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Dell deepens AI push with new PCs, Nvidia-powered servers
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Dell deepens AI push with new PCs, Nvidia-powered servers
May 20, 2024 11:26 AM

May 20 (Reuters) - Dell Technologies ( DELL ) unveiled a

range of AI-enabled PCs powered by Qualcomm ( QCOM ) processors and said

a new server which supports Nvidia's ( NVDA ) latest chips will

be available from the second half of 2024.

Dell made the announcements at an event in Las Vegas on

Monday, aiming to maintain momentum in the lucrative market for

artificial intelligence servers and bracing for an expected

recovery in the PC market this year after a post-pandemic slump

in orders.

Its AI-capable PCs will come with the Qualcomm

Snapdragon X series chips that feature neural processing

units(NPUs) dedicated to processing complex AI tasks.

Two of the five new PCs can be pre-ordered starting Monday,

with the rest to be made available in the coming months.

The launch comes on the same day Microsoft ( MSFT ) kicked

off its annual Build event, which is expected to feature a new

version of the company's Surface Pro tablet and Surface Laptop,

powered by Qualcomm ( QCOM ) chips based on Arm architecture.

AI SERVER BOOM

Dell on Monday also launched the latest in its line of

servers compatible with Nvidia's ( NVDA ) Blackwell chips. The new server

also offers liquid cooling technology, as opposed to air

cooling, which tends to consume more power.

Arthur Lewis, president of the company's infrastructure

solutions group, told Reuters in an interview that Dell's

Nvidia ( NVDA )-based servers were the fastest ramping product in its

history.

Spending on AI servers is expected to surpass $33 billion in

2024, according to research firm International Data Corporation

(IDC).

With a significant amount of spending coming from relatively

smaller companies that are still in the early stages of adopting

new technologies, Lewis said Dell does not expect AI investments

to significantly hit companies' expenditure on traditional

servers.

This contrasts the wider market which has seen uncertain

demand for traditional servers as enterprises prioritize

spending on speedy AI servers.

Dell is going to report quarterly earnings on May 30, with

analysts expecting both AI PCs and AI servers to help demand for

the company's products.

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