Dell talks down Alienware buyout rumors

— 9:20 AM on March 15, 2006

Dell has downplayed reports of its purported acquisition of rival company Alienware. The rumors started on the blog of VoodooPC's CTO Rahul Sood and propagated onto a post on CNET's Alpha Blog, where a CNET associate senior editor claimed that a "reliable source" had confirmed the deal's authenticity. Paul McKeon, Dell's spokesman for Australia and New Zealand, said the following about the rumor:

"I'd suggest you take that speculation with a grain of salt given the origin stated in the blog (Alienware's competitor)--you can never be sure what the motivation is," McKeon told ZDNet Australia via e-mail.

He also questioned the reasons behind such an acquisition, stating that Dell has the potential to be seen as a "cool" company and is more than capable of building viable gaming machines without Alienware's help.

"Dell's XPS range already offers better performance and better value than Alienware's machines, and in the XPS mobile concept you've seen the potential of one of the cool new things Dell could do this year," McKeon added.

Alienware also spoke out, releasing a statement claiming that it would not comment on the rumors, but that "news stories like this [were] ultimately a strong positive reinforcement of the Alienware brand and the company's success."
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