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Dell expects China revenues to near $5b in 2010

Dell (DELL.NASDAQ, 4331.HK), the world’s third-largest personal computer manufacturer, expects its China revenues to near US$5 billion this year, Reuters reported. Speaking to an audience of suppliers, CEO Michael Dell also said that the company would spend US$25 billion this year in deals with Chinese suppliers and partners, compared to US$23 billion in 2008 and US$29 billion in 2009. China is Dell’s second-largest market and the company supplies around 60% of the servers used by internet companies in the country. Dell’s sales in China increased 81% in the last quarter on the back of government incentives aimed at boosting consumption, particularly in smaller cities. The day before Michael Dell spoke, the company launched several new server and storage products targeted at cost-conscious companies. It is also entering the services business. Michael Dell said the health care and education sectors are of great interest as better information technology could greatly improve productivity.

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