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Dell launches new LOB to cater to high-end customers

Dell Datacenter Scalable Solutions to meet needs of customers just below hyperscale

Dell's new business is intended to provide data centre solutions to companies operating just below hyperscale.
Dell's new business is intended to provide data centre solutions to companies operating just below hyperscale.

Dell has announced the launch of new business within the company that is intended to meet the data centre requirements of high-end customers operating just outside of the ‘hyperscale' tier.

Datacenter Scalable Solutions (DSS), is a new line of business within Dell's Enterprise Solutions organisation designed to meet the specific needs of web tech, telecommunications service providers, hosting companies, oil and gas, and research organisations. These businesses often have high-volume technology needs and supply chain requirements in order to deliver business innovation. With a new operating model built on agile, scalable, and repeatable processes, Dell can now uniquely provide this set of customers with the technology they need, purposefully designed to their specifications, and delivered when they want it.

Dell says the new business line will address organisations that are just below the hyperscale space in size and that are increasingly expressing similar needs in how they buy and build data centre capabilities. This segment is growing three times faster than the traditional x86 server market and represents a $6 billion total addressable market, according to a Dell internal market analysis.

Customers in this segment often require specific technologies or deployment models to address their unique business challenges and application needs, the company said, so Dell DSS will have a fast and nimble operating model that builds on Dell's deep experience in understanding customers' challenges, to be able to meet these high-volume needs and create differentiated and optimised offerings for customers.

"Dell was the first major server vendor that recognised the unique requirements of the hyperscale market when it introduced DCS in 2007. They are now taking the best practices and learnings from their DCS business and addressing the distinct needs of the space just below the top tier hyperscalers," said Matt Eastwood, senior vice president, IDC. "As a private company, Dell continues to make long-term strategic customer centric investments and they are proving their new operating model is dynamic, thoughtful and unique in the industry."

In addition to supply chain optimisations and custom configurations, Dell DSS will focus on being able to quickly build new system designs for this market. Dell will introduce its first DSS-branded products later this Autumn. Dell DSS has also partnered closely with Dell Financial Services to provide more flexible warranty and financing options for customers.

"Dell Datacenter Scalable Solutions is a prime example of how Dell, as a private company, is able to be more nimble, make faster decisions and - most importantly - drive innovation on behalf of its customers," said Ashley Gorakhpurwalla, vice president and general manager, Server Solutions, Dell. "While others in the IT industry have been focused on marketing hype or reducing capex costs only, we've created a new operating model that is centred around flexibility. DSS is about understanding customers' goals and enabling them to achieve those objectives by giving them purpose-built solutions that are designed when and how they want it."