Dell’s $60 billion acquisition of cloud computing company EMC Corp. was the largest tech merger in the world, The Wall Street Journal said in its report when the deal closed on Wednesday.
Dell will take charge of the 140,000 people employed by EMC and their Hopkinton, Mass. Offices, adding a suite of cloud services to what Dell hopes will be an end-to-end technology company. In particular, Dell is looking at EMC’s expertise in the Internet of Things, cybersecurity, cloud computing, and predictive analytics to add to its existing portfolio of PCs, servers, and the storage needed for cloud computing.
As the Wall Street Journal report says, PC shipments are falling while mobile devices rise. The server and storage hardware market is expected to fall 1.3 percent annually over the next four years, while the PC market is dropping even steeper, with a 7.3 percent drop expected in 2016 alone.
EMC offers Dell a chance to get a foothold in with the large companies that used EMC as a storage venter. EMC was ranked number one in storage sales by International Data Corp., while Dell is number three in international PC sales.
The merger has been in progress since Oct. 12, 2015 and included EMC’s many subsidiaries. One of them, the virtualization software vendor VMware, remains public, but others including RSA Security and Pivotal Software Inc. will be brought into the Dell Technologies fold. When it was completed, the company renamed Dell Technologies became the world’s largest privately held company, reporting $74 billion in revenue.
Filed Under: Cybersecurity, M2M (machine to machine)