'We'll all be one big happy family in Ireland' - Dell founder on his $67bn bid to buy EMC
Dell founder Michael Dell is set to visit the company’s Irish facilities in early November as his $67bn bid to buy storage giant EMC continues.
“EMC has a big operation in Ireland,” he told Independent.ie. “We’ll all be one big happy family there.”
Mr Dell was speaking ahead of a major speech on Dell’s acquisition of EMC to thousands of IT industry executives at Dell’s annual event in Austin, Texas.
He said that the EMC takeover was about staking out a future IT industry position.
“It gives us an incredible position for the IT of tomorrow,” he said. “The combination gives us an incredibly strong go-to-market situation and access to the world’s largest companies, including reaching into some emerging markets around the world. It would be a business with $80bn in revenue, serious innovation engines and a world class supply chain.”
Mr Dell said that he did not view the company’s bid for EMC, which would represent the largest ever tech merger, as a response to a threat from Amazon.
“No,” he said. “This is complicated. It doesn’t lend itself to soundbites. We see a number of things going on. You have all these companies out there trying to fund transformation by reducing cost in infrastructure and they need that to be very efficient. There’s also this move to virtualisation. It’s very important to be able to lead in that. Dell and EMC have a great combination in new technologies as well as existing ones.”
He said that companies are looking for simplicity and certainty when it comes to the storage and IT business.
“We find that customers don’t actually want more suppliers, they want fewer suppliers,” he said. “The CIOs are telling us that we’re making their jobs a lot easier. EMC planning has already gotten under way to make sure it’s done in a very thoughtful way.”
Mr Dell said that mobile phones, the internet of things and embedded devices were driving an explosion in storage requirements.
“Scale is important,” he said. “When you look at this industry, the companies that have succeeded in the volume data centre space have been attached to large PC client businesses and the volumes really matter. I also think that at the very moment that there is an explosion of devices with all of these embedded devices and internet of things devices.”