Dell and NVIDIA enhance AI infrastructure offerings

Published 19-03-2025, 01:52 am
Dell and NVIDIA enhance AI infrastructure offerings

SAN JOSE, Calif. - Dell Technologies (NYSE:DELL), a prominent player in the Technology Hardware industry with annual revenue of $95.57 billion, has introduced new artificial intelligence (AI) solutions and services aimed at accelerating enterprise AI innovation. According to InvestingPro analysis, Dell appears undervalued at current levels, suggesting potential upside for investors interested in AI transformation plays. Celebrating the one-year anniversary of the Dell AI Factory with NVIDIA, the collaboration has assisted over 2,000 customers in developing AI capabilities.

The expanded Dell AI infrastructure portfolio includes the Dell Pro Max series, which now features the NVIDIA GB10 Grace Blackwell Superchip and the GB300 Grace Blackwell Ultra Desktop Superchip, offering up to one and 20 petaflops of AI computing performance, respectively. These workstations are designed to cater to the varying needs of AI developers, from model development to large-scale deployments. With a healthy P/E ratio of 15.21 and strong profitability metrics, Dell appears well-positioned to capitalize on the growing AI market.

Dell has also announced forthcoming PowerEdge servers that will support the NVIDIA Blackwell Ultra platform, providing enhanced AI acceleration for enterprises. The PowerEdge XE7740 and XE7745 servers, currently available with NVIDIA H200 NVL GPUs, will soon support NVIDIA RTX PRO™ 6000 Blackwell Server Edition PCIe GPUs, promising to double AI performance.

The Dell AI Data Platform, integrated with NVIDIA’s technology, offers enterprises a robust data management service to fuel AI innovation. The platform features Dell PowerScale storage, now validated for the NVIDIA Cloud Partner Program and NVIDIA-Certified Storage designation, delivering faster data ingestion and retrieval, thereby optimizing GPU utilization.

Additionally, Dell’s new AI solutions and services include the integration of NVIDIA’s AI-Q Blueprint and AgentIQ Toolkit, the validation of the NVIDIA Run:ai AI orchestration platform, and the Dell AI Code Assistant, which provides an enterprise-grade coding assistant with a focus on data privacy.

Michael Dell, CEO of Dell Technologies, emphasized the company’s commitment to simplifying AI for the enterprise, while Jensen Huang, CEO of NVIDIA, highlighted the partnership’s goal to deliver comprehensive AI infrastructure.

The new Dell Pro Max desktops and laptops will be available starting March 2025, with other releases in the coming months. The Dell Pro Max with GB300 and GB10, PowerEdge XE7740 and XE7745 servers, and the PowerEdge XE8712 will be globally available later this year. The Dell AI Data Platform and additional AI solutions are available now.

This article is based on a press release statement.

In other recent news, Dell Technologies Inc. reported a revenue increase of 7% year-over-year for the January quarter, reaching $23.9 billion. This growth was largely driven by the Infrastructure Solutions Group (ISG), which saw a 22% increase in revenue, with the server and networking segment experiencing a notable 37% rise. Despite this, Dell’s revenue fell short of some analyst expectations, such as Mizuho Securities’ anticipated $24.6 billion. The company also issued guidance for the April quarter, suggesting a potential 4% quarter-over-quarter revenue decline to $23.0 billion.

Analysts have been adjusting their outlooks in light of Dell’s recent earnings and guidance. Loop Capital reduced its price target for Dell from $185 to $130, maintaining a Buy rating, while UBS adjusted its target from $158 to $150, also maintaining a Buy rating. Mizuho Securities lowered their price target to $140 from $150, reiterating an Outperform rating. Dell’s earnings per share (EPS) for the fourth quarter of 2025 was $2.68, exceeding forecasts, although revenue fell short of expectations.

Dell’s backlog has increased significantly, with approximately $5 billion in orders secured after the fourth quarter, bringing the total backlog to around $9 billion. The company anticipates AI server revenue to reach at least $15 billion in fiscal year 2026, surpassing some analyst estimates. Dell’s initial fiscal year 2026 revenue guidance is between $101 billion and $105 billion, with an EPS guidance of $9.30, which aligns with some analyst projections but remains slightly below consensus.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.