Tarkan Maner, Wyse | VMworld 2011
Dell is attempting to transform its business as the computer giant moves beyond selling just consumer hardware and into more profitable businesses such as storage and software. Dell services account for just 13% of the company's revenue, and contributes to 29% of its market cap. Last month, Dell reported a $475 million profit on revenue of $13.7 billion during its third quarter, against an $893 million profit and revenue of $15.3 billion during the third quarter fiscal 2011. The company wants more growth from the sale of advanced systems, software and services to large and mid-sized businesses. That operation accounts for more than half of its profits so far this year, but accounts only for about a third of Dell's total revenue. Recently, the company pursued a policy of frantic acquisitions, buying eight companies over the last 12 months to boost revenue of its Services business. These acquisitions include the security firm SonicWall and Wyse Technology, which sells thin clients and virtualization software and Kace, SecureWorks, AppAssure, Scalent, Make Technologies, Clerity and Boomi under Quest. We heard more about Wyse's integration into Dell's broadening portfolio from its former CEO Tarkan Maner, who now serves as VP and GM of client computing at Dell, when Maner stopped by #theCube at Dell World 2012. With all these acquisitions, Dell is investing in its services segment, with a focus on cloud computing and enterprise software as the company tries to leverage its large, installed base of PCs, servers, and data storage systems.