Dell admits it shipped thousands of broken PCs -

After three years fighting in court, the hardware maker Dell has finally admitted that it knowingly shipped thousands of broken PCs.

Dell has settled with a North Carolina company, Advanced Internet Technologies (AIT), that claimed Dell knowingly shipped thousands of faulty computers.

Two weeks ago, the two sides reached a preliminary agreement on the terms of the settlement. Dell officials have said that financial details of the agreement will be kept secret.

According to AIT's lawsuit, filed in 2007, Dell shipped at least 11.8 million faulty computers and instructed employees to hide the problem.

The computers in question were Dell's OptiPlex computers which apparently failed 97 percent of the time because of faulty capacitors, the suit alleged.

A trial had initially been scheduled to start in February but the pair were ordered by the court to sort it out beforehand.