Dell Technologies Inc. is dynamically expanding its artificial intelligence (AI) hardware offerings and forging robust partnerships aimed at pushing the frontiers of AI development. This strategic move is part of Dell’s broader commitment to innovation and growth, deeply rooted in a foundational legacy that spans over four decades. Today, propelled by AI advancements, Dell is not just keeping pace with technological evolution—it’s aiming to redefine it.
Yvonne McGill, the Chief Financial Officer of Dell, highlighted the company’s proactive approach in a detailed discussion at Dell Tech World 2024. Speaking to theCUBE Research’s Dave Vellante and Savannah Peterson, McGill emphasized the critical nature of evolving with time to stay relevant and competitive in the fast-paced tech industry. “We’re moving fast and we’re changing. It’s giving us the opportunity to question everything we do and decide if we are doing the right stuff and how we make time to do the things that’ll add even more value for our customers and our shareholders,” she explained.
The financial implications of AI are significant, but Dell views these costs as investments in future growth and revenue. The company prides itself on offering a comprehensive ecosystem for AI development, which stands distinct in the market. McGill pointed out the importance of having a robust foundational layer to drive AI initiatives, “When we have all of our dataset, when the foundational air is built, then I can drive from there. I can accelerate from there, but you have to take the time to make sure your data is clean so that you can drive the outcomes you’re desiring.”
Dell’s strategy involves not just internal development but also extensive collaboration with leading players in the AI space. Recent partnerships with industry giants such as Nvidia Corp., Hugging Face Inc., and Meta Platforms Inc. are testament to Dell’s commitment to delivering cutting-edge solutions to its customers. These collaborations are vital to Dell’s success, allowing the company to integrate diverse AI technologies and enhance its product offerings.
Reflecting on the company’s recent performance and optimistic future projections, McGill shared that Dell’s strategic investments in AI are already paying dividends, quite literally. The company reported a 20% increase in dividends over the past year, surpassing expectations. “There’s so much efficiency to be had,” McGill noted. “You’ll see that in our results. You saw that in what we guided for the full year from a spend level. We’re going to grow while investing and delivering the outcomes that we want.”
As Dell continues to navigate the complexities of the AI landscape, it remains focused on leveraging its historical strengths while embracing new technologies and partnerships. This balanced approach not only ensures sustainable growth but also reinforces Dell’s position as a leader in the global technology arena, ready to meet the demands of tomorrow’s digital world.