Dell and Samsung enter $16 billion agreement

Samsung Electronics and Dell have announced that they have entered into a strategic, multi billion-dollar technology and research-and-development agreement worth $16 billion.

Terms of the estimated $16 billion dollar global agreement call for Samsung to ensure supply of memory components, liquid-crystal displays (LCD), monitors and optical disk drives to Dell for use in the manufacture of its line of computer system products.

The companies have also agreed to collaborate on research and development efforts focused on providing Dell customers with world-class products at competitive prices.

In October 1999, Dell expanded its strategic relationship with Samsung to ensure a long-term supply of LCD panels used in notebook computers and flat-panel monitors.

‘Samsung has consistently provided us with leading-edge technology for the array of products we customise and offer directly to our customers,’ said James T. Vanderslice, co-president and co-chief operating officer, Dell. ‘As we broaden our strategic relationship to also include research and development activities, we believe we are positioning ourselves to further extend our ability to meet the evolving needs of those customers.’