Dell cuts jobs again... which in Dell-speak is 'addressing cost structure to make sure we’re competitive' Dell has made a new round of layoffs. The Register understands staff in many global locations were told of their fate this week, and that hundreds were thanked for their service and told it's not you, it's this virus-riddled economy. Even product lines in which Dell says business is booming, such as hyperconverged …
The big cloud outfits aren't buying Dell kit. Or any other "enterprise" gear, for the most part.
This cutting is more likely just the big wheels wanting to preserve their fat bonuses and look like they're doing something in front of the Board of Directors and shareholders, while the economy slumps.
...because cloud providers don't need DELL computers. ICYMI, the AWSes and Azures of the world tend to buy servers and other computer equipment from relatively unbranded companies, and not from DELL. While cloud is not a challenge for computers, it's definitely a major challenge for DELL - and HPE, Lenovo, and other onprem computer gear suppliers.
cloud providers don't need DELL computers
Regular businesses with on-prem systems don't NEED Dell/HP/etc systems, either. They happen to frequently buy them because Del/HP/etc have tailored their products to that market over many years.
Those same computer makers could start releasing new lines of cheap, bare-bones, feature-reduced systems more in-line with what cloud providers want. They're not interested because there's less profit in that market. Kodak had the same problem when digital cameras became practical, and they also handled the change poorly.
If they think that they are taking care of their team members so that the team members can take care of customers, they are delusional. A few months ago I ordered a fairly basic server, but ordered 16GB of RAM instead of the standard 8GB. They charged for the 16GB, but shipped 8GB. They refused to send the additional 8GB and required that the server be sent back to keep their records straight. I complied and they shipped a new server, once again with 8GB. I once again requested they send the other 8GB, but required me to ship the server back. They sent a new server, once again with 8GB. On the next call with their customer support, they required me to send the server back and cancelled the order saying that they could only do two exchanges on on order. I spent the next two months trying to get a refund. The whole ordeal required an exchange of more than 40 emails and 30 phone calls. No, I won't be purchasing a Dell anything, so they can get rid of a few people who give customers the runaround.
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