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Dell’s Stratospheric Client Hardware Revenue is Coming Slowly Back to Earth: Page 2 of 2

Though PC and peripheral orders through the channel rose just 1% on an annualized basis in the hardware maker’s fiscal Q1, that’s in relation to a quarter one year ago in which orders soared 21%. By Rich Freeman

Hybrid cloud deployments spanning onsite and offsite resources are also fueling infrastructure spending, she adds. “All of this unlocks a tremendous amount of demand and opportunity for managing a complex multi-cloud infrastructure environment, no matter where it resides.” 

Dell introduced a range of multi-cloud services in May during its Dell Technologies World conference in response to that dynamic, as well as Project Alpine, an effort to connect on-premises storage resources to editions of Dell’s file, block, and object storage software running in Amazon Web Services, Microsoft Azure, and Google Cloud Platform. 

“You can burst for disaster recovery or backup into the public cloud and vice versa back on premise,” Cook says.

Together, Dell’s channel sales in client and infrastructure added up to a 7% increase in order revenue overall, and a 13% increase in partner rebates. The company’s channel business worldwide across the last four quarters adds up to some $60 billion. Inflation, rising interest rates, continued supply chain challenges, and recession fears make forecasting what the next four quarters will look like difficult, however.

“There are definite signs of some uncertainties that we just can’t completely predict around us,” Cook says.

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