According to the Wall Street Journal, Dell is restructuring their production in a massive overhaul that will send the entire manufacturing process overseas. According to one insider's account, most or all of Dell's factories, which are based in the US, will be sold off in 18 months.Dell has long used their own factories to assemble computers after a consumer places an order—a technique Dell pioneered to cut inventory costs and boost profits. Currently, the company relies on Asian computer parts assembled in Dell US factories—the "two touch" process. The planned transition, which has already been made for some laptops, will move all production to foreign contract manufacturers—something we already see from companies like HP and Apple. So the only question that remains is whether or not there will be interested buyers in Dell's $2.6 billion in production plants. Because if Dell is backing out of the game, it's gotta be a tough sell to anyone. [WSJ]
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