Data center News

Dell’s 6,650 Layoffs: 5 Big Changes, Cuts, Michael Dell Things To Know

Mark Haranas

As Dell Technologies reduces its 133,000-strong workforce by 5 percent, CRN breaks down the biggest things channel partners, investors and employees need to know about the cuts and Dell’s vision for the future.

Why Is Dell Eliminating 6,650 Employees?

Simply put: Dell is laying off 5 percent of its workforce due to a slow economy and uncertainty ahead with the ultimate goal of long-term success.

“What we know is market conditions continue to erode with an uncertain future. The steps we’ve taken to stay ahead of downturn impacts, which enabled several strong quarters in a row, are no longer enough. We now have to make additional decisions to prepare for the road ahead,” said Clarke.

In Dell’s recent third fiscal quarter of 2023, the company reported revenue of $24.7 billion, down 6 percent year over year. However, operating income grew 68 percent year over year to a record $1.8 billion.

“Unfortunately, with changes like this, some members of our team will be leaving the company,” he said. “There is no tougher decision, but one we had to make for our long-term health and success. … As we always do, we’ve continued assessing our business to ensure we’re set up to deliver the best innovation, value and service to our customers and partners.”

Dell’s Client Solutions Group, which includes PCs, generated $13.8 billion in the third fiscal quarter of 2023, down 17 percent year over year. Commercial revenue was down 13 percent year over year to $10.7 billion, while consumer revenue was $3 billion, down 29 percent year over year.

Learn More: Desktop-Clients
Mark Haranas

Mark Haranas is an assistant news editor and longtime journalist now covering cloud, multicloud, software, SaaS and channel partners at CRN. He speaks with world-renown CEOs and IT experts as well as covering breaking news and live events while also managing several CRN reporters. He can be reached at

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