Dell’s acquisition of EMC Corporation was the largest tech buyout in history. The primary focus of it was to position Dell as a leader in the emerging “Internet of Things” market, or smart connected devices ranging from household appliances to vehicles. This also greatly expands their range of enterprise and data storage offerings, however, particularly in the software as a service (SaaS) and platform as a service (PaaS) realms.
The merger came as both companies were facing some internal challenges and looking to reinvent themselves to some degree; Dell going private and pivoting away from hardware and to the virtual space, and EMC making a somewhat similar move from physical data storage devices to cloud storage services and analytics.
The two companies were already moving in complementary directions, which looks to offset the traditional disadvantages seen when companies that are both in flux merge. HP and IBM, the new company’s two closest competitors, are also facing similar struggles and pivots that keep them from bounding ahead in the market.
The new company is now vastly expanded in size and scope as compared to its previous constituent components. Dell EMC is worth an estimated $74 billion, which would make it the largest privately held tech company in the world, and has nearly every Fortune 500 company as a customer for at least some of its products. The company has about 140,000 employees worldwide.
The Dell EMC Product Portfolio
Dell EMC’s data storage products run the gamut from flash to NAS systems, with all sorts of hybrid solutions in between. Noteworthy additions to the Dell lineup from the merger include EMC’s VMAX for larger businesses, the all-flash Unity and VNXe systems for smaller businesses, and simplified cloud systems like ScaleIO and Elastic Cloud Storage.
Dell’s PowerEdge server system remains in place, offering blade, tower or rack-mounted servers in five total form factor options to businesses of all sizes.
EMC brings their range of data center products to the catalog including the VxBlock, VxRack and VxRail systems. Complete IaaS or PaaScloud-based systems are also available in both native hybrid and enterprise forms.
Dell EMC’s data security services remain under the umbrella of the RSA Archer eGRC platform, which EMC had been operating as a subsidiary prior to the merger. This is a customizable platform meant to encompass as many aspects of a business as desired including encryption, access control, web and database security.
Despite the recent pivot, Dell still does sell quite a bit of PC hardware. This includes the lineup of desktops and laptops the company first became known for, as well as workstations, servers and storage devices. Dell also remains in the business of supplying printers, monitors, routers and other accessories, both under their own brand name and selling other brands through their website and retail stores.
VMware continues under the merger as an independent Dell EMC subsidiary. It remains publicly traded even though Dell is private and EMC has gone private under the terms of the merger. VMware was the first virtual system to replicate x86 architecture and has experienced a 100% growth rate annually in recent years.
Alienware has become the leading brand name synonymous with prepackaged high-end gaming PCs and laptops. The company also recently debuted the Alienware Alpha R2, a hybrid of gaming console and computer that runs Windows 10. The company has operated as a subsidiary of Dell since 2002.
Other Dell and EMC subsidiaries that continue in their prior roles under the Dell EMC name include SonicWall, Wyse, Gale, Credent, AppAssure, KACE and Boomi QS. Though the two companies were in the midst of some difficulties prior to the merger, there are difficulties that are shared to a great degree by their major competitors, thus keeping the overall market position of Dell EMC products and services looking favorable.