Aussie Dell boss says IT business transition on track

Service-oriented shift on track says Australian MD

Dell’s move in becoming a services-oriented company from a pure-play hardware provider is on track, according to the company’s Aussie managing director.

Dell ANZ managing director, Joe Kremer, refuted claims that the company is still being pigeonholed in the PC sector, announcing that its services, solutions and storage business garnered strong revenue at a briefing on its fourth quarter results today.

He said the Australian and New Zealand region had the fastest growth in services, solutions and storage in terms of pick-up, though he added that the revenue did not reflect this.

“Looking at the Australian-New Zealand business… services, storage, and solutions is growing faster than the rest of the business,” he said.

“This year, the number of services people in Australia exceeds the people who are not services people. I can tell you we’re over the line, based on the number of people."

Services is not quite in the mid-forties in terms of its share of revenue, he said, but if the company sticks to the same trajectory, "we’re pretty close to crossing over.”

However, he said that Dell’s PC business is strong and that he “wouldn’t hold back” on it to “make something else better”.

Kremer said Dell’s acquisitions over the past five years have boosted its efforts to shift to a services-oriented company.

These acquisitions include Cloud company Boomi, storage solutions company Compellent, and networking company Force10 Networks, as well as backup and replication company AppAssure last week.

Kremer also flagged plans to continue acquisitions in areas that will enable Dell to capture IP and scale.

According to Kremer, Dell will soon be launching its first customer solutions centre or "technical playground" in Australia for testing and development purposes.

Follow Diana Nguyen on Twitter: @diananguyen9

Follow Computerworld Australia on Twitter: @ComputerworldAU

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