Dell Inc. (Nasdaq:DELL - news) is leaving the LCD television business to focus on its core PC products amid an ongoing company overhaul by founder Michael Dell, Taiwan media reported on Thursday.

Dell, the world's No.2 personal computer maker, would cease making Dell-branded LCD televisions this month, the Chinese-language Economic Daily reported, citing unnamed sources.

A Dell spokeswoman said the company currently sells LCD TVs in a limited number of markets, including Japan and the United States, but had no comment about the Economic Daily report.

Dell entered the LCD television market in late 2003, amid a broader wave that also saw cellphone giant Motorola (NYSE:MOT - news) enter the sector in a bid to become more diversified providers of consumer electronics.

Most of the newcomers bought their TVs from third-party original equipment manufacturers, who then put on the specific company brand names.

But many of the non-traditional players have quietly de-emphasized the business since then in favor of focusing on their core products.

Dell will continue to sell TVs under its own brand as well as others

Late yesterday Reuters indicated Dell would exit the LCD television business. According to the early reports, the move would allow Dell to focus on its core competencies and less on diversifying.

Today, Dell representatives told reporters that while the company will make changes to its LCD TV line, it will be staying in the LCD TV market for the long haul. Dell spokeswoman Rachel Lyon revealed that Dell will actually offer a larger selection of screens.

"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," said Lyon.

Dell will be announcing a number of new screens starting with 37-inches following with smaller sizes. Dell currently sells LCD TVs up to 46-inches not under its own brand but by Sony. The largest Dell branded TV from Dell reaches 37-inches.

"Nothing has changed from what we communicated in February," Lyon concluded.