Dell's Acquisition of EMC: What are the Implications?

Dell's Acquisition of EMC: What are the Implications?

Dell is suffering from lagging PC demand. EMC is struggling to sell its high-end, proprietary storage arrays in an arena increasingly dominated by commodity hardware and software-defined storage. So what do the two companies do? They fall back on a business model that was extremely profitable for both companies, I hope it is...

"The waves of change we now see in our industry are unprecedented and, to navigate this change, we must create a new company for a new era," - EMC CEO Joe Tucci

Apart from the obvious that the acquisition makes Dell one of the largest IT companies in the World, some pertinent questions need to be asked, discussed and respond to. I find this article  from Computerworld quite instructive as part of the reaction to the Dell-EMC acquisition. 

The deal will make Dell one of the world's largest IT vendors, just behind IBM and Microsoft

 

The deal raises many questions; here are four of them.

1. Where’s the cloud?
2. What happens to the VMware-Cisco-EMC partnership?
3. What does the acquisition mean for rivals?
4. Will there be layoffs at Dell-EMC?

What will be your own opinion about some of the response raised in this article? Your comments will be valuable.

Please read the full article on the link below: 

https://www.computerworld.com/article/2992027/it-industry/four-questions-about-the-dell-emc-merger.html 

Ciao!

Bola Adisa, MBA

Leadership and Technology Management Expert | Vision-to-Value Strategist

9 å¹´

@Fred sure some certain aspects of products or solutions will actually be juncked, but then it still reflect that superior product or solution remains as it will be in the best interest of the one compny.

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I don't know if I agree with you. The merger of EMC and Dell is largely a hardware affair from two companies that are extremely good at it, have symmetrical partner models and channels, and largely complementary portfolios. I see VMware and its software defined portfolio as not core to the new business. Much depends on the upcoming bookings and revenue projections of VMWare's growth. If it keeps growing like the past - then it will remain, if the trajectory looks rocky (from a bookings growth perspective) - then I believe Dell will look to push VMW out to independent, or sell it as a going concern before it falls of its peak revenue curves. To that end, VMW has its future in its hands, if it can sell well, it will do brilliantly, if it cant, it wont. With people like you, and the team around you - I am sure the former will hold true :)

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Isaac Bankole Adewumi

Enterprise Data Architect || Senior Business Intelligence Expert || Big Data Engineer

9 å¹´

We will await the merger absolutely and we hope it pays off in terms of quality and customer target. God bless their marriage

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Interesting time for both companies, I believe the overlap in my region will be negligible

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Babatunde Abagun

Angel Investor, Business leader, Technology Leadership Nerd

9 å¹´

It's my opinion that Customers viz-a-viz the IT community should not expect radical change(if any) in the SW strategy because VMware would drive the "Software-defined" end of this deal. VMware remains a separate, publicly traded company, hence Our vision and strategy remain the same and our EPIC2 culture remains at the core of who we are. Many have called VMware the "crown jewel" of the deal...ergo, no change...in my opinion

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