Abstract: News on March 14, according to Taiwan's "Business Times", in order to cope with geopolitical risks, Dell plans to exclude Chinese mainland chip designers and chips manufactured by Chinese mainland in 2026.
News on March 14, according to Taiwan's "Business Times", in order to deal with geopolitical risks, Dell plans to exclude Chinese mainland chip designers and chips manufactured by Chinese mainland in 2026.
AS EARLY AS JANUARY THIS YEAR, THE INDUSTRY REPORTED THAT DELL, A GLOBAL PC BRAND MANUFACTURER, HAS NOTIFIED ITS SUPPLY CHAIN AND FOUNDRIES THAT IT PLANS TO COMPLETELY STOP CHIPS MANUFACTURED BY Chinese mainland IN 2024, INCLUDING CHIPS PRODUCED BY Chinese mainland MANUFACTURERS AND NON-Chinese mainland MANUFACTURERS IN THE MAINLAND. In addition, there is also news that Dell also plans to move 50% of its production capacity out of the Chinese mainland by the end of 2025.
According to the latest report from the "Business Times", Dell's chip procurement will be "de-Chineseized" in stages, and Chinese chip companies will be prioritized from 2026 as soon as 2026. The "de-Sinicization" of the supply chain of desktop computers, notebook computers and peripheral products will be launched from 2025, with the US domestic demand market dominating. It is planned to complete 100% "de-Sinicization" of domestic products in the United States by 2027. This also means that in 2027, 35~40% of Dell's products will be produced outside Chinese mainland.
Geopolitical influences have forced the technology industry to shift from globalization to two systems, and Dell is obviously the first major PC brand to plan a complete set of coping scripts and put them into action, from the most upstream IC procurement policy to the middle and downstream peripherals and machine assembly are standardized.
It is understood that Dell's chip procurement strategy to be implemented in stages from 2026 at the earliest, first of all, will no longer purchase chips that Chinese chip design manufacturers have Chinese mainland chip on, and the second stage is no longer to purchase chips from Chinese chip design manufacturers in overseas fabs to produce chips.
According to Gartner, Dell's total shipments of desktop computers and laptops last year approached 50 million units, and the total amount of chip purchases reached $18 billion. Even under the global unblocking and economic downturn, Dell's annual PC shipments in the next two or three years will be about 47 million units, and the annual purchase amount of various chips is estimated to reach more than 16 billion US dollars.
For Dell's de-neutralization in the manufacturing supply chain of terminals and peripherals (such as keyboards, power supplies, fans, etc.), it starts with the US domestic demand market. It is understood that Dell has recently intensively negotiated with the middle and downstream supply chains, taking notebook computers as an example, Dell requires that starting in 2025, Dell supplies products for the US market, 60% must be produced by factories outside Chinese mainland, and in 2027, the proportion of products assembled outside China in 2027 must come to 100%, and Dell has similar requirements for desktop computers.
According to industry analysis, the US market contributes more than 40% to Dell notebook computer shipments, so it is estimated that notebooks will be assembled in factories outside Chinese mainland 18 million ~ 19.2 million units in 2025, and 3000~32 million units when assembled outside Chinese mainland in 2027, which will not be underestimated to promote the transfer of the PC supply chain from Chinese mainland to overseas.
Editor: Xinzhixun - Ronin Sword