Compaq will soon be selling 'built-to-order' computers in a move that would place it in direct competition with fellow Texans Dell Computer.
There has been speculation that Compaq would launch a takeover bid for direct PC sellers such as Micron Electronics or Gateway 2000, but it seems the company would now rather build up its own direct sales channel.
Micron's parent company last week acknowledged talks had taken place with Compaq but said no offer had been made.
Meanwhile, at its biannual Innovate Forum in Houston, Compaq's president and chief executive officer, Eckhard Pfeiffer, said the company was ready to launch its Optimised Customer Delivery programme.
'We will build and ship standard products within one to five days of receiving an actual customer order,' Mr Pfeiffer said.
Build-to-order reduces the need for weeks of inventory in the traditional sales channel. Components are always at risk of being devalued because of price fluctuations.
Compaq executives emphasised that there was no attempt being made to cut out the channel middlemen.