesses."

Dell believes that it can win sufficient business in the enterprise market with its direct sales model, a feat which Jenkins claims is almost impossible.

"I don't think selling off a Web page will work in this market," he added. "You need feet on the street, people to work alongside your customers providing constant advice and consultancy. That's why our corporate reseller strategy is better suited to this market. We have the big bid wins with people like BT and the Halifax.

"I also don't think Dell is leading edge enough at the high end to enable them to cover the breadth of requirements that customers tend to have. I think corporate resellers will be around for a long time."