Dell is in Talks to Buy EMC According to Media Reports

Michael Dell, courtesy photo

Michael Dell, courtesy photo

Several media outlets including the Wall Street Journal, CNBC and the New York Times are quoting inside sources saying Dell is in talks to buy EMC, a data storage and software development company.

In 2013, Dell went private in a $25 billion buyout deal which left its founder Michael Dell with a 75 percent ownership stake. Silver Lake Partners controls the rest.

The acquisition price of EMC would be more than $40 billion, according to a story in the Wall Street Journal.

“A combined Dell-EMC would encompass computing, networking and storage—both hardware and software—giving it the breadth to compete more effectively with larger companies such as International Business Machines Corp., Hewlett-Packard Co., Cisco Systems Inc. and Oracle Corp,” according to the Wall Street Journal.

If Dell and EMC merge it would create one of the largest technology companies in the world. The acquisition makes sense with Dell’s moves in the past few years to become more of a software and services company in addition to its businesses in PCs and servers. It has seen a lot of growth in its data center, cloud and cybersecurity businesses, according to a presentation Michael Dell made at Dell World last year.

Speak Your Mind

*