Dell engaged in misleading business practices, says NY judge

May 28th, 2008 by

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According to a state judge in Albany, New York, Dell and its financing arm “engaged in deceptive business practices related to financing promotions for its computers and technical support.” The decision, which was just released yesterday, contained quotes from NY State Supreme Court Justice Joseph C. Teresi stating that the Round Rock mega-corp dabbled in “repeated misleading, deceptive and unlawful business conduct, including false and deceptive advertising of financing promotions and the terms of warranties, fraudulent, misleading and deceptive practices in credit financing and failure to provide warranty service and rebates.” The ruling stemmed from a lawsuit filed by NY Attorney General Andrew Cuomo last year, and while Mr. Cuomo was understandably delighted with the outcome, a Dell spokesman made clear that it didn’t agree with the decision and it would be “defending its position vigorously.” As for potential restitution for NYers, we won’t know any of that until further proceedings are held.

[Thanks, Nate]

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Posted in New York, problem, advertising, dell, court, lawsuit, legal, sue, suit, advertisement, business, industry, NewYork, finance, deception, deceptive, false advertisement, FalseAdvertisement, financing, misleading | No Comments »

TomTom profits drop 83% due to price cuts

April 28th, 2008 by

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The war for the low end of the GPS market promises to be a bloody one, and it looks like TomTom’s suffered the first major injury: quarterly profits at the device maker dropped 83 percent from last year, and the company says it’s due to competitive price cuts. TomTom made a net profit of just €7.3M ($11.4M) this quarter compared to €44M ($66.2M) in the year-ago quarter, results which led the company to lower its outlook for the entire year. The company actually sold 50 percent more devices than it did a year ago, but as PND prices steadily fall, it looks like TomTom will have to figure out a new way to pad those margins and refill its piggy bank if that $4.2B all-cash Tele Atlas deal goes through.

[Via TrustedReviews]

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Posted in tomtom, quarterly results, QuarterlyResults, quarterly reports, QuarterlyReports, financial, finance, tom tom | No Comments »

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