Regardless of the situation, this is pretty big news with industry wide implications. There will certainly be shockwaves in the gaming industry judging by what seemed like 200 incoming phone calls that were fielded this afternoon at Voodoo.
Here are some random thoughts;
Implications to Dell:
- Dell now has another brand that they can plug into their engine.
- Dell has a new brand that they can scale and take to new markets around the world.
- It may give Dell a stronger negotiating position with their suppliers.
Short to Mid term Implications to AMD:
- Alienware, a soon to be subsidiary of Dell, is currently one the biggest swallowers of high end AMD Athlon 64 FX processors. This means Dell is technically a customer of AMD, and this is just the beginning.
- Dell may launch AMD based servers in the not too distant future.
- It’s likely that channel partners who are currently not engaged with AMD will be left confused and bewildered as their customers start making RFQ’s for systems with AMD based technology simply based on the influence that Dell has on the market.
Implications to Intel:
- It should be good news for Intel in the long term, that should be obvious.
- Intel will be in a stronger position than they currently are once their new parts come out.
- On the other hand, Dell could use this relationship to squeeze margins out of Intel.
Implications to others:
- The supply chain will change; Alienware will likely drop most of their channel suppliers and procure their products via Dell.
- Nvidia will certainly benefit immediately with their Quad SLI technology, nForce chipsets, SLI, and all the rest.
- When AM2 and Conroe come out it’s likely that ATi will also benefit in a big way because we are already seeing massive performance jumps from ATi’s previous generation to their current.
- I can’t speculate on the long term implications to the AW brand, only time will tell.
- Charlie at the Inquirer will wear the bunny suit decorated however we see fit. Anyone have any suggestions?
Implications to Voodoo and our other competitors:
- VoodooPC will continue to build high end luxury PCs including some new soon to be announced desktops. We will continue to evaluate new technologies as they come out – we’re certainly looking forward to both AMD’s new AM2 architecture and Intel Conroe.
- VoodooPC will launch a couple of new notebooks soon; we’re pretty excited about Intel Core Duo as well as AMD Turion 64 X2.
- There will be huge interest in the PC gaming space again. Dell has legitimized the gaming space, it’s clearly very important to them to be perceived as a leader in our space.
- The enthusiast companies like Voodoo will influence mainstream buying decisions more than ever.
- The smaller competitors in our space should also see a spike in business.
- Ten more companies will start painting their systems green and throwing neon lights in them only to call them gaming PCs. Eleven companies will shut their doors realizing that they don’t understand the gaming market.