Dell ramps up re­sources to pen­e­trate lo­cal ser­vice mar­ket, data cen­ters

China Daily (Hong Kong) - - BUSINESS - By MA SI and CHENG YU

US group Dell Inc is ramp­ing up its re­sources to tap into the Chi­nese server mar­ket, as the coun­try’s push for tech­nol­ogy-driven growth is fu­el­ing a strong de­mand for in­ter­net data cen­ters.

Amid in­ten­si­fy­ing com­pe­ti­tion from lo­cal ri­vals, the US tech heavy­weight un­veiled its lat­est gen­er­a­tion of servers to tar­get Chi­nese com­pa­nies which are de­mand­ing scal­able and au­to­mated com­put­ing so­lu­tions.

Ravi Pen­dekanti, se­nior vice-pres­i­dent of server so­lu­tions prod­uct man­age­ment and mar­ket­ing at Dell, said in Beijing that China is one of the fastest-chang­ing server mar­kets in the world.

Dell sees strong op­por­tu­ni­ties in China. The gov­ern­ment is mak­ing a ma­jor push into the big data in­dus­try, which will spur huge de­mand for more data-cen­ter re­lated so­lu­tions, Pen­dekanti said.

In the first quar­ter of this year, com­pany rev­enues in the in­ter­na­tional server mar­ket de­clined 4.6 per­cent yearon-year to $11.8 bil­lion, data from the In­ter­na­tional Data Corp showed. But the China mar­ket grew 1.7 per­cent in Q1, de­fy­ing the global slow­down.

In the quar­ter, Dell grabbed the top spot in the China server mar­ket in terms of ship­ments. It ac­counted for 20.3 per­cent of al­most. all the servers shipped in China in the pe­riod, com­pared with its arch ri­val In­spur Group Co Ltd whose share was 18.1 per­cent.

Dell said it is see­ing strong de­mand from web com­pa­nies, State-owned en­ter­prises, as well as the man­u­fac­tur­ing, health­care, ed­u­ca­tion and other sec­tors in China.

In a move to bet­ter serve Chi­nese com­pa­nies, Dell un­veiled its 14 th Gen­er­a­tion of Pow­erEdge servers on Wed­nes­day, nearly three years af­ter the launch of its 13th Gen­er­a­tion Pow­erEdge server portfolio.

The up­graded Pow­erEdge servers, which run on In­tel’s lat­est Xeon Scal­able Fam­ily pro­ces­sors, can more ef­fi­ciently drive cor­po­rate data cen­ters and ad­dress spec­i­fied work­loads of dif­fer­ent com­pa­nies, Pen­dekanti said, adding that his com­pany was adding more in­tel­li­gent au­to­ma­tion


ca­pa­bil­i­ties to its servers.

As China pushes for­ward with its Belt and Road Ini­tia­tive, Dell also sees big op­por­tu­ni­ties in help­ing Chi­nese com­pa­nies set up over­seas data cen­ters.

“It is a unique ad­van­tage of Dell be­ing a multi­na­tional com­pany with global op­er­a­tions in al­most ev­ery coun­try and ev­ery re­gion,” Pen­dekanti said.

“We can help Chi­nese com­pa­nies get to know the reg­u­la­tions in dif­fer­ent coun­tries bet­ter and help them lever­age more lo­cal re­sources.”

Fu Liang, an in­de­pen­dent server ex­pert, said Dell has man­aged fast growth in the server mar­ket, with an edge in ship­ments, but more ef­fort was needed to ex­pand its pres­ence in the high-end seg­ment in China.

Dell’s first quar­ter rev­enues in the in­ter­na­tional server mar­ket

Con­tact the writ­ers at masi@chi­


Ravi Pen­dekanti, se­nior vice-pres­i­dent of server so­lu­tions prod­uct man­age­ment and mar­ket­ing at Dell, in­tro­duces the tech heavy­weight’s prod­ucts at a news con­fer­ence in Beijing.

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