Computer manufacturer Dell yesterday said it will unveil a music service and other consumer electronics products before the holidays.
Chief Executive Mr Michael Dell said the products, which include a digital music player and a flat-panel television, will allow the company to take on the home entertainment market. Dell already sells some consumer electronics under its own brand.
"In 1997, we weren't really in the consumer personal computer business. We're now No. 1 in the largest market in the world. It's conceivable that we could do the same in these other categories, as well," Mr Dell said during a conference call.
The company's move follows that of other PC makers that have begun to reach deeper into the consumer electronics market amid weak demand for computers. Dell already sells an inexpensive printer and a handheld computer.
Rival Apple has launched the iPod music player, and Gateway sells big-screen televisions. Hewlett-Packard has said it will spend $300 million on advertising its consumer products this fall.
Dell became the number one personal computer company by selling directly to customers, enabling it to pass steadily falling computer parts costs on to buyers and undercut competition with aggressive pricing.