Four Z77-Based Mini-ITX Motherboards, Reviewed

Yes, you can get all of the functionality enabled by Intel's Z77 Express chipset in a tiny mini-ITX form factor! We round up four motherboards that uniquely approach the gaming and media center markets with a range of features and prices. Which is best?

Originally developed for boring tasks like industrial PCs and point-of-sale terminals, AMD breathed new life into VIA’s single-slot mini-ITX form factor with its own dual-slot DTX version. Soon after, the combination of motherboards with one expansion slot and cases able to take dual-slot cards became the standard for portable gaming PCs. But Intel ironically appears to be the biggest beneficiary of AMD's efforts. After all, it sells the high-performance, low-heat processors needed in a fast, quiet platform with big-time thermal constraints. Ouch.

As a result, we demand a lot more from small gaming-oriented machines. It's no longer acceptable to simply build a system that excels at video playback, particularly when technologies like AMD's VCE and Intel's Quick Sync accelerate that workload right on the APU or CPU itself. And with system builders putting 4.3 GHz Core i7s and GeForce GTX 680s into mini-ITX-based platforms four inches thick (Meet The Tiki: Core i7-3770K And GeForce GTX 680 In A Mini-ITX Box?), enthusiasts will no doubt want to the ability to build similarly-potent boxes.

But if it's possible to cram the goodness of Intel's Ivy Bridge and efficient graphics architectures like Kepler into mini-ITX using Intel's mainstream H77 Express chipset, why bother spending more on a Z77 Express-based board? Well, it wouldn't have been possible for Falcon Northwest to have hit 4.3 GHz in its Tiki using H77, for starters. Overclocking demands that you spring for the pricier core logic. Although we doubt you'd care too much about tuning up a home theater PC, we’re nevertheless intrigued by motherboards that can serve that market in addition to the performance-hungry gaming industry.

We see today’s motherboards with Intel's flagship mainstream chipset as enablers of the best from both worlds. Of course, if you disagree and only really want to build a stock-clocked media-oriented machine, simply step down to the H77-based versions of the boards we're testing today.

Z77 ITX Motherboard Features
     ASRock
Z77E-ITX    Asus
P8Z77-I Deluxe    EVGA
Z77 Stinger    MSI
Z77IA-E53
PCB Revision    Initial    1.04    1.0    2.1
Chipset    Intel Z77 Express    Intel Z77 Express    Intel Z77 Express    Intel Z77 Express
Voltage Regulator    Six Phases    Ten Phases    Seven Phases    Eight Phases
BIOS    P1.70 (12/17/2012)    801 (12/04/2012)    1.0 (11/08/2012)    V10.1 (10/19/2012)
100.0 MHz BCLK    100.39 MHz (+0.39%)    100.30 MHz (+0.30%)    99.78 MHz (-0.22%)    100.00 MHz (+0.0%)
I/O Panel Connectors
PS/2    1    None    None    1
USB 3.0    4    4    4    2
USB 2.0    2    4    2    4
Network    1    1    1    1
eSATA    1    2    2    1
CLR_CMOS Button    Yes    Yes    Yes    Yes
Digital Audio Out    Optical    Optical    Optical    Optical
Digital Audio In    None    None    None    None
Analog Audio    5    3    5    3
Video    DVI-I, DisplayPort, HDMI    HDMI, DisplayPort, DVI-I    mini-DisplayPort, HDMI    VGA, HDMI
Other Devices    Wi-Fi Antennas    Wi-Fi/Bluetooth Antennas
USB BIOS Flashback    Bluetooth Transceiver    Wi-Fi, Bluetooth
Internal Interfaces
Expansion Slot    PCIe 3.0 x16    PCIe 3.0 x16    PCIe 3.0 x16    PCIe 3.0 x16
Mini PCIe    x1 (filled)    x1 (filled)    x1    x1
USB 3.0    1 (2-ports)    1 (2-ports)    1 (2-ports)    1 (2-ports)
USB 2.0    2 (4-ports)    2 (4-ports)    2 (4-ports)    1 (2-ports)
SATA 6.0 Gb/s    2    2    2    2
SATA 3.0 Gb/s    2    2    2    2
4-Pin Fan    2    2    3    2
3-Pin Fan    None    None    None    None
FP-Audio    1    1    None    1
S/PDIF I/O    None    Output Only    None    None
Internal Buttons    None    MemOK, TPU    Power, Reset    None
Diagnostics Panel    None    None    Numeric    None
Legacy    CIR    None    None    None
Mass Storage Controllers
Chipset SATA    2 x SATA 6Gb/s
2 x SATA 3Gb/s
1x mSATA
1 x eSATA 3Gb/s    2 x SATA 6Gb/s
2 x SATA 3Gb/s
2 x eSATA 3Gb/s    2 x SATA 6Gb/s
2 x SATA 3Gb/s    2 x SATA 6Gb/s
2 x SATA 3Gb/s
1 x eSATA 3Gb/s
Chipset RAID Modes    0, 1, 5, 10    0, 1, 5, 10    0, 1, 5, 10    0, 1, 5, 10
Add-In SATA    None    None    88SE6121 PCIe
2 x eSATA 3Gb/s    None
USB 3.0    ASM1042 PCIe (2-ports)
Z77 Integrated (4-ports)    ASM1042 PCIe (2-ports)
Z77 Integrated (4-ports)    ASM1042 PCIe (2-ports)
Z77 Integrated (4-ports)    None
Networking
Primary LAN    BCM57781 PCIe    WG82579V PHY    WG82574L PCIe    RTL8111E PCIe
Wi-Fi    RTL8191SE PCIe
802.11n/g/b
1x2 Config, 2.4 GHz
    BCM43228 PCIe
802.11n/g/b BT Combo
2x2 Config, 2.4/5 GHz
    None    AR9271 UB94 USB
802.11n/g/b
1x1 Config, 2.4 GHz
Bluetooth    None    (see above)    BTA3011M01 USB    AR3011 USB
Audio
HD Audio Codec    ALC898    ALC898    ALC898    ALC892
DDL/DTS Connect    Not Specified    DTS Connect    Not Specified    Not Specified
Warranty    Three Years    Three Years    Three Years    Three Years


High-end chipsets represent only a small part of the mini-ITX market, so we weren’t surprised to find only a handful of available products. It was more surprising to us that there were two companies selling Z77-based boards that specifically asked not to be included. In some cases, it seems that vendors are using pricier Z77 Express platform controller hubs for segmentation, while focusing more intently on the markets typically served by H77's feature set.


http://www.tomshardware.com/reviews/mini-itx-z77-motherboard,3389.html

Aaron Swartz's suicide: Computer crimes statute blamed

As funeral services were held for internet activist Aaron Swartz, the debate intensified over what some called a "draconian" US computer crime law used by allegedly overzealous prosecutors.

An online petition calling for the removal of the prosecutors in his case garnered more than 31,000 signatures and some of Swartz's supporters blamed a 1986 computer crimes statute for his suicide.

Swartz, who was just 14 when he co-developed the RSS feeds that are now the norm for publishing frequent updates online and went on to help launch social news website Reddit, hanged himself in his New York apartment on Friday.

He was 26 and reported to have been battling depression.

He had been due to stand trial in April for allegedly breaking into a closet at the Massachusetts Institute of Technology to plug into the computer network and download millions of academic journal articles from the subscription-only JSTOR service.

Swartz had pleaded not guilty to charges of computer fraud, wire fraud and other crimes carrying a maximum sentence of 35 years in prison and a $1 million fine, charges dismissed after his death.

"Aaron Swartz faced a more severe prison term than killers, slave dealers and bank robbers," said Ian Millhiser of the Center for American Progress Action Fund.

"Whatever one thinks of Swartz's actions, which were likely illegal and probably should be illegal, it is difficult to justify treating him as if he were a more dangerous criminal than someone who flies into a rage and kills their own brother."

Marcia Hofmann, of the Electronic Frontier Foundation, said that to honor Swartz, it would be best to fix a "draconian computer crime law."

"The government should never have thrown the book at Aaron for accessing MIT's network and downloading scholarly research. However, some extremely problematic elements of the law made it possible," Hofmann wrote.

"But Aaron's tragedy also shines a spotlight on a couple of profound flaws of the Computer Fraud and Abuse Act... (whose) vague language, broad reach, and harsh punishments combine to create a powerful weapon for overeager prosecutors to unleash on people they don't like."

Marcy Wheeler, who writes a blog called "emptywheel," blamed the Department of Justice for being "ruthless against just about everyone who is not a Wall Street executive."

A separate petition to the White House with 23,000 signatures called for reform of the 1986 law.

A third petition calling for a posthumous pardon of Swartz generated mixed responses along with some 21,000 signatures.

"Pardoning Swartz also would allow the government, effectively, to pardon itself," said Robin Corey, a Brooklyn College political scientist.

"I want the death of Swartz, and the prosecution that helped produce it, to hang around the neck of the state for a very long time."Danah Boyd, a Microsoft researcher who is a visiting scholar at Harvard Law School, said she was angry at the government's conduct.

"When the federal government went after him -- and MIT sheepishly played along -- they weren't treating him as a person who may or may not have done something stupid. He was an example," she said in a blog.

"Over the last few years, we've seen hackers demonized as anti-democratic even though so many of them see themselves as contemporary freedom fighters."

As Swartz's funeral was held in Chicago Tuesday, his family and partner posted a comment on a memorial website saying his death was "not simply a personal tragedy. It is the product of a criminal justice system rife with intimidation and prosecutorial overreach."

Some reports said MIT refused to agree to a plea deal which would have reduced the potential for 35 years in prison to six months in jail.

MIT president L. Rafael Reif said he asked professor Hal Abelson to lead a "thorough analysis" of MIT's involvement in the JSTOR case.

But some legal experts said the government did not overstep its authority.

Orin Kerr, a professor at the George Washington University Law School who specializes in computer crime laws, said the charges against Swartz "were based on a fair reading of the law" and that "none of the charges involved aggressive readings of the law or any apparent prosecutorial overreach."

In a blog post he said "isn't going to be popular," Kerr wrote that "all of the charges were based on established case law" and "pretty much what any good federal prosecutor would have charged."

But Ted Frank, an adjunct fellow with the Manhattan Institute's Center for Legal Policy, said Kerr's analysis ignores "the 'hacker ethos' of MIT that encourages the sort of rebellious computer activity Swartz engaged in."

"Computer culture can look more sinister than it is to the humorless outside of it," Frank said.

http://articles.timesofindia.indiatimes.com/2013-01-16/computing/36372710_1_computer-fraud-online-petition-jstor

Raspberry Pi: The Cheapest Computer to Date!

If we look few decades back, it was almost impossible to think of working with a computer without any proficiency of knowledge about it. Gradually, the developers made it simple by making use of a graphical operating system. Now, it is simpler yet by the invention of Raspberry Pi, it has been developed by a charity called Raspberry Pi Foundation. It is not more than the size of a credit card. The feature which makes it genuinely special is its ‘ease of use’, especially for the beginners. Another important factor is its price, which is either $25 or $35, depending upon the version. The price is good news for them who can’t afford to buy a usual desktop.

These days computers are important, as these have become important means for communicating, be it for business purpose or some personal need. We could assure you that Raspberry Pi fulfills the basic needs of all classes of people. However, you need to understand one thing clearly, from the moment you take the circuit out of the package, do not expect things to happen automatically. If you do not know how to work with Raspberry Pi, land up on Raspberry Pi’s website for online help and start working with it.

Before purchasing a Raspberry Pi, you should know certain things about it to make a better choice. We have gathered a precise info about it, here you go:

Raspberry Pi has two versions, one is Model A and another is Model B. Model B is better version than that of Model A, and it is more expensive too. Let us see few of the features of both flavors of Raspberry Pi: Model A has only one USB port, but Model B has two such ports. Unlike Model B, Model A lacks in Ethernet port. Other than few certain things, major part of the hardware is more or less similar.

Let us dig deeper into the hardware section: It has 700MHz ARM1176JZF-S CPU, it has a Broadcom Video Core IV GPU, 256MB of SDRAM. RCA & HDMI are the two video outputs that you can find in the circuit, also a 3.5 mm audio output. It is important to note here, it receives its power from a micro USB adapter, this means that this circuit doesn’t have any Switch ON or Switch OFF button; rather it draws its power from plugging the adapter into the circuit.

It is not necessary to remind you of the fact that, you will not get a capable computer with the kind of price that has been mentioned, but it is also a fact that you will not have a great multi-tasking and web browsing experience with the circuit of Raspberry Pi. All that you can run are: fundamental desktop jobs, few low-end games which can otherwise made to run in lower models of smartphones, play HD videos.

Did we mention that, to use Raspberry Pi, you need few components such as: a monitor with digital connection and compatible video cable, a USB keyboard and a mouse (if required)? Do not forget a micro USB power adapter or else your computer will be a box, which is meant for a showpiece in the drawing room.

There is nothing exciting about it, as it is just a bare board with no chassis, you have to put all the efforts to build it as a computer and the difficult part is that, you need to know little bit of Linux to have a command over it.

However, it gives you a platform for experimenting and if unfortunately, things go wrong during experimenting then it will not remind you of the money spent by you. If you were afraid to purchase a computer for your son, thinking that you cannot afford to pay for the damages, then Raspberry Pi is a good option that will not wreak any havoc on you.

http://www.computerarticles.co.uk/raspberry-pi-the-cheapest-computer-to-date/

Exclusive: SEC left computers vulnerable to cyber attacks - sources

Staffers at the U.S. Securities and Exchange Commission failed to encrypt some of their computers containing highly sensitive information from stock exchanges, leaving the data vulnerable to cyber attacks, according to people familiar with the matter.

While the computers were unprotected, there was no evidence that hacking or spying on the SEC's computers took place, these people said.

The computers and other electronic devices in question belonged to a handful of employees in an office within the SEC's Trading and Markets Division. That office is responsible for making sure exchanges follow certain guidelines to protect the markets from potential cyber threats and systems problems, one of those people said.

Some of the staffers even brought the unprotected devices to a Black Hat convention, a conference where computer hacking experts gather to discuss the latest trends. It is not clear why the staffers brought the devices to the event.

The security lapses in the Trading and Markets Division are laid out in a yet-to-be-released report that by the SEC's Interim Inspector General Jon Rymer.

NO DATA BREACHED

The revelation comes as the SEC is encouraging companies to get more serious about cyber attacks. Last year, the agency issued guidance that public companies should follow in determining when to report breaches to investors.

Cyber security has become an even more pressing issue after high-profile companies from Lockheed Martin Corp to Bank of America Corp have fallen victim to hacking in recent years.

Nasdaq OMX Group, which runs the No. 2 U.S. equities exchange, in 2010 suffered a cyber attack on its collaboration software for corporate boards, but its trading systems were not breached.

One of the people familiar with the SEC's security lapse said the agency was forced to spend at least $200,000 and hire a third-party firm to conduct a thorough analysis to make sure none of the data was compromised.

The watchdog's report has already been circulated to the SEC's five commissioners, as well as to key lawmakers on Capitol Hill, and is expected to be made public soon.

SEC spokesman John Nester declined to comment on the report's findings.

SEC NOTIFIED EXCHANGES

Rich Adamonis, a spokesman for the New York Stock Exchange, said the exchange operator is "disappointed" with the SEC's lapse.

"From the moment we were informed, we have been actively seeking clarity from the SEC to understand the full extent of the use of improperly secured devices and the information involved, as well as the actions taken by the SEC to ensure that there is proper remediation and a complete audit trail for the information," he said.

A spokesman for Nasdaq OMX declined to comment on the security lapse at the SEC.

Since the internal investigation was concluded, the SEC initiated disciplinary actions against the people involved, one of the people familiar with the matter said.

The SEC also notified all of the exchanges about the incident.

The SEC's Trading and Markets Division, which has several hundred staffers, is primarily responsible for overseeing the U.S. equity markets, ensuring compliance with rules and writing regulations for exchanges and brokerages.

Among the division's tasks is to ensure exchanges are following a series of voluntary guidelines known as "Automation Review Policies," or ARPs. These policies call for exchanges to establish programs concerning computer audits, security and capacity. They are, in essence, a road map of the capital markets' infrastructure.

Although they are only voluntary guidelines, exchanges take them seriously.

Under the ARP, exchanges must provide highly secure information to the SEC such as architectural maps, systems recovery and business continuity planning details in the event of a disaster or other major event.

That is the same kind of data used by exchanges last week after Hurricane Sandy forced U.S. equities markets to shut down for two days.

Prior to re-opening, all of the U.S. stock market operators took part in coordinated testing for trading on NYSE's backup system.

SEC Chairman Mary Schapiro recently said the SEC is working to convert the voluntary ARP guidelines into enforceable rules after a software error at Knight Capital Group nearly bankrupt the brokerage and led to a $440 million trading loss.

http://www.reuters.com/article/2012/11/09/net-us-sec-cyber-idUSBRE8A804P20121109

Speed up Windows 7 (no new hardware)

If you've stumbled upon this page, I shall assume that you are either frustrated by the current speed of your computer, or you simply wish to have a bit more power. The most efficient way to obtain this would be to upgrade the hardware of your PC.

Unfortunately, hardware isn't cheap and those less knowledgeable in computers will have a hard time selecting the right components.
The good news is: that, If you have a Windows 7 computer, there are several tricks that will increase the it's speed, without you actually needing to invest any money.
Note: Most of these will also work on other versions of WIndows.


Clean up unnecessary files

If you're like must people out there, chances are you have tons of files that you don't use spattered across your computer. Delete these as much as possible, or burn them to a CD/DVD/Blu-ray. Also, Windows provides a handy tool to help you clean your computer. It's called, conveniently enough: Disk Cleanup. Open it by typing Disk Cleanup in the start menu's search box, or by going to All Programs > Accessories > System Tools > Disk Cleanup.
Defragment your hard drive regularly

Windows 7 comes with a built-in Disk Defragmenter. This program rearranges data on your hard drive in order to decrease read times. To  run the program, simply time disk defragmenter in your start menu's integrated search box or, alternatively, open the start menu and go to All Programs > Accessories > System Tools > Disk Defragmenter.

 

Disable unwanted visual effects

Eyecandy is fun and pleasing. But beware if you have a sluggish video card. Windows 7's looks might just be what's slowing down your games or high-def videos. To disable them, open up the Control Panel and type Performance Information and Tools in the search bar. Click the uppermost link, then go to Adjust visual effects (In the top-left corner). This will bring up a dialog box that lets you choose which animations you wish to enable/disable. Windows even provides handy presets such as "Adjust for best performance".

Disable unnecessary startup programs or services

Chances that you needn't most of the program that automatically start with your computer. These take up memory and slow down the booting process. To disable them, open the start menu and type Run in the search box. Open the "Run" program. Once this is done, typemsconfig in the text box that appears.






This will open up the Windows System Configuration Utility. First of all, click the "Selective Startup" option. Next, go to the startup tab. A list of applications will appear, all of which automatically start with your computer. Disable those you do not want.
You can also click the "Services" tab to disable unnecessary services, but beware of preventing important services from starting. Here's a list of services that you can safely disable: http://windows7themes.net/windows-7-services-safe-to-disable.html.
Don't put large files on your desktop

Some people put huge files on their desktop. DO NOT do this. Few are those who actually know this, but the desktop is not an average folder, and putting lots of data on it will slow down the computer. Instead, create shortcuts to files that you use often.
Game Booster

Game Booster is a free program by IObit (download here) that temporarily turns off services that are unnecessary for gaming, thus saving ram and processor time. Now lets clarify one thing: this program is not only useful for games, but will also improve the speed of any resource-hungry applications. It is also completely free and safe, but will nag you a bit with "Game Booster Premium", which is unfortunately not free.
Make sure you have up-to-date drivers

Often times, people willing to speed up their computers stop updating their drivers in the hopes of "Installing less stuff". This is a huge mistake. Often times, driver updates bring performance improvements for the concerned hardware. Even when they don't, the will probably include bug fixes that will make the system more responsive.
Uninstall unused software

This is probably the best known (and one of the most efficient) ways of speeding up a computer. To remove unwanted programs, open up the Control Panel and click on "Programs", then on "Programs and Features". A list of installed applications will appear, and you can choose to uninstall those you don't want. You can also turn WIndows features on and off (look in the upper left corner).

http://www.informatics-tech.com/how-to-speed-up-windows-7-without-new-hardware.html

Seagate - The Year in Storage

We’ve seen more dramatic years in storage. In 2012, there was no natural disaster that wiped out manufacturing facilities. No company jumped into the headlines with news of holographic recording breakthroughs or ways to turn your cat in 14 petabytes of bio-storage capacity. (Pet-abyte...get it?) Yet 2012 brought us a few key developments that are quietly shaping how we will deal with storage in 2013. Whether you’re a home user or an enterprise purchaser, it’s worth your while to give these developments some thought and consider how they might play into your own storage strategy for the coming year.
Today’s Storage at a Glance
It’s interesting how some things seem to come full circle. IBM delivered the first commercial disk storage product in 1956 with its IBM 305 RAMAC. The first disk drive for PCs didn’t arrive until 1980 with Shugart/Seagate’s premiere 5.25” hard drive, the ST-506, which weighed in at a remarkable five megabytes. Over the following two decades, the magnetic storage market exploded at a phenomenal rate, at one point peaking with over 200 vendors.


The inherent problem will be familiar to anybody involved in semiconductors. As technologies evolved and fabrication nodes continued to shrink, improving magnetic storage densities continued to become more difficult and costly. Advances were necessary for any manufacturer wanting to stay competitive and popular, but fewer and fewer could afford to stay in the game.  Some companies continue to leverage partnerships, but the majority have either been acquired by larger fish or else folded. For instance, consider the 1 TB disk platters recently debuted by Seagate that are now becoming widespread across 3.5” hard drives. A 1 TB platter requires an areal density of 625 Gb per square inch. In 2006, Seagate had only announced (and not even started production on) platters with a 421 Gb/in2 density. A 50% density increase in roughly six years is a breakneck improvement speed requiring radical engineering at the fringes of modern physics. Only a handful of storage companies are left able to operate at this level.
Today, there are five hard drive brands being sold by the remaining major manufacturers: HGST, Samsung, Seagate, Toshiba, and WD. Some people view this level of manufacturing contraction as a negative thing, but in many ways it was inevitable, and in a few it was beneficial. Again referencing semiconductors, there are reasons why only a few companies, such as Intel, Global Foundries, and TMSC are able to manufacture processors below the 40 nm fabrication node. Plants able to produce chips or drives at these levels cost billions of dollars, and the requisite R&D to sustain a future road map costs hundreds of millions more. Without a highly integrated, vertical company sporting a significant asset base, holding to such road maps would be impossible.


 http://www.tomshardware.com/us/sponsored/Seagate-the-year-in-storage-198

Dell May Be Dickering for Private Deal

Rumors of a deal that would take the company private have driven up Dell's stock. The company has been losing market share among consumers and shifting its eye toward more enterprise sales. "Going private is a real option for Dell," said Morningstar analyst Carr Lanphier. "Will it be expensive? Yes. Will it be difficult to get funding? Yes."


Simplify in-house IT management with GFI Cloud, reduce costs and streamline operations. From a single, unified, web-based platform it offers integrated antivirus, asset tracking, network monitoring and remote control. Start a 30 day free trial today.

Investors sent Dell stock soaring Monday when reports surfaced that the struggling PC maker is in discussions to go private.

Representatives from the third-largest PC maker are in talks with TPG Capital and Silver Lake about a private-equity investment that would give Dell breathing room to regroup outside the public eye, according to a report from Bloomberg.

Dell has seen its market share decline in recent quarters as PC sales have slumped across the industry. Many consumers have opted to buy mobile devices instead of replacing an old laptop or buying a second computer.

In an effort to counter that slowdown, Dell has been focusing on its corporate hardware offerings, but those initiatives haven't been quick to breathe new life into the company. It lost about a third of its value last year.

Investors seemed to like the idea of a private deal. The stock surged by as much as 13 percent Monday afternoon when reports broke about the talks. It closed at US$12.29, its highest price since August, and pushed toward $13 entering Tuesday afternoon.

Wall Street is anxious for something more from the company, especially now that it is hoping to compete as an enterprise vendor, said Stephen Patel, analyst at ISI Group.

"Expectations are too high with most investors now expecting success from Dell's acquisitions and initiatives around networking, storage and services," Patel told the E-Commerce Times. "Investors will no longer tolerate the slow, lumpy revenue growth or uneven margin performance that Dell has had in the past."

Dell has not confirmed any reports of private talks. Dell did not respond to our request to comment for this story.
Private an Option?

Such rumors have surfaced before about Dell. At a meeting with investors and analysts in 2010, CEO Michael Dell admitted his key acquisitions and significant layoffs hadn't been enough to keep the stock price steady and remain competitive against companies like HP and IBM.

Now, with PC sales even lower than they were in 2010 and competition from companies like HP and Lenovo even more fierce, the time is once again right to explore alternatives, however imperfect they may be, said Carr Lanphier, analyst at Morningstar.

"Going private is a real option for Dell," he told the E-Commerce Times. "Will it be expensive? Yes. Will it be difficult to get funding? Yes, but the reality is that when Dell hit its low point at $8.86 per share in November, more than 40 percent of its value came from its net cash balance."

A private deal also might be more realistic for the company now that has changed its overall outlook, Patel pointed out.

"Dell's strategy of serving customers as a partner rather than a provider is well aligned with customer needs and is a realistic strategy," he said. "Dell should also see better operating leverage as a technology partner rather than a provider as this will provide flexibility to offer a wider range of solutions."
Challenges for Company, Not Consumers

Still, any deal for Dell would be a big one, said Lanphier, and it might be tough for the company to make sure it comes out on top. Shareholders would most likely be happy with any price above $14 per share, said Lanphier. That's still well below its highest historic price.

"Dell isn't in the best position to bargain at the moment because most private-equity firms will have difficulty finding funding for such a large acquisition. Dell's low valuation could also prompt shareholders to demand unreasonably high prices, which could torpedo any deal. And any deal would almost certainly require Michael Dell's capitulation."

Whatever road Dell takes going forward, consumers are unlikely to bear the brunt of any major changes, said Lanphier. There is a possibility that the company would be operated as-is by a private-equity firm, which would mean no real change for consumers. Even if it were sold to a competitor, Dell's PC supply would probably remain consistent.

The overall PC landscape might see the bigger change if Dell goes private, Lanphier pointed out, although that depends on what kind of deal the company wants to cut.

"It's feasible that Dell's businesses could be stripped down and sold off to competitors, which would allow for substantial swings in market share," he said. "It's also possible that Dell could reorganize itself outside of the public eye, go through a couple of tough years to trim its non-strategic segments, and come back a leaner, higher-margin company.

http://www.technewsworld.com/story/77091.html