According to BBC, Greenpeace commissioned a study that shows consumers are willing to pay $197 more for a computer with fewer toxic components.
Electronic waste, or e-waste, is a massive global problem. Thirty million computers are thrown out every year in the US alone.
About 70% of heavy metals, such as lead and mercury, in landfill sites come from e-waste.
Dell says it will eliminate the use of all brominated flame retardants (BFRs) and polyvinyl chloride (PVC) in its products by 2009.
A number of other firms, including Hewlett Packard, Nokia, Samsung and Sony Ericsson, have also made commitments to phase out the use of hazardous chemicals in the near future.
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