Dell has agreed to acquire Wyse Technology, a move which could help them support their business sector customers.
The deal has not yet been closed but is expected to in the second quarter this year. Wyse Technology was founded in 1981 and originally created desktop terminals which could replace desktop computers. Wyse claim to have shipped 20 million of the devices which it calls ‘thin clients'. They now produce hardware and software to support Cloud computing.
The company then moved into other sectors, including desktop virtualisation. They produce software that can allow businesses to securely and remotely manage their devices.
The demand for these products has been rising. Wyse reported revenue increases of 45% in their last fiscal yearly report.
Dave Johnston, senior vice president of corporate strategy for Dell said “Wyse is an independent entity that's really been gaining momentum to grow into a No. 1 market share position.”
Wyse announced a 12 month revenue statement of $375 million.
Dell are trying to expand their business into different areas, to generate the company a higher revenue stream. This includes storage products, security, services and networking. They have bought around 12 companies since 2009, including Boomi Inc, SecureWorks and Perot Systems Corp.
Kitguru says: The move has been seen to make strategy sense by analysts in the field.