Dell facing slew of Chinese lawsuits over CPU switcheroo

by billso on Tuesday, 15 August 2006

This arti­cle first appeared on my old blog at http://www.bloglines.com/blog/wsodeman?id=48

URL: Dell fac­ing slew of Chi­nese law­suits over CPU switcheroo

To some con­sumers, it may seem like a minor change. Dell shipped the Chi­nese ver­sion of its Insp­iron 640M portable com­puter with an Intel 200M CPU. The mar­ket­ing mate­ri­als indi­cated the model used a more expen­sive process, the 2300.

The major dif­fer­ence between the two proces­sors is that the 2300 includes hard­ware sup­port for vir­tu­al­iza­tion. This allows the com­puter to run sev­eral dif­fer­ent ses­sions and oper­at­ing ses­sions at the same time with a min­i­mal per­for­mance loss, when com­pared to older tech­nolo­gies such as emulation.

When used in a Mac­in­tosh, this tech­nol­ogy allows users to run Win­dows, Linux, DOS, or almost any other oper­at­ing sys­tem while they run the default MacOS.

Vir­tu­al­iza­tion is also a key tech­nol­ogy in server deploy­ment. Dell, HP and other com­puter man­u­fac­tur­ers sell large mul­ti­proces­sor cmo­p­ut­ers that behave as many dif­fer­ent servers. Each server runs in its own vir­tual ses­sion, so one large com­puter can replace sev­eral sep­a­rate com­put­ers that were each ded­i­cated to spe­cific func­tions, such as e-mail, the Web, and trans­ac­tion processing.

In a consumer-grade lap­top, the loss of vir­tu­al­iza­tion is not as as crit­i­cal as it might be on a server computer.

How­ever, word spread quickly through Chi­nese forums and web sites that Dell had adver­tised a more expen­sive proces­sor than it actu­ally shipped. In Win­dows, it is easy to check what proces­sor your com­puter is using, by exam­in­ing the Sys­tem Prop­er­ties box in the Con­trol Panel. Try using the short­cut keys Windows+Break.
Dell man­agers blame a mixup between man­u­fac­tur­ing and mar­ket­ing, and have offered an apol­ogy and full refund to cus­tomers. The apol­ogy is cru­cial in Asian mar­kets. How­ever, some liti­gious Chi­nese cus­tomers have decided to sue Dell’s Chi­nese sub­sidiary for damages.

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