Dell is projecting annual revenue growth of 7% to 9%, nearly doubling its previous 3% to 4% outlook, as AI demand blew past expectations.<\/p>\n
According to Dell\u2019s announcement<\/a>, the earnings-per-share growth target is now 15% or better, almost double the prior 8% goal. In a case of nominative determinism, Dell CEO Michael Dell called the AI opportunity \u201cmassive,\u201d with customers scrambling for compute power and networking to deploy intelligence at scale.<\/p>\n Dell\u2019s AI server business has started to look like a money-printing machine, with targets rising quarter after quarter. The company raised its full-year AI server guidance by another $5 billion, now aiming for $20 billion for the fiscal year.\u00a0During the second quarter alone, Dell shipped $8.2 billion in AI servers, according to Nasdaq<\/a> last month.<\/p>\n The backlog tells the story, it ended at $11.7 billion, and first-half AI solution shipments already topped last year\u2019s total, Futurum Group found<\/a> in September. That is pent-up demand turning into booked business. Enterprises are racing towards AI, and Dell seems to be positioned to ride a multi-year cycle that is not slowing.<\/p>\n Beyond the headline numbers, Dell is reshaping itself as an AI infrastructure heavyweight. The Infrastructure Solutions Group posted 44% year-over-year growth to $16.8 billion, driven by $12.9 billion from servers and networking, recent analysis shows from two months back.<\/p>\n Shareholder math is shifting too. Dell committed to dividend growth of 10% or more annually through fiscal 2030, extending the timeline by two years. The stock is up 27% this year, still under last year\u2019s peak near $175. Cash generation helps, $2.5 billion in the second quarter alone, and the company is using strategic debt refinancing and solid operations to fund AI expansion while returning capital to investors.<\/p>\n Dell\u2019s surge is part of a bigger reset in enterprise spending that is reshaping the server market. The AI-server segment is projected to grow 55% in 2025, hitting $252 billion, and Dell is set to capture a meaningful slice alongside HPE and Lenovo, Bloomberg Intelligence reported<\/a> almost a year ago.<\/p>\n The economics are changing on the ground. AI server racks now run up to $3 to $4 million each, compared with $1.5 to $3 million in prior generations, which pushes revenue per customer sharply higher. Dell\u2019s pitch is a full stack, complete AI solutions, from data center infrastructure to specialized servers, which puts the company in the sweet spot of a multi-year buildout.<\/p>\n AI demand also helped Nvidia\u2019s shares rise<\/a>, with Huang calling this moment \u201cthe beginning of a new buildout, a new industrial revolution.\u201d<\/strong><\/p>\n The post Dell Doubles Revenue Forecast Due to AI Demand<\/a> appeared first on eWEEK<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Dell is projecting annual revenue growth of 7% to 9%, nearly doubling its previous 3% to 4% outlook, as AI demand blew past expectations. According to Dell\u2019s announcement, the earnings-per-share growth target is now 15% or better, almost double the prior 8% goal. In a case of nominative determinism, Dell CEO Michael Dell called the […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-5279","post","type-post","status-publish","format-standard","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/cybersecurityinfocus.com\/index.php?rest_route=\/wp\/v2\/posts\/5279"}],"collection":[{"href":"https:\/\/cybersecurityinfocus.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cybersecurityinfocus.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/cybersecurityinfocus.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=5279"}],"version-history":[{"count":0,"href":"https:\/\/cybersecurityinfocus.com\/index.php?rest_route=\/wp\/v2\/posts\/5279\/revisions"}],"wp:attachment":[{"href":"https:\/\/cybersecurityinfocus.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=5279"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cybersecurityinfocus.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=5279"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cybersecurityinfocus.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=5279"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Neat-looking numbers<\/h2>\n
Dell\u2019s future<\/h2>\n
The bigger picture<\/h2>\n