Storage vendor EMC said in a regulatory filing Thursday that Dell now represents a bigger chunk of its revenue than it did a year ago, providing new details about its business with the Round Rock, Texas-based computer maker.
In its quarterly 10-Q report with the U.S. Securities and Exchange Commission, EMC reported that Dell -- which resells Clariion storage systems, among other EMC offerings -- is surging as a percent of EMC's top line:
For the three and nine months ended September 30, 2007, sales to Dell, Inc. ("Dell") accounted for 15.8 percent and 15.0 percent respectively, of our total revenues. For the three and nine months ended September 30, 2006, sales to Dell accounted for 15.1 percent and 14.5 percent , respectively, of our total revenues. Revenues from Dell are included in all segments. Additionally, accounts receivable from Dell accounted for 9.7 percent and 10.2 percent of our total accounts receivable as of September 30, 2007 and December 31, 2006, respectively.
There are no details explaining why Dell is accounting for a greater chunk of EMC revenue, but a smaller amount of EMC's accounts receivable. How those numbers trend out may warrant a look in EMC's next 10-Q.
Questions have been growing about the trajectory of the Dell-EMC relationship, since Dell announced earlier this week it had agreed to spend $1.4 billion to acquire storage technology vendor EqualLogic. Dell Chairman and CEO Michael Dell told ChannelWeb: "Our Dell-EMC alliance is absolutely affirmed. We're going to continue to have the strong partnership we have."
