There is no doubt that the rumors are most likely based on very preliminary "feeler" talks to gauge the possibility of privatization. But the result will be the realization (at least to PE) that getting it done entails too high of a risk. It's just putting too many eggs in one basket.
Bottom line: There will be NO privatization
Sell now BEFORE the masses do. It will happen. Dell will drop back to $11.
The stock's been trading below $11 for a reason. When the privatization rumor dies down and with the impending bad earnings report, DELL will drift below $11. As a trader, a drop from its current price to $11 is substantial. I'm all about making money.