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Dell Technologies is forecasting lower profit margins for its fiscal year 2026, citing increased costs associated with the rising demand for AI servers.

Recently, Alibaba DAMO Academy (Hangzhou) Technology Co., Ltd.'s model open-source community, ModelScope, announced a significant breakthrough: the release of the InternVL 2.5 model. This open-source multimodal large language model has achieved exceptional performance, becoming the first open-source model to exceed 70% accuracy on the Multimodal Understanding Benchmark (MMMU), rivaling commercial models like GPT-4o and Claude-3.5-Sonnet.

Mistral AI has launched Pixtral12B, the first open-source multimodal model with 12 billion parameters, capable of processing both images and text. At 23.64GB, it's lightweight and offers easy access to model weights, reducing energy consumption and deployment barriers. It outperforms several established multimodal models in benchmark tests, driving a wave of open-source innovation in AI.....

Dell Technologies and Red Hat have partnered to integrate Red Hat Enterprise Linux AI (RHEL AI) into PowerEdge servers, aiming to simplify the development, testing, and deployment of AI models for enterprises, particularly in hybrid cloud environments. This collaboration focuses on the resources required for AI implementation, such as powerful servers, computing capabilities, and GPUs, while providing a flexible platform. It is expected that in the third quarter, optimized AI hardware solutions combined with Dell PowerEdge servers and RH...

Dell Technologies Group's second-quarter fiscal report for 2025 demonstrates strong performance, with total revenue reaching $25.026 billion, a year-over-year increase of 9%. The Infrastructure Solutions Group performed impressively, generating $11.6 billion in revenue, a 38% increase, with server and networking revenue jumping 80% to $7.7 billion. However, the storage business reported revenue of $4 billion, down 5%. The Client Solutions Group's revenue was $12.4 billion, reflecting a 4% year-over-year decline. Demand in the AI sector continues to climb, with demand for AI-optimized servers at $3.2 billion, a 23% quarter-over-quarter increase.

Dell Technologies accelerates AI skills training in India by launching a Generative AI foundation course and professional certification aimed at helping professionals master AI and machine learning knowledge to drive enterprise transformation. The first 250 registrants for the technology forum will receive Dell certification. The course covers AI governance and security, and collaborates with multiple organizations to apply AI in sectors such as healthcare and transportation. An end-to-end AI solution has been launched in partnership with NVIDIA, projected to unlock an economic impact of $4.4 trillion.

Dell has recently initiated its second round of major layoffs, marking the second time in 15 months that the company has taken such action. The layoffs primarily focus on restructuring the sales team to enhance the sales of AI products and optimize data center sales strategies. It is reported that approximately 12,500 employees, mainly from the sales and marketing teams, are affected this week. Over the past 15 months, Dell has laid off more than 20,000 employees, including 13,000 in the last fiscal year, nearly half of which occurred in February of last year. The layoffs aim to streamline management and reallocate investment priorities.

Elon Musk's artificial intelligence startup xAI has announced a partnership with Dell, NVIDIA, and Supermicro to build what is claimed to be the world's largest supercomputer. This project will provide the startup with significant computing resources to support its training efforts and reduce dependence on cloud services from Oracle and X Company data centers.

Elon Musk's artificial intelligence startup xAI is building a supercomputer, and Dell Technologies and Super Micro will supply the server racks for it. Musk stated on the social media platform X that Dell will assemble half of the racks for the xAI supercomputer. When referring to the other partner, the billionaire mentioned 'SMC' in response to another post, referring to the server manufacturer Super Micro. Based in San Francisco, Super Micro collaborates with chip companies like NVIDIA.

Nvidia plans to launch the B100AI accelerator with a power consumption of up to 1000W, which represents a 42% increase compared to previous products. A Dell executive stated that the power consumption of GPUs will continue to rise, but direct liquid cooling may no longer be an essential solution. Nvidia's next-generation GPUs may include the B200 Superchip, integrated with the Grace CPU, with power consumption potentially reaching around 1300 watts.

["Dell predicts earnings for fiscal year 2025 will exceed expectations, primarily due to the growing demand for AI servers.", "AI servers equipped with Nvidia graphics processing units are experiencing a surge in orders.", "The personal computer market is recovering, and there is an optimistic long-term outlook due to AI."]

Dell's revenue for Q4 of Fiscal Year 2024 reached $22.3 billion, a 25% year-over-year increase, with total revenue for the year at $88.4 billion. Operating income stood at $5.2 billion, and cash dividends were raised by 20% to $1.78 per share. The Infrastructure Solutions Group reported Q4 revenue of $9.3 billion, with server and networking business generating $4.9 billion. The Client Solutions Group achieved Q4 revenue of $11.7 billion, with the commercial customer segment contributing $9.6 billion. Dell maintains an optimistic outlook for Fiscal Year 2025.

Microsoft CEO Nadella emphasized the collaboration with OpenAI at the Davos Forum, believing it aids competition in the artificial intelligence sector. Nadella acknowledged that regulators may have competitive concerns regarding the partnership, but he firmly believes collaboration is a necessary avenue for fostering competition. Microsoft's $13 billion investment in OpenAI has sparked antitrust investigations in the UK and EU, related to agreements between digital market participants and AI developers. Nadella stressed that collaboration is a way to compete with integrated players in the AI field and regarded the regulators' concerns as reasonable.