The Biggest Acquisitions in Dell's History

There is no doubt that Dell is one of the biggestTechnologies after the latter's acquisition in 1999.
names in the computer industry today. Dell as it isEqualLogic was an IP storage network vendor that
right now is a far cry from the part-time businesssold iSCSI storage appliances, founded in 2001.
that Michael Dell started out as a college kid right outDell bought EqualLogic for US$1.4 billion, an amount
of his dorm in 1984. In the course of 25 years, histhat business analysts considered staggering at the
company expanded into a billion-dollar enterprise withtime. Despite the hefty price tag, analysts
operations not just in the United States but in manynonetheless lauded Dell for the purchase because of
other countries across the globe.the innovations EqualLogic had introduced in the field
Over time, Dell has forged partnerships and madeof storage networks and virtualization.
mutually beneficial arrangements with other3. Perot Systems. Perot Systems, a provider of
companies in the computer industry. Over the years,information technology services and business
it has also bought a number of companies in ansolutions, is the latest and biggest acquisition that Dell
effort to broaden its interests.made to date. The deal between Perot Systems and
What are the biggest acquisitions in the history ofDell was closed in late September 2009, with an
Dell as a company? Here is a brief list.unbelievable US$3.9 billion changing hands. The
1. ConvergeNet Technologies, Inc. ConvergeNetacquisition of Perot Systems is expected to bring Dell
Technologies, Inc. was a private company thatan additional US$8 billion per year.
specialized in storage networks. Dell bought theDell bought Perot Systems in an effort to diversify
company in 1999 as part of its move to expand toits business outside of its core business of personal
storage networks and improve the future sales of itscomputer development. Analysts believe that this
PowerVault product line.acquisition is a move on the part of Dell to catch up
The price paid for ConvergeNet Technologieson flagging market shares. According to Wall Street
amounted to Dell's 6.9 million common stock sharesreports, profits from personal computer development
with a total worth of US$340 million. As part of theare on the downtrend and computer manufacturers
deal, the president and CEO of ConvergeNetare trying to look at newer IT business models to
Technologies at the time became the vice presidentkeep up.
and general manager of the Dell storage systemThese are just three of the biggest acquisitions
division. This division included people from bothmade by Dell over the years. Given that Dell remains
ConvergeNet and Dell's storage networks teams.to be among the most respected and profitable
2. EqualLogic. As part of its move to expand furthercompanies in the computer industry, there will likely
to storage networks and related products, Dellbe other, bigger acquisitions on Dell's path in the
acquired EqualLogic in 2007. This was after Dell failedfuture.
to generate successful work with ConvergeNet