Dell has denied reports that it is to withdraw from the LCD TV market. Taiwanese newspaper Economic Daily sparked a flurry of stories yesterday after it reported that Dell would stop selling LCD TVs.

"We will soon offer a wider assortment of televisions from leading manufacturers that feature the latest technology and meet Dell's high standards for performance," Dell said in a statement.

So rather than dropping its LCD TV range, it's simply diversifying - and will continue to sell Dell-brand LCDs with screen sizes of 32-inches and below.

Dell currently sells 40-46 inch Sony Bravia LCD TVs on its website, along with those made by other third parties including Panasonic , Pioneer,Samsung and ViewSonic .

Dell denies story

Dell has seemed particularly troubled in recent months, reporting losses and losing its claim as the world's number one PC maker - that position now belongs to HP.

To help restore some lustre to the brand, Dell is currently undergoing some major changes. Founder Michael Dell plans to lay off 10 per cent of its 88,000 strong workforce in order to cut costs.

Dell's business model is also undergoing a raft of changes, one of the most high profile being the decision to sell its PCs in third party stores including Walmart supermarkets in the US.