Top Channel Partner: Dell

As one of the largest tech companies, Dell offers a wide range of products and services. What does that mean for channel partners?

In 2006, Dell accomplished a twenty-two-year mission in the making: being the top PC manufacturer in the world. While Dell still holds 16.5% of the global market (behind only HPE and Lenovo in 2020)–the blue-chip OEM’s acquisition of EMC in 2016 positioned Dell to be a competitive IT infrastructure solutions provider for years to come.

The Round Rock, Texas-based vendor boasts 158,000 employees supporting over 500,000 commercial clients–including 99% of Fortune 500 companies. The Dell global footprint includes 180 countries, over 20 manufacturing locations, and 760+ parts distribution centers.

Dell Technologies’ brands include Dell, Dell EMC, Pivotal, RSASecureworksVMware, and Virtustream.

This profile offers a glimpse into the world of Dell services, target markets, user opinion, industry recognition, and current financial position, for potential channel partners to evaluate.

Also Read: What is the Dell Partner Program?

Dell’s specialties

Dell is a renowned global brand, and its extensive network enables the vendor to deploy and integrate new products and services seamlessly. Core offerings in 2021 include:

  1. Infrastructure solutions
  2. Client solutions
  3. Solutions for VMware
  4. APEX: Portfolio-as-a-Service

Infrastructure Solutions

For consumers up to CEOs, Dell is most visible as a source of pre-configured desktops, laptops, and workstations. With the acquisition of EMC in 2016, Dell Technologies and its Dell EMC division also offer a suite of server, storage, networking, and infrastructure solutions. From the PowerEdge rack server to PowerVault storage and hyper-converged systems like PowerFlex, Dell is an unmistakable market leader in cyberinfrastructure systems.

Also Read: Dell EMC Names Primary Distributors

Client Solutions

Dell’s highest-earning segment remains its client solutions. Working with an extensive commercial client network, Dell Technologies supplies PCs, tablets, software, and peripherals like monitors to SMB and enterprise organizations. Moving into the future, Dell is increasing their focus on supporting clients in the realms of artificial intelligencedata analysis, and edge computing. Adding to their service offering, Dell can train, consult, deploy, and manage services for clients depending on their needs and wallet sizes.

Solutions for VMware

With the acquisition of EMC in 2016, Dell absorbed a majority stake in industry-changing VMware. The Palo Alto-based cloud computing and virtualization provider is the leading vendor for enterprise hypervisors, and in 2021, Dell partners now have VMware licensing deals at their fingertips. The combination of Dell’s existing hardware solutions, VMware’s virtualization capabilities, and a growing portfolio of edge to core and cloud IT solutions make Dell Technologies an infrastructure stalworth.

Also Read: Channel Chief at VMware Wants to Turn Deals Into Sales

APEX: Portfolio-as-a-Service

Dell’s newest offering is APEX, a complete package of as-a-service infrastructure solutions for organizations that need a comprehensive channel partner. SaaS offerings for data storage, cloud management, and custom solutions are manageable from a single web interface, the APEX console. Partnering with Equinix, which has 220 data centers on five continents, APEX is a globally connected solution for organizations who want the option of outsourcing infrastructure. APEX offers the simplicity of hybrid IT capabilities on one Dell invoice.

Also Read: eWEEK: Dell Unveils, Explains APEX ‘Portfolio-as-a-Service’

Product Revenue Breakdown

In 2020, Dell Technologies revenue by segment was:

Segment Revenue (USD) Share of Revenue
Infrastructure solutions $34.0 Billion 33.97%
Client solutions $45.8 Billion 45.84%
VMware $10.9 Billion 10.91%

Further analysis of the 2020 fourth quarter shows distinctions within each segment. Infrastructure solutions included storage revenue at $4.5B (51.5%) and servers and networking revenue at $4.3B (48.9%). Within client solutions, commercial revenue represented 72.9% of revenue at $8.6B, while consumer revenue earned $3.2B (27.1%).

With net revenue of over $90 billion, client solutions continue to be Dell’s highest-earning segment, almost three-quarters of which come from commercial clients.

Target markets

Dell is a multinational enterprise with a presence in every corner of the globe. While many tech brands may be serving a niche audience, Dell offers end-to-end solutions to the masses. In order, Dell’s target markets are:

  1. Enterprise clients
  2. SMB and home clients
  3. Public sector clients

As for the different industries represented in Dell’s clientele, from healthcare to finance, manufacturing, aerospace, and energy, Dell is open to serving all industry segments.

User opinion

For Gartner Peer Reviews, Dell Technologies has several strong rankings and insightful user reviews across multiple segments. Below is a table of the most reviewed Dell product segments with their average rating and number of reviews and the top-ranked feature for Dell’s products in the segment

Segment Rating Reviews Top Ranking
Data Center Backup and Recovery Solutions 4.6/5 747 On-premises NAS
Primary Storage Arrays 4.6/5 382 Ease of use; Scalability
Integrated Systems 4.4/5 247 Hypervisors
Distributed File Systems and Object Storage 4.6/5 202 Capacity; Resilience
Hyperconverged Infrastructure Software 4.8/5 197 Internal/operational efficiency
Data Center and Cloud Networking 4.5/5 157 Cost management

Dell’s highest rating with 4.8/5 stars belongs to their hyper-converged infrastructure software segment, including VxFlex Ready Notes, PowerFlex, and VxRail.

Also Read: Dell’s Channel Chief Talks Reorganization

Industry recognition and partners

With a storied history and renaissance in the last decade, Dell’s earned their fair share of praise for service, innovation, and sustainability efforts. Recognitions include:

Award Grantor
High-Tech Manufacturing Supply Chainnovator Gartner
World’s Most Ethical Companies (9x honoree) Ethisphere
Best Places to Work Human Rights Campaign
World’s Most Innovative Companies (#4) Fast Company
World’s 25 Best Workplaces 2020 Fortune
Top Companies LinkedIn
America’s Most Responsible Companies (#10) Newsweek

Also Read: Dell Is the Ultimate VAR

The Dell partner program network includes hundreds of partners split between six categories: solution providers, distributors, cloud service providers, OEM partners, systems integrators, and federal partners. The far majority of partners are solutions providers.

Financial position

After a six-year break that included the acquisition of EMC, Dell returned to the public market in December 2018. Dell Technologies Inc. (DELL) reported gross revenue of $94.2B in 2020, rising at a steady 2.25% from 2019. Gross profit increased by 1.67% to $29.4B, which is slower than the previous year’s growth but tells how far Dell has come. Since 2015, gross profit has increased by over 330%.

Also Read: Dell Rolls Out Federal Partner Certification

Sam Ingalls
Sam Ingalls is a content writer and researcher covering enterprise technology, IT trends, and network security for eSecurityPlanet.com, Webopedia.com, ChannelInsider.com, and ServerWatch.com.

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