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Last Updated: Wednesday, 22 March 2006, 23:42 GMT
Dell launches Alienware invasion
PCs from another planet
The world's largest computer maker Dell is buying gaming-computer firm Alienware whose PCs are famous for their "Alien" UFO style look.

Texas-based Dell said Alienware would operate as a standalone division, keeping its brand name.

Alienware, based in Miami, was founded in 1996 by Nelson Gonzalez and Alex Aguila, two friends from childhood, who will continue to run the company.

The deal gives Dell a leg up into the lucrative computer gaming market.

But Dell did not disclose the financial terms of the deal.

Growth potential

Alienware is expected to have a turnover of $225m (128m) this year, up from $172m in 2005.

This is good news for Dell's consumer market,
Ted Schadler, analyst

This huge growth potential is attracting big firms into the video gaming PC market.

Dell revamped its XPS line in 2001 to feature high-powered, high-priced computers in a bid to compete more effectively with companies like Alienware and Voodoo.

In January this year, Dell's chairman Michael Dell announced an aggressive push into consumer electronics on the basis that about 20% of PC users use games too.

"This is good news for Dell's consumer market," said Ted Schadler of Forrester Research.

"It is kind of re-upping Dell's commitment to that market."

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