In the mid-1990s, Dell expanded beyond desktop computers and laptops by selling servers, starting with low-end servers. The major three providers of servers at the time were IBM, Hewlett Packard, and Compaq, many of which were based on proprietary technology, such as IBM's Power4 microprocessors or various proprietary versions of the Unix operating system. Dell's new PowerEdge servers did not require a major investment in proprietary technologies, as they ran Microsoft Windows NT on Intel chips, and could be built cheaper than its competitors. Consequently, Dell's enterprise revenues, almost nonexistent in 1994, accounted for 13 percent of the company's total intake by 1998. Three years later, Dell passed Compaq as the top provider of Intel-based servers, with 31 percent of the market. Dell's first acquisition occurred in 1999 with the purchase of ConvergeNet Technologies for $332 million, after Dell had failed to develop an enterprise storage system in-house; ConvergeNet's elegant but complex technology did not fit in with Dell's commodity-producer business model, forcing Dell to write down the entire value of the acquisition. COUNT 5
QSN1 What decade did Dell begin to sell things other than PCs? ANS1 1990s QSN2 IBM, Hewlett Packard, and Compaq were the major providers of what? ANS2 servers QSN3 What servers did Dell create that they tried to break into the market with? ANS3 PowerEdge QSN4 What year did Dell's enterprise revenue make up a large chunk of its profit? ANS4 1998 QSN5 Which company did Dell exceed as a server provider? ANS5 Compaq