Dell raises fiscal outlook to $165B-$169B as AI servers surge
Dell is raising its yearly revenue and profit outlook thanks to a massive surge in demand for servers built for AI.
The company now expects to make $60 billion from AI servers for fiscal 2027, way up from its earlier $50 billion estimate.
Overall, Dell's annual revenue forecast jumped to $165 to $169 billion, compared to the previous $138 to $142 billion range.
Dell Q1 revenue jumps to $43.84B
Major players like Alphabet and Amazon are spending heavily, over $700 billion this year alone, on AI infrastructure, which has sent Dell's NVIDIA-powered server sales soaring.
These powerful systems run apps like ChatGPT that need tons of memory and processing muscle.
In just the first quarter, Dell's revenue shot up 88% to $43.84 billion (easily beating expectations), with earnings per share also blowing past predictions.