Dell Computer Corp said this week it expected Europe to drive growth this year, and was counting on expansion into China and South America to add $1 billion or more to sales in the next several years.
"We expect Europe to be the fastest growing part of the world for us this year and a very large part of our business," said vice-chairman, Mr Morton Topfer.
Chairman and founder Mr Michael Dell said: "I think you will see Dell grow in Europe several times faster than the market this year."
Dell currently holds 8.3 per cent of the European market. European sales in the fiscal quarter that ended May 3rd totalled more than $1 billion, climbing 62 per cent.
Non-US markets, which account for only 35 per cent of sales now, should keep Dell growing rapidly, Mr Topfer said.
Later this year, Dell plans to open a plant in China. Similarly, it plans to build a plant in Brazil next year to lead a push into South America.
"South America probably has the potential to be a billion-dollar market, too," Mr Topfer said.
Mr Topfer also said the company was using Internet links to suppliers to reduce its inventory even further from levels that are already among the lowest in the industry. Dell currently turns over its parts inventory every eight days and expects to halve that over the next year or so.
Meanwhile, Mr Dell said he was not concerned about the six-month delay in the arrival of Intel Corp's next-generation Merced processor.
"Actually it gives us a little more time to get ready for it," he said.
Intel said last Friday that Merced would be available in the year 2000, six months later than it had previously expected.
The news sparked a drop in Intel shares that dragged down other technology stocks.
:quality(70)/cloudfront-eu-central-1.images.arcpublishing.com/irishtimes/VR3765MFOBH2NMV2QNICYDF67M.png)