Dell, the world’s largest computer manufacturer, announced on Tuesday that it would be buying Dell’s e commerce division for $1.6 billion, which includes the purchase of Dell’s online marketplace.
The deal was announced by Dell CEO Andrew Wilson in a video conference call with investors and reporters.
“We are extremely excited about this acquisition and look forward to working with the partners at Dell,” Wilson said.
The purchase of e commerce was announced in July as part of the Dell E portfolio.
The company has focused on its cloud business, but has also invested in other businesses, including enterprise IT and consumer products.
Wilson said that the e commerce business is designed to complement the ecommerce business and complement Dell’s other businesses.
“It is our goal to build on the momentum in the cloud and enterprise computing and to drive the adoption of cloud solutions across the enterprise,” Wilson wrote in a statement.
“Our goal is to drive efficiencies, innovation, and growth in the enterprise through an acquisition of Dell E.”
The acquisition of ecommerce will not only bolster Dell’s presence in the e-commerce space, but also its position as a leader in its space.
Wilson previously said that Dell has been building its e commerce unit since 2014, and it is now the largest e commerce company in the world.
In August, Wilson said in a blog post that the company would add 100,000 new jobs during the fiscal year.
The announcement comes after Dell announced plans to increase its workforce by 200,000 in the next fiscal year, as well as hiring nearly 4,000 additional people.
Wilson did not elaborate on the reasons behind the purchase, but said that it was the company’s strategy to “build on the strengths and value of our e commerce and other business units.”
Wilson also noted that the acquisition was not in response to a stock price decline, but instead was driven by “financial strength.”
“We believe that the business model for e commerce will evolve and will provide opportunities to drive value to the consumer and Dell’s investors,” Wilson added.