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5 Biggest Dell Earnings Takeaways: PC, Storage, Record Sales

From returning to growth in midrange storage to record sales numbers, CRN breaks down the five most important takeaways from Dell’s fourth quarter financial earnings results.

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PowerStore Front And Center; Midrange Storage Returns To Growth

Last year, Dell executives said themselves that they were disappointed in third quarter storage sales, which were down 7 percent year over year. Dell said they were betting heavily on its new PowerStore all-flash storage platform to turn things around in its fourth quarter.

“Our midrange storage business returned to growth in the fourth quarter, driven by accelerated adoption of a PowerStore. PowerStore orders grew 4x compared to the third quarter orders as customers embrace the next generation of modern data center technology and applications,” said Dell’s Clarke, who spearheaded the creation of the company’s PowerStore storage line.

Dell’s midrange storage busines was up 8 percent year over year thanks to PowerStore, representing the first time Dell has grown midrange sales in nine quarters. “It‘s all on the back of PowerStore,” said Clarke.

Approximately 20 percent of PowerStore customers were new to Dell’s storage business “as we tripled the number of wins against key competitors quarter-over-quarter,” Clarke said. “In a challenging environment, PowerStore is ramping faster than XtremIO and VxRail, making it the fastest new architecture we have released.”

It appears PowerStore is gaining momentum very well in the midrange market as Dell says its replacing the competition. This is a major accomplishment for Dell’s Clarke who first told CRN about his midrange storage innovation and execution plans in 2018.

 
 
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