Dell Technologies Vice Chairman and COO Jeff Clarke said that the company is “optimistic” about AI adoption by cloud service providers and enterprises as it looks to the year ahead with a plan to sell $15 billion in AI servers alone in the coming fiscal year.
“These large-scale systems are accelerating and getting bigger. Models are quickly moving to reasoning models, which consume and require more computational capability, i.e., more computers,” Clarke told investors during the company’s recent fourth quarter 2025 earnings call. “These reasoning models will consume more computational capability. They’re moving to be multimodal, which even consumes more. I kind of like where this is going. We’re optimistic.”
Clarke said while “everybody” is pursuing cloud service providers and enterprise customers, Dell Technologies is winning those deals with its all-in-one approach that includes not just hardware, but set-up, services and financing. He said the lessons Dell learns as it stands up AI deployments with the “top 30 or so” cloud service providers helps Dell scale to the enterprise.
“We have a global service footprint, professional services can show up anywhere to solve any related problem or hands-on in these very large deployments with full-time teams,” he said. “Literally, they’re 24/7 trying to get them up and running. I think about the financing capabilities that we have in our company and the ability to help these CSPs, these fast-growing companies grow at the rates they want with our financing capabilities.”
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Dell is already off to a fast start to meet its ambitious AI server growth sales projection with a 54 percent leap in server sales in the most recent quarter compared to the year ago period.
Dell’s overall revenue for the fiscal year ended February 2 was $95.6 billion for growth of 8 percent versus last year with net income of $4.57 billion. For the fourth quarter, Dell sales reached $23.9 billion for growth of 7 percent year over year. Net income for the quarter was $1.53 billion, a year-over-year increase of 27 percent.
The Round Rock, Texas-based company is telling Wall Street that in the coming fiscal year its total revenue will return to record territory with expected sales of between $101 billion and $105 billion.
As to the $15 billion in projected AI server sales this year, Clarke stressed that Dell is winning by helping customers deploy the large-scale AI clusters faster than competitors.
“We help these large-scale clusters get deployed faster than anybody else,” he said. “I’ll remind you, I probably did last time as well, we were the first to bring to market a (Nvidia Blackwell) GB200 rack. That’s not by luck. It’s by a lot of hard work, detailed engineering, collaborating in this case with Nvidia and our customer to be able to take out every ounce of time and run at the speed of light, so to speak. So we’re going to continue to invest in that differentiation. We’re going to continue to make us stand out to be different.”
Below is a look at some of the insights Clarke shared related to the “optimistic” outlook for a year ahead including a look at server sales, storage sales and how Dell is mitigating the impact of tariffs.