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2024/03/26 16:36:48

History of Dell

Founded in 1984, the desktop assembly company eventually became one of the largest corporations in the global IT market.

Content

2024: 6 thousand fewer staff

At the end of March 2024, it became known that Dell Technologies has reduced the number of personnel on a global scale by about 6 thousand people over a 12-month period. This is part of a large-scale initiative to reduce spending and improve the financial situation in the current macroeconomic situation.

It is noted that as of February 2, 2024, Dell had approximately 120 thousand employees. For comparison: a year earlier, the staff totaled about 126 thousand people. The layoffs come amid sluggish demand for personal computers, one of Dell's top earners.

Dell Technologies reduced global headcount by approximately 6,000 people over a 12-month period

The company expects production costs to rise. In addition, the reduction in net revenue in other divisions is not excluded, including as a result of a change in commercial relations with VMware, a developer of virtualization software. VMware was sold to Broadcom Corporation, which radically changed the model of operation. In particular, VMware's perpetual licenses were canceled, and all products of this company were transferred to a subscription scheme.

IDC estimates that Dell sold approximately 40 million personal computers in 2023. For comparison: a year earlier, shipments were 49.8 million units. Thus, on an annualized basis, sales decreased by almost 20%. Dell's share of the global PC market in 2023 was 15.4% versus 16.5% in 2022.

Dell says layoffs are necessary to counter a potential recession and continued weakness in the PC market. However, the company expects demand for computers to gradually recover. In addition, Dell is talking about growing sales of servers optimized for artificial intelligence applications.[1]

2023

Mass layoffs of sales specialists due to the collapse of demand for computers

On August 7, 2023, it became known that Dell Technologies was forced to make another reduction in the number of personnel. This is due to the current macroeconomic situation, which led to a sharp decrease in demand for personal computers.

Dell said it would cut jobs in the "core sales" team. This is dictated by the implementation of a new model for the development of commercial services. It is assumed that these measures will improve the efficiency of operations and lead to cost reduction.

Dell begins mass layoffs of sales specialists due to collapse in demand for computers
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Some members of our sales team will leave the company. We do not take these decisions lightly and we will support those affected, "said a Dell spokesperson.
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In an interview with CRN on the new strategy, Dell President of Sales and Customer Relations Bill Scannell called the upcoming restructuring "the biggest change ever" in Dell's go-to-market model.

Dell claims that the reorganization is carried out with the interests of partners in mind. However, the new round of cuts came two weeks after Chuck Whitten, Dell's chief operating officer, abruptly resigned, and just six months after Dell laid off 6,500 employees, or roughly 5% of the then 133,000-strong workforce.

Dismissed employees will receive monetary compensation and due payments. The reorganization will reportedly help Dell improve competitiveness amid macroeconomic challenges and the US crisis. The company intends to focus on providing innovative services and products to customers and partners. The amount of expenses under the reorganization is not reported.[2]

5% staff reduction

On February 6, 2023, Dell announced a reorganization, during which the global staff will be reduced by about 5%. This measure is dictated by a sharp decline in sales in the personal computer market and a difficult macroeconomic situation.

The layoffs were reported by Jeff Clarke, Dell's vice chairman and chief operating officer. According to him, the company has already taken a number of steps aimed at strengthening the situation in the context of market uncertainties and business challenges. In particular, the hiring of new employees has been suspended, business trips have been minimized and costs for third-party services have been reduced. But, as noted, this is not enough to compensate for the consequences of the economic crisis.

Dell fires 5% of employees as PC demand collapses

The reorganization will bring together Dell Technologies Select (DTS) regional sales teams and teams to provide additional consistency in how customers and partners are handled worldwide. Integration of Infrastructure Solution Group (ISG) and Client Solutions Group (CSG) support services is also planned. At the same time, in the ISG group, resources and teams of specialists are redistributed between priority areas that will best meet the needs of customers and partners.

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Unfortunately, with such changes, some members of our team will leave the company. There is no more difficult decision, but we had to make it for our long-term development and success, "Clark reported.
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In total, about 6,650 people will be fired. It has not yet been specified which divisions will be affected, but it is likely that the staff in the sales and marketing departments will be reduced due to falling demand in the PC market and a decrease in consumer activity. Dell promises to provide shrinking employees with comprehensive support.[3]

2021: Work visas issued to hundreds of foreign employees

At the end of October 2021, it was reported that Dell had hired hundreds of new employees - from engineers and sellers to project managers and directors - on H-1B work visas. The salaries of most of the employees hired are in the low six-figure range.

Salaries of new Dell employees began at $62 thousand for low-level analysts, and the annual salary of directors and managers reached more than $200 thousand, according to the publication of Insider, which analyzed the salaries of 381 approved H-1B visa applications for company employees hired from October 21, 2020 to October 21, 2021. The data is based on the basic salaries of foreign workers whose visas were sponsored by Dell.

Dell has issued work visas to hundreds of foreign employees and pays them more than $200,000 a year

Dell hired many technical specialists and workers focused on the production of products, including engineers who earned almost $200 thousand. The new salaries of the company's engineers include the salary of an industrial engineer hired for $160 thousand, the salary of a chief firmware engineer with a salary of $125 thousand and the salary of a software engineer of $198 thousand. All three positions were opened in Texas, the home state of Dell.

Dell has hired a $113,000 telecommunications technology consultant to work in Florida and a $138,000 senior product management adviser in California. The company has hired many H-1B sales consultants and visa advisers with salaries ranging from $77,000 to $135,000, according to an Insider report.

The salary of a planning and sales strategy consultant was $130 thousand in Kentucky, while in the same position the salary of a new employee in Texas was $135 thousand. Unsurprisingly, the largest average salaries Dell paid to H-1B visa applicants were for directors and other senior management positions. The salary of the director of corporate consulting from California amounted to $215 thousand, and the head of the IT program from Texas received $175 thousand. Other examples of salaries include the role of senior software development manager (software) for $200 thousand, director of engineering quality for $183 thousand and senior consultant for project program management for $181 thousand.

[4]

2020

Assign Channel Managers

Dell Technologies On August 20, 2020, the company announced the appointment (Roly Dager Rola Dagher) of the head of the partner sales channel reporting (Bill Scannell Bill Scannell), Dell Technologies President of Global Sales and Customer Service.

Partner channel sales are now coordinated with Dell's North American leaders and international teams, John Byrne and Aongus Hegarty. Dell also introduced the head of the international channel, Diego Majdalani, whose direct manager will be Angus Hegarty. Diego Maidalani has managed sales in the Latin American region for the past seven years and brings deep experience and knowledge from partners to the role.

Denise Millard, in turn, will continue to lead global alliances, under the direct supervision of Bill Scannell. Global alliances and partner teams will continue to work together, fostering synergies between all partners for seamless engagement.

This structure, according to Dell Technologies, allows you to better support partners in the regions, ensures consistency and predictability of the work of major sales departments. The company maintains a strong global presence. Each of these executives has served as a conduit for partners over the years.

Partnership with Orange Business Services to create universal subscriber equipment

On February 26, 2020, it became known that Orange Business Services chose Ekinops and Dell Technologies as partners to create a solution in the field of universal subscriber equipment. Read more here.

Development of software for 5G equipment under the control of the American government

On February 4, 2020, it became known that technology and telecommunications companies, including Microsoft, Dell and AT&T, are developing software for 5G equipment under the control of the American government. Through this work, the White House expects to weaken Huawei's leading position in this market. Read more here.

2018

Return to the exchange; capitalization of $34 billion

On December 28, 2018, Dell Technologies returned to the stock exchange five years after the company was privatized. Its shares began trading on the New York Stock Exchange (NYSE) under the ticker symbol DELL.

By the opening of the exchange, Dell securities cost $46, at the end of trading their value was $45.43. The company's market capitalization reached $34 billion, reports the Financial Times (FT).

Dell returned to the stock exchange after 5 years

Dell became a public company not through traditional, but IPO made a $24 billion buyback of tracking shares of VMware, which were traded under the ticker symbol DVMT. These papers were released in 2015 to track VMware's performance separately from Dell and help pay for the manufacturer's purchase. storage systems EMC After the VMware transaction, it remained a public company with control from Dell.

According to the FT, Dell owns an approximately 80 percent stake in VMware, which is worth about $50 billion by December 28, 2018. Tracking stocks traded at a steep discount from the start: Their rate was 70% below theoretical value. DVMT papers are removed from the exchange.[5]

According to The Wall Street Journal, citing knowledgeable sources, the Silver Lake investment fund, which invested about $2.4 billion in Dell, owns 137 million shares in the company. Moreover, not a single paper was sold after Dell returned to the stock exchange, and the cost of Silver Lake's stake in the American computer manufacturer is estimated at more than $6 billion by the end of 2018. Dell's debts are measured at $34 billion and are mainly related to the purchase of EMC.

The return to the exchange through the buyback of DVMT's tracking shares allowed Dell founder and CEO Michael Dell to gain even stronger control of the company compared to the one during the previous stock trading on the exchange. Dell management says it plans to retain the long-term plans and strategy that were chosen when the company was private.

Dell's website was attacked by hackers. Passwords for all accounts have been reset

At the end of November 2018, it became known about a cyber attack on the official Dell website. As a result of the incident, the company was forced to reset the passwords of all users.

According to the Reuters news agency, citing a Dell statement, the activity of hackers on the Dell.com website was detected and eliminated on November 9, 2018. Scammers entered the network unauthorized and tried to steal client data. The manufacturer says that the investigation did not reveal traces of information theft, but the possibility that hackers still got the right one is not excluded.

At the end of November 2018, it became known about a cyber attack on the official Dell website. As a result of the incident, the company was forced to reset the passwords of all users

The hackers only targeted customer names, email addresses and hashed passwords. The attackers failed to get to the payment data and social security numbers. Dell does not name the hashing algorithm used. For example, if passwords were stored in MD5, it was not difficult to hack them - such passwords are hardly better protected than those stored in plain text format.

At the same time, Dell does not specify the number of users who may have suffered as a result of the cyber attack.

The company admits that there may be no casualties at all. However, Dell decided to play it safe and on November 14, 2018 reset passwords for Dell.com, Premier, Global Portal and support.dell.com accounts as a precaution.

Dell did not tell customers about the password reset cyber attack, according to a Reuters source familiar with the leak. The company concluded that there are no regulatory or legal requirements to disclose such an incident, but Dell still made a public statement "for the sake of maintaining customer confidence," the source added.

By the end of November 2018, Dell continues to investigate this incident and is cooperating with law enforcement agencies for this. The company believes that the leak could not have been large-scale, as employees discovered the invasion on the same day.[6]

Launch of gold processing program from electronic waste

In 2018, Dell, together with its Taiwanese ODM partner Wistron, began to extract gold from electronics waste and use the resulting precious metal to produce new products. Thus, Dell has expanded the material reuse program in force since 2012, under which the company recycled plastic from expired electronics in order to make new devices from it.

In January 2018, Dell introduced its first pilot program for the processing of gold from electronic waste for the manufacture of motherboards, which will be equipped with 2 in 1 Latitude 12 (5285) devices. The devices will go on sale in the spring. Previously, the company conducted a study that proved the economic benefit of gold processing from motherboards of unnecessary servers. According to Dell's calculations, recycling of the valuable metal will contribute to the release of millions of new motherboards over the next year. As you know, the company has long and successfully used recycled plastic in its products.

As of the end of 2017, only 12.5% of e-waste is recycled into new products. It has been established that every year Americans throw away unnecessary phones that contain gold and silver at an estimated cost of $60 million. The reuse and processing of gold from spent electronics not only represents an economic benefit, but reduces the harm to the environment and human health when gold is extracted from ore. According to the Trucost study, Dell, together with Wistron GreenTech, the process of recycling and reusing gold causes 99% less harm to the environment compared to the traditional mining process for this precious metal.

In addition to this, Dell has entered into an agreement with actress, entrepreneur and activist Nikki Reed, who will support the gold processing program. Her brand Bayou with Love has released a collection of gold jewelry The Circular Collection, made in the United States from gold collected by Dell from spent electronics. The collection includes 14 and 18 carat gold rings, earrings and cufflinks.

Dell has been using environmentally safe materials in its products and packaging for over 10 years. Since 2012, the company has processed over 22.7 thousand tons of discarded consumer electronics into new products. As part of the Legacy of Good environmental care program, the company has set itself the goal of recycling 45.4 thousand tons of electronic waste by the end of 2020, using recycled material in its products. The collaboration with Nikki Reid also includes finding new ways to reuse e-waste.

Once collected, e-waste undergoes an environmentally safe sorting process at Dell partner Wistron GreenTech's plant. During this process, electronic debris is divided into separate components. Gold obtained from spent motherboards goes to Dell, where it is used in the manufacture of motherboards for new computers.

2017

$1 billion investment in IoT

Dell Technologies has joined IT giants actively investing in the Internet of Things. The American company is looking for new opportunities for business growth amid a shift in corporate IT spending towards cloud computing, according to The Wall Street Journal (WSJ).

On October 10, 2017, Dell announced plans to spend $1 billion over three years on research and development of hardware and software that will help billions of different devices (for example, sensors installed on cars and industrial equipment) be connected to networks. In such communications is the concept of the Internet of Things.

Michael Dell speaks at a conference on Dell's Internet of Things projects

To develop the IoT business, the corporation created a separate division led by VMware CTO Ray O'Farrell. This structure, with the financial support of the investment division of Dell Technologies Capital, will create innovative technologies in the field of IoT and artificial intelligence.

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Our IoT department will leverage the strength of Dell Technologies to make the right decisions with our vast partner ecosystem to meet customer needs and facilitate the deployment of integrated IoT systems, O'Farrell said.
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As the head of Dell, Michael Dell, clarified, the company will use VMware virtualization and the VMware NSX platform to simplify the interaction of devices in fifth-generation networks. In addition, Dell intends to use Pivotal and RSA technologies in IoT projects.

The WSJ notes that Dell did not keep up with the IoT trend - at least it was late with big investments in these products. In 2016, IT corporations, Amazon,, and Microsoft Cisco Hewlett Packard Enterprise Samsung Electronics introduced their IoT platforms, or at least announced significant R&D costs in this area.

However, Dell is no stranger to the growing IoT industry. In 2017, Dell Technologies Capital invested in several startups developing such technologies. Among them are the developer of the Otonomo automotive data exchange platform and the manufacturer of security solutions for IoT equipment Zingbox. In 2014, Dell launched its first IoT research lab.

In October 2017, Dell introduced several IoT initiatives: Project Nautilus (software that allows and requests data streams from IoT gateways in real time) and Project Fire (a hyperconverged platform that includes simplified management tools, local computing, storage and IoT applications).

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We believe that modern computing can be 100 times larger than the Internet that we know now. While it may seem crazy, but give them a few years, and I think you will understand everything, "Dell said in an interview with WSJ.
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Trying to clarify what the head of Dell had in mind, Moor Insights & Strategy analyst Patrick Moorhead noted that it is cheaper and more efficient to process data coming from sensors closer to their location, and not send information to the cloud. An unmanned car or a robotic surgeon needs to analyze data in real time, they are not suitable for delays that occur when processing information in the cloud service, the expert emphasized.

At the same time, Gartner analysts predict that by 2020, global spending on equipment and software for data centers, which, in particular, are operated by Dell, will grow by only 3% compared to 2017 (and reach $178 billion), while the cost of cloud services will double and exceed $70 billion.[7]

Results of the first year after merging with EMC

On September 11, Dell Technologies celebrated the first anniversary of its formation after the merger of Dell and EMC. Over the year, a single Dell and Dell EMC sales service was created, a $35 billion Dell Technologies channel was built and a global partner program was created, as a result of which Dell EMC attracted 10,000 new corporate customers. In addition, Dell EMC achieved explosive revenue growth from low-penetration customers in the first half of 2017 (nearly doubling the historical growth rate[8] The reason for this growth was the increase in cross-sales of servers, storage systems, client and converged infrastructure solutions.

Along with the increase in indicators, Dell Technologies Group managed to pay off debt in the amount of about 9.5 billion As dollars[9]), selling three non-core business areas.

Dell Technologies annual investment in research and development amounted to $4.5 billion. The company (through its venture capital division Dell Technologies Capital) invested an additional $100 million in startups whose activities are related to artificial intelligence, machine learning, the Internet of Things, genomics and other promising technologies. Since the merger, the group has agreed to further invest about $1 billion in personnel, product-to-market strategies and technology in key areas.

2016

Pure Storage to pay $30 million to Dell to settle legal dispute

On October 19, 2016, Pure Storage and Dell Technologies announced the settlement of a lawsuit that EMC had started three years earlier. As part of the agreement, Pure Storage will pay the opponent compensation in the amount of $30 million. Read more here.

Company structure

As of 2016, Dell Technologies operates through three main divisions:

  • Dell (End User Solutions) - 60% of sales in 2016,
  • Dell EMC (Infrastructure Solutions) - 35% in total sales,
  • VMware - 5%.

Dell Technologies also owns:

The company also includes an investment fund:

Sale of software division and preservation of information security business

On June 20, 2016, Dell announced the sale of the software division to private equity firm Francisco Partners and hedge fund Elliott Management. Among the assets sold were subsidiaries Quest Software and SonicWall, specializing in cybersecurity solutions.

Later in June 2016, Dell announced that it was not leaving the information security (information security) market despite the sale of part of this business. The company intends to expand the capabilities of such products.

Dell: we will not leave the information security market after the sale of the software business

At the same time, as Brett Hansen, executive director of Dell Data Security Solutions, told CRN, the sale of the software division did not affect the information security business at all, and the company still sees great opportunities in this market to create platform-independent software.

After selling the software business, Dell will continue to have Dell Data Protection and Dell Endpoint Security Suite products that provide data encryption, authentication, and protection against complex security threats.

In addition, Dell retained most of the shares of the information security company SecureWorks listed on the stock exchange, and also entered into an OEM agreement with the sold provider of solutions for protecting SonicWall networks.

According to Brett Hansen, Dell is watching "steady growth" in the number of partners selling information security products to the company, among which approximately 25% of sales are generated by the Endpoint Security Suite. Dell is working to expand its capabilities and plans to add backup and recovery features, high-speed data transmission (EDR) technology, multi-factor authentication and a threat prediction and warning system in 2017.

Hansen also noted that it is too early to say how RSA (owned by EMC, which will be part of Dell by October 2016) will integrate with Dell products, but they complement each other very well.

Michael Goldstein, president and CEO of VAR company LAN Infotech (Dell partner), believes that the extensive RSA and EMC product lines will help Dell create a new series of information security solutions. Some of these lines will be separated and integrated with Dell software, Goldstein is sure.[10]

The court obliges Dell to pay additional to shareholders who were against the company's departure from the exchange

At the end of May 2016, an American court concluded that Dell's privatization was 22% lower than the market price. Now the company's owners may have to pay millions of dollars to investors who were opposed to the deal to turn Dell from a public company into a private one.

According to the Financial Times, on May 31, 2016, a Delaware judge ruled that Dell founder Michael Dell and investment company Silver Lake had to pay Dell shareholders not $13.75 per security, but $17.62. The share buyback took place in 2013, at that time Michael Dell owned a 16 percent stake in the American corporation.

Dell's private buyback exceeded $24 billion. When valuing one share at $17.62, the deal could go to the amount of more than $30 billion.

Dell buyers underestimated the company by $6 billion

The newspaper writes that if Dell and Silver Lake cannot appeal this court verdict, they will have to pay shareholders about $20 million, since another 5.2 million shares remain with others. Reuters The agency calls the larger amount of estimated payments - $36 million.

Some large shareholders, including well-known activist investor Carl Icahn, as well as investment company T Rowe Price, tried to challenge the privatization of Dell on the terms proposed by its participants. They were confident in Dell's low valuation and tried to scuttle the deal.

Interestingly, despite public calls to increase the value of the repurchase of T Rowe Price shares at the final vote, she supported the proposal of Michael Dell and Silver Lake (the media write that this happened by accident). Thus, T Rowe Price lost the right to receive any payments based on the results of the decision of a judge in Delaware, and could have counted on $100 million by voting against in 2013.

The judgment regarding Dell's low grade during delisting also raises questions about the work of bankers and lawyers who advised Dell directors during the sale of the company.

Experts are confident that the recognition of the Dell privatization deal as undervalued will have a slight financial impact on the company and will not affect the acquisition of EMC for $62 billion.

Appointment of Head of Medical Business

On May 26, 2016, Dell appointed IT market veteran Dan Ollison to lead the medical business.

Ollison received the position of Vice President and Global General Manager of Dell Healthcare and Life Sciences (HCLS), which provides a wide range of healthcare services. In the new position, he will be responsible for the strategy and interaction of the Dell Services IT division (it includes HCLS) with clients representing medicine and life sciences, helping to improve their efficiency with IT, Dell said in a statement. Read more here.

2015

Software Business Reorganization

On November 24, 2015, it became known about the reorganization of Dell's software business and the dismissal of some of the employees who were engaged in it. The partners of the American corporation told the CRN publication the details of these transformations.

Since the beginning of Dell Software Group in 2012, its work has been built around three main areas: security, data management and enterprise system administration. In October 2015, the structure began to include four departments: Security Solutions, Boomi, Statsoft and Systems & Information Management (SIM). The latter is responsible for solutions such as NetVault Backup and vRanger ( went to Dell with the purchase of Quest Software in 2012), as well as Dell Data Protection. The SIM department was headed by Tom Joyce.

Dell reorganized software business and laid off employees

In Security Solutions (products in the field of information security), Curtis Hutcheson has been appointed head, in Boomi (integration of cloud services) - Chris McNabb, in StatSoft (predictive big data analytics) - John Thompson.

The reorganization of the software business led to the liquidation of a separate division for software products that protect devices and data, and layoffs. One of Dell's partners showed CRN a letter written by a former employee of the company, from which it follows that in October 2015 the entire team of field employees was dissolved, engaged in the installation and support of information protection solutions directly in companies.

Dell has confirmed the transformation of the software business and called it necessary after making a number of purchases in the software market. Job cuts have also been officially confirmed, but their size has not been specified.

"The reorganization is a new stage in Dell's evolution and the path to developing, promoting, selling and supporting the very best products for our customers," Dell said.

The restructuring at Dell Software Group is not related to the purchase of EMC and cannot prevent the completion of this transaction, sources in the channel noted to the publication.[11]

$9 billion tax on EMC purchases

On November 10, 2015, it became known about the threat of disruption of the merger between Dell and EMC due to the large tax burden that will accompany the merger of the assets of American IT giants.

According to Re/code, citing its own anonymous sources, Dell is concerned that the company will have to pay taxes of $9 billion after the acquisition of EMC is completed, if the scheme with the issue of shares tied to the value of VMware (the company's 80% stake belongs to EMC) is declared illegitimate from the point of view of American tax legislation.

Dell-EMC merger at risk of $9 billion tax disruption

Under the terms of the agreement between Dell and EMC, which is sent to the U.S. Securities and Exchange Commission, EMC shareholders will receive $24.05 in cash from Dell per security and $9.1 in tracking shares, the price of which is tied to VMware quotes.

Dell says tracking stocks will help offset the debt burden and avoid giant tax bills after the deal closes. Unless EMC shareholders will have to pay taxes in the amount of 20-40% of the cash received by Dell and the value of tracking shares.

However, Dell fears that the US Internal Revenue Service will make the issue of tracking shares taxable, and then the company will have to pay about $9 billion in taxes to the country's budget.

To finance the purchase of EMC, Dell management plans to take out a loan of $50 billion. Additional costs of $9 billion could force Dell to increase its loan or possibly abandon the deal, sources say Re/code.

According to Reuters, Dell is going to sell $10 billion in non-core assets, including a software and services business, to reduce debt to creditors.

"I would be surprised if EMC and Dell did not consider the consequences of issuing tracking shares before the deal," says analyst RajeshGhai of Macquarie Research.

His colleague Daniel Ives of FBR Capital Markets is confident that the merger of EMC and Dell will take place, even if some adjustments need to be made to this deal.[12]

Dell: Cloud is 80% faster on our solutions than Cisco

On August 26, 2015, CRN published some excerpts from an interview with Dell Cloud Marketing Executive Glenn Keels. He spoke about his company's superiority over Cisco Systems.

According to Glenn Kilz, Dell can offer hardware and software on which customers can create a fully ready-to-use cloud that will be 80% faster and also cheaper compared to solutions based on Cisco products.

The top manager essentially repeated the words of Dell Corporate President Marius Haas, who said in May 2015 that the updated Dell Active System Manager unified platform is 80% faster and 95% cheaper than Cisco UCS.

Dell says the company is able to help create a fully usable cloud that will be 80% faster and also cheaper compared to solutions based on Cisco products

It is worth noting that since the beginning of 2015, Dell management has repeatedly expressed itself towards Cisco, exposing the competitor in a disadvantageous light. In particular, Dell paid attention to how Cisco binds customers to its expensive technology and ignores trends related to open architectures.

"Are
we claiming the place of Cisco or anyone else? Yes. In all aspects of the business, we do what we think is better than Cisco. It's about solving the problem, a big opportunity for Dell and customers, especially in the mid-sized business sector, "Glenn Keels said
.

In August 2015, Dell's official blog posted that Dell's Boomi cloud platform had processed more than 1 billion integration processes in the previous 30 days. It was also noted that the company, which estimates the volume of the cloud industry at $100 billion, promotes a strategy that involves the coverage of all areas of the market.

As one of the cloud solution providers working with both Dell and Cisco admitted to CRN, from 2011 to 2015, the company increased Dell's business by five times, replacing Cisco's offers for economic reasons.

"The vast majority of our cloud projects or software personalized blocks are built on Dell platforms," the source said.[13]

Creating a Non-Standard Solutions Department

On August 26, 2015, Dell introduced Datacenter Scalable Solutions (DSS), a division of the larger Dell Enterprise Solutions division.

Dell DSS's mission is to deliver unique solutions to web, oil and gas, communications, and research organizations.

Dell DSS Presentation, 2015

Organizations of this type tend to have high technology requirements for processing large amounts of information and delivering products/solutions. With an operating model built on flexible, scalable, and repeatable processes, Dell can deliver the technologies they need and meet their needs.

About eight years ago, the company founded Data Center Solutions (DCS) to develop and build large data centers. As of August 26, 2015, this division delivers tailored solutions that address specific customer needs. The promising segment of solutions of a somewhat smaller scale is growing, with similar needs, procurement models and data center construction, the company believes. The growth rate of this segment is three times the growth rate of the traditional x86 server segment, and its total volume is estimated at $6 billion.Based [14].

"Dell became the first major server supplier to recognize the unique needs of the market for large-scale solutions and created a dedicated Dell DCS division in 2007. And today, the company, using the experience of successful implementations and the knowledge gained by DCS specialists, is ready to meet the needs of the smaller-scale solutions segment, "said Matt Eastwood, Senior Vice President of IDC. - As a private company, Dell continues to invest in the long-term development of customer-facing technologies. The launch of the new model is a timely and wise decision that the company made first on the market. "

According to the company, Dell DSS is capable of performing the most complex tasks and creating differentiated and optimal solutions for customers. Examples:

  • An international service provider that offers end customers a better response time when accessing data has an advanced test matrix to determine which configurations are best suited for its workloads. These configurations are not always available in products released on the market. Unlike other market players, Dell DSS was able to build a suitable infrastructure for this client using global logistics capabilities and extensive experience.

  • The oil and gas company needed to increase the productivity and reduce the energy consumption of the seismic processing system. In an industry where speed is a competitive advantage and where every second is expensive, this customer wanted an alternative cooling system built on Dell's infrastructure. Dell DSS was able to provide the customer with what they needed by providing complete system testing, technical support, and warranty service.

In addition to improvements in supply and configuration to meet customer needs, Dell DSS is able to develop a new system from scratch for this market segment. The first Dell DSS products are expected to be released in the fall.

"Dell Datacenter Scalable Solutions is an example of how quickly Dell as a private company makes decisions and - more importantly - creates innovative technologies to benefit its customers," said Ashley Gorakhpurwalla, Vice President and CEO of Dell Server Solutions. - While others in the IT industry are engaged in marketing promotion of their proposals or exclusively reducing capital expenditures, we are engaged in the formation of a new flexible operating model. Dell DSS is dedicated to understanding and helping customers by providing tailored solutions designed at the right time and with the right needs in mind. "

Dell DSS works closely with Dell Financial Services. Thanks to more flexible warranty conditions and financial capabilities, the company offers customers to take advantage of technologies that will support their business for a long time and help increase their competitiveness.

2014: Michael Dell touts the benefits of privatising the company

At the end of October 2014, it was one year since Dell became a private company. Michael Dell, founder and CEO of the manufacturer, spoke about the benefits of privatization.[15]

Having ceased to be a public company, Dell was able to accelerate the development and launch of new products, as well as focus on strategically important investments and innovations, he said.

Michael Dell says privatization helped Dell focus on software and cloud solutions

"We are investing in our strategy, building up the innovation engine and enjoying it a lot," Michael Dell wrote on his LinkedIn social media page to mark the anniversary of Dell's privatization.

According to the head of Dell, being a private company, his company shifted its focus from computers and corporate equipment to cloud solutions, services and software. According to IDC data for the third quarter of 2014, Dell, being the second largest manufacturer of servers based on the x86 architecture, is increasing deliveries of these systems for seven consecutive quarters.

In the cloud market, Dell is developing solutions in conjunction with Red Hat, as well as distributing products from Google and Microsoft. Dell has a dedicated site where you can compare and purchase cloud software.

According to David Chou, Chief information officer of the University of Mississippi Medical Center, Dell was late in entering the cloud market and did not have enough experience in creating software for medical and other tasks.

Gerry McCartney, Director of Information Technology at Purdue University of America, believes that the analytics and security software Dell develops does not have the necessary number of competitive advantages, so the company needs to make more efforts to convince customers and partners to the contrary.

Michael Dell is confident that his company will be able to get ahead of competitors such as HP, which, to please shareholders, decided to split the business, and thereby "created chaos and disappointment" for their customers.

On October 3, 2014, it became known about the superiority of Dell (a division of Dell Storage) in the supply of storage systems in the first half of 2014, in terms of total capacity delivered to the global market.

According to the 2014 IDC Worldwide Quarterly Disk Storage Systems Tracker Q2 report, Dell has become the absolute leader in terms of terabytes of external and internal storage capacity delivered to the global market in the first half of 2014. According to IDC, during the specified period, Dell delivered 4,311,728 terabytes (that is, more than 4 exabytes) of capacity.

Compared to the second half of 2013, Dell's storage sales increased by 14.8% in capacitive terms.

2013: Moving half of employees to work from home

In November 2013, the head of Dell, Michael Dell, announced his intention to return the current trend to the IT personnel market, sending at least half of the company's employees to work remotely. Objective factors prompted him to such a decision: eyewitnesses claim that in the last year the situation with traffic in Silicon Valley, California, where the offices and development centers of the largest IT companies and most startups in the world are located, is becoming increasingly depressing.

According to a source at Business Insider, the road situation in the area has deteriorated significantly after Yahoo CEO Marissa Mayer and HP CEO Meg Whitman completely abandoned the telecommuting model, forcing all employees to visit the office regularly.

Michael Dell's initiative is part of the company's 2020 Legacy of Good plan and provides that about half of the company's 14,000 employees will move from office to their homes. By the way, now about 20% of Dell employees work remotely, said Trisa Thompson, vice president of corporate responsibility.

Meanwhile, Dell provides a lot of technology solutions specifically in support of remote work and work on the go. In addition, according to the company's estimates, Thompson said, the initiative to develop remote work made it possible in 2012 alone to save about $14 million, as well as reduce carbon dioxide emissions into the atmosphere in the amount of 6,735 metric tons (by refusing to use cars to travel to work).

Dell's house-to-house initiative of half the employees is one of the largest in the IT industry, but not the most extreme. Thus, the startup Automattic, which develops the blog platform, WordPress has 200 employees and all of them, without exception, are remote workers.

2012

Entering the Software Market

On February 3, 2012, Dell announced the creation of a new business unit, Software Group, which will specialize in the supply of business systems, so Dell hopes to bring end-to-end industrial solutions to the market.

The new business will be headed by John Swainson, he will take over as president of the Software Group. He previously served as lead advisor to Silver Lake, and from 2005 to 2009 as CEO of CA Technologies.

Michael Dell, CEO of Dell, said new end-to-end solutions will be built on all existing products and services. Until now, Dell's main business has been the sale of PCs, servers, network equipment and storage systems, and the company also has a service division.

John Swenson managed CA for four years, and will now develop Dell's software business 

Dell has long been moving towards creating comprehensive hardware and software solutions, as all its main competitors, including IBM, SAP, Oracle and others, have chosen such a strategy for themselves. In July 2011, Dell already launched a solution consisting of hardware, software and service obligations, it is based on the IaaS model and OpenStack software.

Dell is also developing a number of software products that it has inherited as a result of acquisitions, including the Boomi cloud, a memory virtualization solution from RNA Networks, Compellent duplication technology and a server operating system from Force10.

Dell has a small internal staff of software developers who create applications for PowerEdge servers and Kace management applications, while the company previously stated that it does not see itself as a software vendor.

In March 2013, it was announced that Dell had signed a definitive agreement to acquire SonicWALL, one of the leading players in the network security and data protection solutions market headquartered in California, United States. The companies did not disclose the amount of the transaction, but analysts estimate it at $1.2 billion. This asset will be part of the Dell Software Group.

New Company Strategy

Dell plans to dramatically rebuild its business, which should provide the company with a $2 billion cost reduction in the next three years. A distinctive feature of the company's new strategy will be a bet on the corporate segment, which should ultimately increase profits.

Lower costs, according to the plan, will affect a number of areas of the company's activity, including the production of standard PCs and configured server systems, in addition, it is planned to move activity to more promising regions, as well as improve and improve the efficiency of supply chains, Dell CEO Michael Dell said during a conversation with analysts.

Dell's savings are intended to be reinvested in growing areas of the business, such as manufacturing equipment for enterprise users. According to Dela, the focus on corporate customers and data centers will not mean that the company will ignore the PC business. Dell will try to bid to sell high-margin, well-selling computers like the XPS PC, he said.

According to Jeff [[Jeff Clarke|]] Clarke, Dell Vice Chairman and President of Global Operations, the company intends to reduce costs by $1 billion in the PC business by 2016. In general, the PC market is $235 billion, where 64% of computers cost more than $500, which is a good opportunity for Dell.

At the moment, 50% of the units supplied by Dell are configured, and 70% are assembled by third-party companies, Clark said. In the future, the company intends to continue implementing this strategy to reduce operating costs. At this stage, Dell has already reduced its line of PC platforms by 30%, which has simplified supply chains and reduced the cost of components, the top manager added.

Over the past 12 months, Dell has acquired 8 companies, most of which are developers of software products and security systems specifically for enterprises. The largest purchases of the past year for Dell were the acquisitions of SonicWall and Wyse Technology.

As for software, according to Dell managers, the company does not have software ambitions as such, but it is interested in those products that can be delivered in conjunction with servers, storage systems and other equipment, said John Swainson, president of Dell software.

In this regard, Dell's immediate plans are to create a system for managing PCs and mobile devices using mobile computers. The new product will be intended for medium-sized companies, its creation will involve the technologies acquired by Kace, SonicWall and Wyse. Another direction in the field of creation ON will be the development of analytical and, BI software which will be specifically integrated into other applications and, servers said Swayson.

Former HP Top Manager to Develop Dell Enterprise Solutions

Marius Haas will develop enterprise solutions Dell

In September 2012, it became known that, the Marius Haas former senior vice president of the company's networks department, HP will promote corporate solutions at Dell, reports Reuters citing a source.

Dell hopes Marius Haas will accelerate the company's entry into the technology services market. This is especially true within the framework of the program to reduce costs. In particular, the company plans to cut $2 billion in costs in the next 3 years by reducing sales and supply of products and increasing complex services to large corporations.

In the new position, Marius Haas may replace Brad Anderson, who has worked at Dell since 2005. Reuters sources do not specify whether Anderson will remain with the company or leave it. Comments in companies and Haas himself could not be obtained.

Dell prepares weapons against Oracle

Dell began developing a comprehensive product that will include hardware and software solutions for business, Bloomberg reported on October 18, 2012, citing Dell President Marius Haas.

The new product is being developed as part of the company's new strategy to promote data center solutions.

It is planned that Dell will ship a system in the box that includes combined servers, data storage and network settings. According to Marius Haas, this way Dell will be able to combine technology and its other activities in one box for a better and easier business.

The name and more accurate timing of the release of the new product has not yet been announced. Marius Haas stated that the company is thoroughly underestimated.

Dell's business diversification efforts are being attributed to the continued decline in PC demand. Thus, according to Gartner, in the third quarter of 2012, equipment supplies decreased by 8.3% to 87.5 million in unit terms.

2011: Folding the netbook business

December 14, 2011 Dell without unnecessary publicity removed compact and inexpensive laptops (netbooks) from the online store. Searching the site of laptops with a 10-inch display does not give anything. And if you try to find pages describing Inspiron Mini 1012 or 1018 models, the system gives a recommendation to talk with a sales representative. True, the company is still offering a small Inspiron 11z netbook. It currently sells for $399.

Verge received confirmation from a Dell representative that Inspiron netbooks have no place in the company's future, although Latitutde netbooks are still available to corporate users. Dell says it does not plan to release new netbooks, but the Inspiron Duo hybrid netbook will return to sale in 2012.

It is very likely that Dell, instead of netbooks, will focus its efforts on developing ultrabooks.

Matthew Hutchison, PR Director of Dell's global consumer market sector, noted for CNET that the company is focused on maximum portability of solutions. The focus has been shifted to the preparation of products of the "thin + powerful" category, in the promotion of which there is a steady growth, as is the case in particular in the XPS line of devices. In particular, he noted the interest of the company's mobile customers in the recently released XPS 14z and XPS 15z models.

Earlier this year, Dell already eased its inventory by reducing production of two tablets, the Streak 5 and Streak 7.

Vendors need to work efficiently with their resources, since the future ultrabook market is very likely to be overloaded. As expected, 50 models of devices of this category will debut in January 2012 at the Consumer electronic engineers Electronics Show.

Recall that netbooks were released in 2008, and in August 2010 Intel announced that about 70 million Atom processors were delivered for these devices. However, the tablets that came after them (in the second half of 2010) had a significant impact on the market, and netbooks will now never become what they could have been in a different market scenario.

And Intel has changed its benchmark. The processor manufacturer has turned its ​​vzor to ultrabooks that offer comparable mobility and compactness with much higher performance.

2004: Michael Dell steps down as CEO

In July 2004, the founder of the company, Michael Dell, resigned as CEO, losing his place to Kevin Rollins. Dell Inc. is able to acquire several manufacturers of ready-made solutions, significantly expand the range of consumers and strengthen the brand both in the American and global markets.

2002: Launch of production of TVs, monitors, PDAs

In 2002, the expansion of the product line began and TVs, monitors, digital media players, as well as PDAs appeared under the Dell brand.

1996: Online Sales Start

In 1996, Dell computers and components began to be sold through the website, which was considered technological madness at that time, given the total number of users of the worldwide network.

1994: Logo change

  • In 1994, celebrating its decade, the company changed its logo to a variant more consistent with modern trends and corporate policy - strict and modern.

  • The atmosphere at Dell factories during this period is characterized by the next episode. Hanging in the summer of 1994 at the Dell plant in Austin, a large poster read: "Glenn will receive a face cake for 2,200 within 10." Dell Vice President Glenn Armbruster promised that if the plant shipped 2,200 emergency order computers in just ten hours, he agreed to have workers smear it in whipped cream). As a result, workers used cream for its intended purpose without a twinge of conscience, with a stained Glenn standing and laughing: "That's a great price for a result like this."

1988: Renamed Dell

In 1988, the company was renamed Dell Computer Corporation.

1984: Founding of PC Limited

As a student at the University of Texas at Austin (USA), a certain Michael Dell founded his own company called PC Limited with a starting capital of $1000. It all started with components and a year later, in 1985, the first computer with a unique design called Turbo PC was released, equipped with an Intel 8088 central processor with a frequency of 8 MHz. The price of such a solution was $795.

Notes