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Dell and HP to slash notebook R&D

Dell and Hewlett-Packard are taking “steps to slash notebook R&D expenditure for 2009, according to sources at Taiwan IC channel distributors,” Hans Wu and Steve Shen report for DIGITIMES.

“Notebook R&D personnel working at Dell and HP are assigned mainly to test the performance and reliability of new parts and components. This work overlaps that performed by R&D staff at ODM makers and so is an area vendors can afford to cut back on without impacting new product development, the sources noted,” Wu and Shen report.

“The cuts in R&D expenditure would allow Dell and HP to reduce operating costs while boosting earnings, the sources added,” Wu and Shen report.

“With the planned cuts, Dell and HP will no longer overwhelmingly control the procurement of parts and components needed for the production of their notebooks and instead will delegate purchasing power to ODM makers, allowing the contract makers to purchase needed parts from the suppliers they chose,” Wu and Shen report.

Full article here.

[Thanks to MacDailyNews Reader “MacVicta” for the heads up.]

MacDailyNews Take: Dell and HP did notebook R&D?

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