Dell Technologies plans workforce reduction amid stagnant PC demand and lower AI server profitability.

Dell Technologies plans to further reduce its workforce to manage costs amid stagnant demand for PCs and lower-than-expected profitability from AI-optimized servers. The company announced limitations on external hiring and job reorganizations, expecting a continued decline in headcount through February 2025. Despite a 39% stock increase this year, Dell's revenue fell 4% in the second quarter, with a 22% drop in consumer PC sales.

September 11, 2024
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