Dell Places Two Colossal Bets On The Enterprise With EMC Acquisition

In some ways, this week’s massive EMC World conference represented the end of an era, as Dell’s acquisition of EMC Corporation is now a mere handful of months from closing. Nevertheless, for most of the crowd as well as the executives on stage, this conference represented a commencement of sorts – more of a beginning than an ending.

dellIn some ways, this largest tech merger in history makes perfect sense. Dell’s and EMC’s businesses are remarkably complementary, and this deal gives Dell a foothold in the enterprise it so desperately craves.

In other ways, however, such a gargantuan combination of mostly mature lines of business may appear to some people to be a colossal error in judgment.

True, the combined company – now christened Dell Technologies – will be able to achieve certain economies of scale. But from a more strategic perspective, much of Dell Technologies’ business sits squarely in traditional, on-premise IT – a segment of the market that is at best declining.

This strategic challenge is top of mind for executives at both companies.

Read the entire article at http://www.forbes.com/sites/jasonbloomberg/2016/05/06/dell-places-two-colossal-bets-on-the-enterprise-with-emc-acquisition/.

Intellyx advises companies on their digital transformation initiatives and helps vendors communicate their agility stories. As of the time of writing, none of the organizations mentioned in this article are Intellyx customers. EMC covered Jason Bloomberg’s expenses at EMC World, a standard industry practice. Image credit: Jason Bloomberg.

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