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SCMP Reporter

Dell Computer's Asia-Pacific president Phil Kelly has resigned. He will continue to work for the company until the end of the year, when he will be replaced by AT&T executive John Legere.

 Mr Legere was president and chief executive of AT&T's Hong Kong-based Asia-Pacific unit from 1994-97.

 Immediately prior to his appointment, Mr Legere, 39, was president and managing partner of AT&T Solutions' worldwide outsourcing practice, a US$2.6 billion division based in New Jersey.

 Mr Kelly, who was appointed to head Dell's Asian operations in November 1994, had left 'to pursue entrepreneurial opportunities in Asia', according to Dell.

 Despite aggressive marketing, Dell has yet to break into the top echelon of PC makers in Asia, outside Japan.

 It had 2.5 per cent of the market in the first quarter of this year, according to International Data Corp figures, placing it eighth among PC makers.

 In the mainland, the largest market for computers in Asia outside of Japan, Dell does not rank in the top 10.

 Dell, famed for selling computers direct - to companies via its own sales staff, and to consumers through the telephone or the World-Wide Web - does not sell PCs direct in key markets such as the mainland and India, relying on conventional distributors and retailers.

 Analysts said this made it harder for Dell to differentiate itself from other brands or offer the lower prices possible under direct selling.

 Asia, including Japan, comprised only 7 per cent, or $863 million, of Dell's overall 1997 revenues of $12.33 billion, whichhas helped Dell escape the revenue slump due to the Asian economic troubles. However, sales in Asia grew 35 per cent in its most recent quarter.



Kelly quits as Dell Asia-Pacific chief