Security fears are responsible for slowing government's transition to the Web. Dell also provides customized security recommendations. Those new dynamics have made storage the fastest growing of Dell's enterprise segments. Buchsbaum said company policy prevents him from sharing segment-specific information, but Dell is the market leader in computer sales in the General Services Administration schedule. Dell was one of three companies selected for the Air Force contract, which allows the service's procurement officials to access Dell's special online site to configure, price and purchase systems and peripherals.
Users also can access support services.
As for the year ahead, he wouldn't discuss any deals Dell is pursuing. Dell also secured some smaller, high-profile contracts in July with the U.S. Naval Academy and U.S. Air Force Academy to provide desktop computers to their incoming cadets, midshipmen and faculty. The packages, available through the GSA schedule, are intended to reduce procurement paperwork. Dell saw a spike in business in the pre-year 2000 period at the end of 1999, but soft demand at the beginning of 2000. Many government customers had little to spend in the early part of 2000 because they spent so much money preparing for it, Buchsbaum said.