Updated 5:28 p.m. EST, Tuesday, February 5
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Dell on Tuesday announced that it would be going private in a $24.4 billion buyback deal financed in part by founder and CEO Michael Dell and Silver Lake Partners, with a $2 billion loan from Microsoft.
The move will allow the Texas-based PC maker more flexibility in its operations, as it does not have to be accountable to public shareholders and is under less pressure to meet quarterly analyst expectations, as consumer tech analyst Ross Rubin of Reticle Research explained to TPM in a phone interview.
"It makes it easier for them [Dell] to do longer term investments," Rubin said, suggesting one example may be Dell's project Ophelia, a USB-stick-sized minicomputer, sans display, that runs Google Android and can be plugged into a generic flat-panel monitor or TV set. Ophelia is capable of running full desktop PC software from the cloud, according to a report from Quartz. That product isn't on sale yet but Dell aims to price it at $50, according to Quartz.