Yes, he's basically giving them a choice. Up the payout to the $144 he claims it is worth, or shut him up by paying him on the side (known as "greenmail") to go away - usually done via a private purchase of his shares at a higher than market price.
The average investor will only see a gain if Dell is forced to go to $144. If Icahn capitulates, the little guy won't see a dime. Icahn wins either way, so he doesn't care whether the little guy wins or not.
Biting the hand that feeds IT
