Dell EMC…The Transformation is Just Beginning

“Let the Transformation Begin” was the mantra of the first Dell EMC World and that theme rung true in a variety of ways. While Dell Technologies seeks to transform the IT industry, it must also embrace its own internal transformation. First, let’s discuss the show itself. While it was still in Austin (for the last time it appears), influences from the former EMC World were everywhere. Michael Dell, obviously, led the company’s message, but the general sessions embraced the impressive production value that we have come to expect with Jeremy Burton, Dell Technologies’ newly appointed CMO. Attendance seemed to have shot up as well. While I don’t have the official numbers, after the first general session it was obvious Dell EMC World had simply outgrown the capacity of the Austin Convention Center, something that could not have been said of Dell Worlds in the past. To read the complete article, CLICK...

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Cloud Highlights Dell EMC World
Oct19

Cloud Highlights Dell EMC World

Austin, Texas: A number of announcements were made at the inaugural Dell EMC World event (as well as VMWorld Europe), including a several cloud-related items. While not necessarily more significant or relevant than the other news, I decided to focus on the cloud items because cloud seemed to offer more perspective about Dell’s future, than its present. Dell’s Elastic Cloud Storage (formerly Project Nile), acquired with EMC, is a software-defined, cloud-based distributed file and object storage platform that manages data as objects. While it’s market segment represents an attractive solution for soaring data growth, it is not seeing corresponding growth, according to a study released at the start of the year. The ‘object storage market gains remained lackluster,’ although that should change: the ‘increased pressure on the storage infrastructure to scale bigger, protect longer, and keep more data active in more locations will likely continue to drive IT organizations to seek to deploy an architecture that can cost-effectively solve not only the scale challenges of today, but also those of the next decade or two in the future. For many organizations that architecture is object storage.’ Fast forward 9 months and following “good momentum”, Dell is making five ECS announcements, including software and enterprise enhancements, an appliance, and a single-tenant version due out later this year. While the announcements will appeal to existing customers, the intent is to grow the customer base, said Varun Chhabra, Director of Product Marketing for Dell EMC Emerging Tech Team. We’re “growing really fast,” he told IT Trends & Analysis. While the news should appeal to both existing and new customers, the “focus still remains on continuing to penetrate new accounts.” Given its position, Dell would seem to have nowhere to go but up. Chhabra said their goal is to equip customers on their journey to the cloud, wherever they may be. “We have to continue to innovate to provide customers that value.” It’s all about enabling choice for customers, and continuing to innovate, he added. Earlier this month VMware and Amazon Web Services announced a strategic partnership under which VMware’s software-defined data center (SDDC) offering will run on the AWS public cloud in mid-2017. With VMware Cloud on AWS (the new platform), customers will be able to run applications across VMware vSphere-based private, public and hybrid cloud environments using their existing VMware software and tools for a full range of storage, database, analytics and other services. “We see that we could bring together the best of both worlds,” said VMware CEO Pat Gelsinger. “The best of public cloud and the best of private cloud are coming together.” Earlier this year the company unveiled...

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Dell 3.0 Takes Center Stage at DEW

Austin, Texas:  The critical question arising from the inaugural Dell EMC World event — at least for me, an IBM, HP/E and Dell/EMC/VMware investor — is what makes Dell’s prospects any brighter than those of its two main competitors, IBM and HPE, and the trio of enterprise vendors offering more limited portfolios — Cisco, Oracle and Lenovo? IBM has seen its sales shrink for the last 17 quarters, HPE is just shrinking, and the other contenders can only offer partial solutions — predominantly networking and datacenter servers, DBMS software and appliances, and devices, respectively. From its humble roots in Michael Dell’s college dorm room, the company has scaled the PC heights, added servers, storage, software, networking, security and services and, with the completion of the EMC acquisition, is now grappling with the IT industry’s largest acquisition and largest debt load. It has also added significant resources in enterprise storage (disk, flash and software-defined), virtualization (VMware), cloud (Virtustream, Pivotal and ECS), networking (SDN/NSX), all-in-one appliances (VCE) and security (RSA). Of course there is a lot of overlap too, and while the combined companies may point out the differences, many others will be concerned about the similarities. We’ve already seen signs of tighter focus — i.e. the sales of the enterprise content division, services and software units, and the (lower-than-expected) SecureWorks IPO — and the first workforce reductions, 2,000-3,000 jobs are expected to be cut, out of 140,000. On the good (?) news front, Dell moved into top spot in server shipments for the most recent quarter, while HPE held on to top spot in revenues; shipments grew 2% year-over-year, while revenues edged 0.8% lower. Even better, EMC was named a leader in integrated systems, and the acquisition should strengthen that position, although Gartner cautions that uncertainty will plague the new Dell-EMC-VMware combination that brings ‘multiple overlapping and competing integrated system strategies under one roof.’ The results were equally ambivalent for enterprise storage, where revenue was flat while shipped capacities shot up 12.9%; EMC tied for first place with HPE ($1.6 billion each) while Dell came in third place with a revenue increase of 14%, up to $1 billion. Prior to the acquisition EMC was pushing a software-defined everything strategy, and it’s unlikely that focus will change under new ownership. The current evolution of IT is offering customers a couple of choices in pursuit of shrinking data centers, lower CAPEX and OPEX and the ability to leverage the cloud: some form of do it yourself versus an all-in-one solution, and hardware versus software lock-in (and that at the end of the day, there’s no getting away from software lock-in), Manuvir Das,...

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OpenText to Buy Dell EMC’s Enterprise Content Division

The plan by OpenText, an Ontario-based player in the Enterprise Information Management (EIM) space, to purchase Dell EMC’s Enterprise Content Division, including Documentum, is an interesting deal for both firms though for substantially different reasons. In the case of OpenText, the deal represents a step forward in strengthening a leadership position in a range of EIM solutions and services. The sale also demonstrates how Dell Technologies is moving forward both strategically and financially after the close of its purchase of EMC. Let’s talk about that. To read the complete article, CLICK HERE NOTE: This column was originally published in the Pund-IT...

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…Why Enterprises Are Choosing Dell… Over HPE

Pushing hard for competitive advantage is hardly unusual in business. In fact, it’s commonplace for many companies to attempt to advance their own interests by spreading fear, uncertainty and doubt (FUD) about their competitors’ strategies and efforts. Common or not, some of these exercises go to extremes. A case in point: Ever since Dell announced its plan to buy EMC last October, HPE’s CEO Meg Whitman has tried to dump FUD onto the deal as if she were driving a manure spreader. Whitman decried the size and complexity of Dell’s plan, saying it would result in “chaos” and insinuated that financing the deal would “keep them from better serving their customers.” Whitman also said that Dell is “getting bigger, leveraging up, and mostly doubling down on legacy technology. While our strategy is to get smaller.” In fact, Whitman claimed that HPE’s spin-offs and “spin-sales” of underperforming business units, including PCs, professional services and application software have placed it “two years ahead of the game.” That’s strong stuff so it’s worth taking a look at organizations that literally aren’t buying it. Businesses, including HPE customers, aren’t just ignoring Whitman’s FUD. In many cases, they are actively purchasing solutions from Dell Technologies to replace their HPE data center gear. The following is a profile of one such enterprise that I interviewed to discuss the business and technology challenges it faced, and why it decided to invest in Dell Technologies’ solutions. Please note that the representative I spoke with, a technical lead in the company’s IT organization, asked that its name and location not be disclosed for practical and competitive reasons. I’ve honored that request. To read the complete article, CLICK HERE NOTE: This column was originally published in the Pund-IT...

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