Dell Computer To Introduce Line Of Workstations

Dell Computer Corp. this week plans to unveil its first line of desktop workstations, pushing further into markets dominated by Compaq Computer Corp., Hewlett-Packard Co. and Sun Microsystems Inc.

The personal computer maker scheduled a “major product announcement” at Nasdaq’s MarketSite in New York on Monday. Company spokesman T.R. Reid said the announcement is about the workstations, declining to provide any details.

Analysts said Dell’s push into workstations, powered by Microsoft Inc.’s Windows NT operating system, will help it expand unit sales and revenue as the average selling price of simple desktop PCs declines.

“It just helps them gain market share going forward,” said Phil Rueppel, an analyst with Alex. Brown & Sons in San Francisco.

Workstations are more expensive than PCs and have more sophisticated uses for professionals such as scientists and engineers, who need large amounts of computing power.

Ashok Kumar, an analyst with Southcoast Capital in Austin, Texas, said the new machines, which are expected to cost $5,000 to $6,000 apiece, will help by boosting the average selling price of Dell’s products.