Why Dell+EMC Make Sense

If you were at the EMC world in Las Vegas earlier this year, you couldn’t have missed the keywords: modern data centre, innovation, year of flash, storage cloud. You couldn’t have missed the keywords: modern data centre, innovation, year of flash, storage cloud. You couldn't have missed some of the catch phrases either: "The digital revolution will dwarf the industrial revolution" or that "Data is the new diamDell Technologiesond". Msichael Dell, Chairman and CEO of Dell Technologies, said that gathering information from connected devices for better insights is the challenge and an opportunity.


Dell and storage solutions company EMC merged, to "create a $74-billion market leader with an expansive technology portfolio that solves complex problems forGet Daily Updates customers in the industry's fast-growing areas of hybrid cloud, software-defined data centre, converged infrastructure, platform-as-a-service, data analytics, mobility and cyber security". Dell Technologies on Wednesday said the acquisition was complete.



Technology companies have always sought newer engines of growth. In most cases, it was achieved through acquisitions. EMC itself was an acquisitive company - if you go back 12 years, EMC transformed from being a single platform company to a firm with a 'family'. It transitioned from being a hardware-centric company to a complete information management company, which offered both software and services. In fact, EMC, by 2005, was one of the world's largest software companies! The talk, then, was also about reducing complexities for the customer.

A large hardware+software+services company would take away the headache of negotiating with multiple vendors as also of integration. That logic hasn't changed now; only the circumstances have. Dell's acquisition of EMC is easy to understand through this prism.

Global customers also need efficient supply chains. Being able to deal with fewer vendors is always useful. The new scale of Dell Technologies fits into this scheme.

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