Dell has announced plans to phase out chips made in China from its devices by 2024 in a move that could have major ramifications across the broader technology industry.
said a person familiar with the matter Nikki Asia (Opens in a new tab): “The specific shift includes not only those chips that are currently manufactured by Chinese chip makers but also in facilities in China for non-Chinese suppliers.”
According to recent Canalys numbers, Dell accounted for 26.1% of US desktop, laptop, and workstation shipments in the third quarter of 2022, putting it in the top spot ahead of HP (22.7%) and Apple (16.7%).
Dell in China
The speculation points to growing concerns about the security and reliability of Chinese-made chips, which have only accelerated amid tensions between China and the United States.
Dell’s decision to reduce its reliance on “made in China” chips is part of a broader trend among tech companies, in which general sentiment has been felt to diversify supply chains.
It has also been reported that HP is making plans that include reducing its reliance on individual countries to manufacture large proportions of its components, including China.
In a bid to expand manufacturing, sources claim that Dell is also asking other component suppliers and even product assemblers to prepare to move to other countries, such as Vietnam.
Dale said Nikki Asia This, “best meet [its] needs and expectations of customers and partners, [it has] Geographic diversity, flexibility and stability built into it [its] Global supply chain, “and they” are constantly exploring[s] Diversifying the supply chain around the world makes sense [its] customer and [its] Action”.
TechRadar Pro I reached out to Dell and a few other computer companies for more feedback on curtailing Chinese supply chains.