Dell sheds Perot

There's a lot of confusion over this announcement, so allow me to explain. Perot does about $3 billion for Dell. It drags no real Dell infrastructure. It’s a bit of an island.

In the new Dell/EMC world, Perot goes away. Dell gets $3 billion in cash. There's no impact to the core businesses, nor to the core services.

Topics: EMC Dell Perot dell-emc

Vertical Storms Brewing in the Clouds

Last week I was on the road visiting some of our customers down south as well as at a speaking engagement for our friends at ClearEdge Partners. The trip took me to awesome Austin as well as Phoenix, Arizona. Both places definitely have great weather this time of year as well as awesome BBQ!

Topics: Cloud Computing Dell Perot Vertical Cloud

Dell: In Search of a Private Road

When I hear the expression used, “We are trying to change the tires while the car is still moving,” I cringe. Even the most efficient tire changers in the world, the NASCAR pit crews, still require the vehicle to come to a full stop. Wall Street doesn’t allow full stops. Dell, while having done quite well turning its business model towards wider IT systems and services, based mainly on a slew of enterprise IT oriented acquisitions, initially punctuated by the purchase of Perot Systems over three years ago and underscored by the addition of ex-IBM and ex-CA Technologies turnaround specialist John Swainson in 2012 to run software, isn’t quite a NASCAR pit crew.

Today’s announcement of the pending leveraged buyout clearly is intended to give Mr. Dell the room and time he needs to take his foot off the quarterly brakes without the spreadsheet-toting stare of Wall Street handing out traffic violations. The drama of the largest privatization in the history of information technology may not quite have ended, however, because the deal still needs to go through a long list of approvals, with Dell allowing for a healthy six month window before close.

Topics: Cloud Computing Storage Microsoft Data Management & Analytics IT Infrastructure Private Cloud Infrastructure Networking Dell Compute Perot Michael Dell