NEW YORK (AP) — Computer maker Dell Inc. is planning more than $2 billion in cost cuts over the next three years as its looks to transform its business so it can keep pace in the highly competitive technology sector.
The company said during the second day of a conference in Austin, Texas, on Wednesday that the bulk of the cuts — approximately $800 million — will come from its sales group. Another $600 million in cost savings are anticipated to be found in its supply chain.
The company has been struggling with weak PC sales as consumers increasingly shift to tablets and smartphones. It has been buying up software and services companies in an effort to move beyond PCs.
Its shares are up almost 4 percent.
Dell announced on Tuesday that it will soon pay its first quarterly dividend.