Dell Sees 9% Revenue Boost as AI-Optimized Server Sales Surge. AI Server Backlog Hits $3.8 Billion Amid Revenue Growth

Benzinga

Dell reported a 9% increase in revenue in its fiscal second quarter. The results were driven by a surge in AI-optimized server sales, which rose more than half a billion dollars from the previous period. The company's backlog for AI server orders stands at $3.8 billion, with significant future opportunities, especially among enterprises and governments. Concerns remain about the profitability of these AI servers due to the high cost of components like Nvidia chips. Dell's PC business saw a decline, with revenue falling. The company is also considering selling its cybersecurity unit, SecureWorks.

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00:00It's Benzinga, and here's what's on the block.

00:03Dell reported a 9% increase in revenue in its fiscal second quarter.

00:07The results were driven by a surge in AI-optimized server sales, which rose more than half a

00:11billion dollars from the previous period.

00:14The company's backlog for AI server order stands at $3.8 billion, with significant future

00:19opportunities, especially among enterprises and governments.

00:23Concerns remain about the profitability of these AI servers due to the high cost of components

00:27like NVIDIA chips.

00:29Dell's PC business saw a decline, with revenue falling.

00:32The company is also considering selling its cybersecurity unit, SecureWorks.

00:36For all things money, visit Benzinga.com.

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