Dell Announces Its New “In China, For China” Strategy to Support Job Creation; Propel Entrepreneurship and Innovation
Dell CEO Michael Dell today announced the new "In China, for China" 4.0 strategy, along with plans to deeply integrate Dell’s future development planning into Chinese economic development, as well as Chinese policies.
"China and the United States are among the countries where the information industry is developing the fastest, resulting in the most vibrant enterprises," said Mr. Dell. "The Internet is the new engine for China’s future economic growth and has unlimited potential. Being an innovative and efficient technology company, Dell will embrace the principle of ‘In China, for China’ and closely integrate Dell China strategies with national policies in order to support Chinese technological innovation, economic development and industrial transformation."
Dr. Chenhong Huang, President of Dell Greater China, added, "Since our entry into China in 1995, Dell has been committed to bringing advanced business ideas and technologies into China and growing together with the Chinese market. Now, Dell has officially entered the fourth stage of its strategy which holds central the principle of ‘In China, for China.’ We will take deeper root in the Chinese market, focusing on local innovation, research and development and procurement, to meet the demands of customers. We will provide greater support to all our partners and further raise Dell’s strategic partnership in China to a new height."
Meanwhile, Dell Ventures is entering China. During the 2015 Two Sessions, Prime Minister Li Keqiang officially included "massive entrepreneurship and innovation by all" and "Internet+" in the Government Work Report as priorities for China’s future economic growth. Dell Ventures will support innovative enterprises in China to promote Chinese technology innovation. Dell Ventures focuses on emerging technology start-up companies, particularly in the fields of storage, cloud computing, big data, next generation data center, mobility and security. Dell Ventures allows Dell to help customers be at the forefront of technology, and support Chinese entrepreneurs to use IT technology to shape the future.
Dell already employs nearly 2,000 senior engineers and has already developed important research and innovative strengths. Dell will continue to expand and enhance its R&D team in China in further developing a R&D center for end-to-end solutions, which is specifically aimed to serve the Chinese market. The Dell Greater China R&D Center will support Dell’s IT development from desktop to data center, and from hardware to software and cloud computing.
Dell will collaborate with the Chinese Academy of Sciences, in establishing the "Artificial Intelligence and Advanced Computing Joint-Lab". This lab will focus on research and applications of new computing architectures in the brain information processing and artificial intelligence fields, and include cognitive function simulation, deep learning, brain computer simulation, and related new computing systems. The lab will also support innovation and development of brain science and intellect technology research, promoting Chinese innovation and breakthroughs at the forefront of science, as well as produce and industrialize these core technologies in accordance with market and industry development needs.
Mr. Dell and Jun Lei, the Chairman of Kingsoft Corporation, jointly launched the strategic partnership between the two companies. Both parties will expand their cooperation in the fields of big data and cloud computing, and jointly launch the "Dell-Kingsoft Cloud" services, which will address Chinese customers’ growing cloud solutions and services needs. Earlier this year, Dell signed several agreements with the Guiyang Municipal Government, China Electronics Corporation (CEC) and Tsinghua Tongfang Co., Ltd. respectively. Dell will work together with these Chinese partners to further improve and promote the development of the China cloud computing industry.
Over the past 20 years of development in China, Dell has been busy building R&D, production, sales and after sales services in China. Now complete, Dell has become a comprehensive industrial-chain company. A global operations base in Chengdu and the Xiamen operations center rely on each other, thus creating a global supply chain.
"Dell’s commitment to the principle of ‘In China, for China’ is evident in our manufacturing footprint here, with 65 percent of our finished systems produced in China by Dell and partners. China’s well-developed, clustered supply chain; abundant and well trained labor force; global ports and well established infrastructure make it a real supply chain advantage for us. China will continue to grow in its importance for Dell, especially in the areas of Supply Chain and Sales," said Jeff Clarke, Vice Chairman, Operations, and President, Client Solutions.
Channel development is a priority for Dell. Dell’s retail store presence in China has grown to its current count of almost 11,700 stores, covering 97 percent of the market. As of June 2015, Dell had more than 100 retail stores for Alienware, the leading gaming computer brand in China. In terms of commercial channels, Dell will delve deeper into telecommunications, Internet, energy, medical and financial service fields and aspects.
As a responsible corporate citizen, Dell has been actively assisting public welfare. Mr. Dell announced that the company will continue this initiative, donating close to 10 million yuan in cash or goods to education and informanization in China in 2015 to support the youth from underserved communities with their technology learning activities. To date, Dell’s donations in China amount to nearly 100 million yuan. Since 2005, Dell has partnered with the China Youth Development Foundation, China Education Development Foundation, Rural Education Action Plan, China Soong Ching Ling Foundation and other non-government organizations (NGOs), to actively promote youth learning, help pediatric cancer treatment, participate in disaster relief efforts, and provide volunteer team member support to the local communities. Dell has established more than 200 Dell Learning Centers for underserved students across China, with 170,000 students directly and indirectly benefitting. In fiscal 2015 (year ending January 31, 2015), 68% of Dell Greater China team members had contributed more than 46,000 hours of volunteer service.
China has become Dell’s second largest market outside the United States. In the Dell China 4.0 era, as one of the leaders in the IT industry, Dell will embrace the principle of "In China, for China" and closely integrate Dell China strategies and business with national policies in order to support Chinese technological innovation, economic development and industrial transformation.
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