Dell launches servers equipped with NVIDIA Blackwell chips, starting to ship in November
Dell Tech will begin shipping AI servers with NVIDIA Blackwell chips to some customers in November and plans to fully launch them in early 2025. Despite production delays due to engineering issues, the chip is now back on track. Dell focuses on selling high-performance servers, with its stock price rising by 68% this year and being included in the S&P 500 index. Despite concerns from analysts about profitability and competitive position, Dell emphasizes its relationships with customers and service advantages
According to the financial news app Zhitong Finance, Dell Technologies (DELL.US), one of the world's largest server vendors, will soon start shipping devices equipped with NVIDIA's (NVDA.US) Blackwell artificial intelligence accelerator, indicating that the chip's production has resumed as planned.
Arthur Lewis, President of Dell's Infrastructure Division, stated in an interview that next month, they will ship AI-oriented servers with Blackwell chips to some customers, with a full launch expected by early 2025.
NVIDIA's latest generation of advanced semiconductors for artificial intelligence has been closely watched by the industry and investors. Earlier this year, the plan was delayed due to engineering issues. In August, NVIDIA's Chief Financial Officer Colette Kress stated that the company has made changes to increase the production of Blackwell chips, with production speed expected to accelerate starting from November.
Dell is focusing on expanding its business of selling high-performance servers for AI work. On Tuesday, the company launched a series of new servers and other infrastructure products.
Investors are excited about the growth engine of this company known for PCs. As of Tuesday's close, Dell's stock price has risen by 68% year-to-date and was included in the S&P 500 index last month. However, some analysts still have concerns about Dell's profitability with AI products and its competitive position against rivals like Super Micro Computer (SMCI.US).
Lewis mentioned that Dell's uniqueness lies in its existing relationships with customers and extensive services and products. He added that this is why the company was able to obtain NVIDIA chips early.
Lewis stated that NVIDIA CEO Jensen Huang wants his company's chips to be "deployed as soon as possible." "You win the customer, you win the quota," he said