Dell Computer Corp. has launched a Web-hosting
service, the company's latest push to expand its horizons in the
small and medium-size business market.
Many large corporations run Web sites on their own servers, but
smaller companies often put their sites on the servers of Web
hosts.
Dell officials said their new service is aimed at the 74 percent
of small businesses that lack a Web site and the 85 percent without
online storefronts.
"There are a large number of small businesses that aren't on
the Web ... who analysts are predicting will get on the Web," Tim
Mattox, vice president of Dell's hosting group, said Tuesday. "We
want to take advantage of that."
The Web-hosting market for small and medium businesses will be
$16 billion by 2003, according to a study by International Data
Corp.
The Round Rock-based computer maker that made most of its
fortune by selling computers directly to large organizations
recently has been increasing its presence in the home and
small-business market by offering new products and services.
Earlier this month, Dell launched its Internet Partner Division,
promising to provide companies with servers, storage, and services
to build Internet infrastructure.
Last November, Dell introduced the Webpc, a line of low-priced
personal computers that trade fancy features for a focus on easy,
quick Internet access. It also announced its involvement in
all.com, which connects computer users to online technical support.
"It's kind of a natural extension of trying to provide services
to small business and giving the whole e-commerce trend customers
sort a package deal," said Barry Jaruzelski, an analyst with Booz,
Allen & Hamilton Inc. in New York.
For fees ranging from $17.95 per month for shared hosting to
thousands of dollars per month for dedicated hosting, Dell will
provide space for Web pages and technical support. Design services
and tools also are available through the new Web site,
DellHost.com.
Dell has partnered with Houston-based Interliant to provide the
application services. Terms of that deal were not disclosed, but
Dell along with Houston-based BMC Software has a $17.5 million
investment in Interliant.
Because they are targeting small and medium businesses, Dell
the nation's No. 1 personal computer maker is not risking
alienating its own customers, such as Intel, that offer Web-hosting
services to larger clients, Mattox said.