The company's client solutions group, which includes its consumer and enterprise personal computer business, posted revenue of $12.28 billion for the third quarter, a near 11% fall compared to a year earlier.
However, Dell has more impact than its competitors due to the weakness in the business PC market, which is a core market (for the company)," said Mikako Kitagawa, analyst at Gartner.
Dell's servers and networking business revenue was up 9% from the second quarter, fueled by customer interest in generative artificial intelligence, Chief Operating Officer Jeff Clarke said.
Revenue for the third quarter came in at $22.25 billion for Dell, missing estimates of $23 billion, according to LSEG data.
The PC market is expected to bank on demand from AI boost, according to research firm Canalys, as it projects adoption of AI-capable PCs to accelerate from 2025 onward, with such devices accounting for around 60% of all PCs shipped in 2027.
Persons:
Brendan McDermid, lockdowns, Dell, Mikako Kitagawa, Jeff Clarke, Harshita Mary Varghese, Maju Samuel
Organizations:
Dell, Dell Inc, REUTERS, UNITED STATES, Dell Technologies, Gartner, Nvidia, Revenue, Intel, AMD, Thomson
Locations:
New York