In an effort to expand its share of the server market, Dell has announced today that it will be launching a new line of servers targeting companies that do not require the server volume of a hyperscale data center.
Instead, Dell will be catering to companies involved in web technology, telecommunications, hosting, utilities such as oil and gas, and research institutions. Dell hopes to meet the unique needs of companies in these fields with its Datacenter Scalable Solutions (DDS) units.
The number of businesses that are just the below the hyperscale size is rapidly growing and this presents an opportunity for Dell to employ its global sales force and supply chain to meet their needs. This segment represents a $6 billion dollar addressable market and is growing three times faster than the traditional X86 server market.
Dell's expertise in this field will allow the company to quickly respond to a variety of situations and it has the back end to deliver custom built servers. This is appealing because off the shelf servers are rarely able to meet the complex and individual needs of these businesses.
The Datacenter Scalable Solutions line will complement the Data Center Solutions (DCS) division. Dell launched the DCS line in 2007 to better meet the needs of their high volume customers. Together these two lines will allow the company to expand further into the data center space.
Dell is planning to ship the first servers from the DSS line later this fall. Their release could coincide with the annual Dell World conference in October.