Spare parts production capacity will increase by 200%, and Guo Mingyi estimates that Dell's AI server shipments will double next year.

CTOnews.com November 7 news, Guo Mingxi after completing a new round of supply chain survey, said Dell has requested a lot of AI server parts (including chassis and motherboard SMT, etc.) manufacturers, greatly expand production capacity to 200%, and estimates Dell 2024 server shipments will increase by 15%.

DELL Guo Mingxi believes that enterprises will not choose AI-hosted cloud solutions for ease of management, data security and customization requirements integrated with the company's existing IT infrastructure, but build their own AI servers.

The most important reason why Dell stands out is to get ahead of its competitors by launching PowerEdge servers equipped with NVIDIA AI chips and partnering with Meta to help enterprise customers deploy Llama 2 AI models on-premises.

AI server deployment favors the needs of traditional servers, primarily because traditional servers need to be upgraded to run AI applications, while AI servers can improve the utilization of traditional servers.

Guo Mingxi said that in 2023, Dell AI servers shipped between 10,000 and 15,000 units due to chip supply restrictions, but shipments are expected to reach 25,000 - 30,000 units or even higher next year.

Stimulated by AI servers, Dell's traditional server shipments are expected to resume growth to 15% in 2024, compared with a year-on-year decline of about 10% in 2023.

CTOnews.com attaches the original report here, and interested users can read it in depth.