New Delhi :Dell Inc’s USD 67-billion acquistion of EMC Corp on September 7 has created world’s largest privately-controlled technology company. The new company christened Dell Technologies Inc. will comprise of Dell, Dell EMC, Pivotal, RSA, SecureWorks, Virtustream and VMware.
It will be headquartered at Round Rock, Texas. and employ about 1.4 lakh people globally. The strategic accquistion shall leverage the benifits of joint synergies and capabilities with the new entity delivering integrated solutions in areas like hybrid cloud and security. The newly formed entity shall have a sky rocketing valuation of USD 74-billion.
Dell and its partner investment firm Silver Lake raised over USD 40 billion in debt to finance this enourmous accquistion announced last October.
Excerpts from Dell Technologies Inc. Chairman and CEO Michael Dell’s quotes on this gigantic accquisiton are as follows –
“We are at the dawn of the next industrial revolution. Our world is becoming more intelligent and more connected by the minute, and ultimately will become intertwined with a vast Internet of Things, paving the way for our customers to do incredible things. This is why we created Dell Technologies,” Dell said.
He added that the company has the products, services, talent and global scale to be a catalyst for change and guide customers, large and small, on their digital journey. Dell said the company’s R&D efforts, with over 20,000 patents and applications pending, is fuelled by USD 4.5 billion in annual spends.It has 140,000 employees globally.
The announcement follows regulatory approval by China’s ministry of commerce (MOFCOM). The companies have already been given clearance from regulatory agencies in the US and other geographies. “We are also privately controlled.
We don’t have to cater to short-term thinking that exists in the market, we can think in decades,” Dell said.
Dell Technologies will operate under three business units – Client Solutions Group, infrasturcuture Technologies and VMWare.