Dell Technologies Inc. Citi’s 2026 Global TMT Conference

Yeah, sure. Good morning, everybody. You are right. Look, what we see is this accelerating appetite for infrastructure. I think we have seen these building blocks emerge over the last 9, 6, 3 months, and it builds on each other. Obviously the tailwind of, from an AI server GPU perspective, we booked $6.1 billion of orders in Q2. We had booked $6.1 billion of orders the previous 3 quarters, so $13.2 billion over 12 months. You see this accelerating appetite. It is also pipelines being multiples of that backlog. So while the bookings keep coming in, the backlog continues to get bigger, and it is across all the segmentation you can think of, neoclouds, sovereigns, enterprises. Enterprise is growing the fastest from a rate perspective. Obviously, the dollars are still pretty big on the neocloud side.

You then put another layer on top, which is from an inferencing workload perspective, so your traditional data center. That had a modernization refresh cycle happening anyway. You now put inferencing and AI workloads on top of that. An emerging theme we have seen in the last three months around security and resiliency. All these components are driving. If you look at our Q2 results, we had 122% growth in traditional server. Demand was faster than the P&L. It is broad, so if I look at that by geography, every geography growing triple digit. If I look at it by customer segment, if I look at it by customer vertical, all these boats are rising. It is not one corner or one niche piece that is kind of floating it.

You build that, and now you introduce in our Q2 results the need, as you use more tokens, do more inferencing, need more compute power for the data, you now need somewhere to store it. So our storage growth of 26%, and we have guided to double-digit growth for the full year. We are watching all these signals, and we are watching the customer count still be fairly early in the adoption curve, and look at the pipelines, and now all of a sudden, we see that confidence that allowed us to guide what we have guided, and allow us, I think, to think about beyond into next year, too.

Yeah. We will go piece by piece. If I look at the back half of this year, in one word, I would call our guide a realistic guide. I think I would have positioned our second half guide 90 days ago to be a prudent guide. I think we see way more identification of parts, of customer needs, of data center readiness. All of that picture is guiding to the 192. Demand is still faster than supply, though, for traditional server and AI server. So those two buckets continue to have demand that was really robust. As we look into next year, we see the supply differential only getting worse, not getting better. We see, yes, there is a small bit of supply growth, but it is pretty minimal on the basis of the demand signals that we are seeing.

It is actually tighter next year than it is this year in relation to that, as we look out, then we will see as we go beyond from that perspective.

Obviously, dominated DRAM and NAND is by far the big brother in that equation. Given the growth in CPUs, obviously that now comes into the equation also. But look, ultimately, any part associated with an AI box is short to some degree. So, opticals, transceivers, T-glass, any component that is in there is constrained to some degree, and that is Our job then is to try and figure out how we can put all these real golden parts, if you like, together into fully configured units to maximize the P&L, and that is part of the operational execution that we have talked about in our guide and to differentiate versus the competition.

Yeah, I think the conversation in the market is around supply access.