Dell’s meteoric rise in AI servers is staggering – from a modest $118 million to a projected $15 billion in just two years. Their $375,000 eight-GPU powerhouses are flying off shelves faster than they can make them, with a $4.1 billion backlog to prove it. Under Michael Dell’s leadership, the company is transforming from a traditional PC maker into an AI infrastructure giant. The numbers tell only part of this tech revolution’s story.
Dell’s AI server business is exploding.
The company that once made its name selling PCs is now crushing it in artificial intelligence infrastructure, projecting a staggering $15 billion in AI server sales for fiscal year 2025.
That’s up from a mere $118 million in fiscal 2023.
Talk about a growth spurt.
The numbers are almost comical.
Dell’s AI server sales have multiplied by 6.34 times from $1.81 billion in fiscal 2024.
And they’re still not keeping up with demand – there’s a backlog of $4.1 billion in unfulfilled orders.
Customers are practically throwing money at them for these machines.
Under the leadership of CEO Michael Dell, the company has positioned itself at the forefront of the AI infrastructure revolution.
These aren’t your grandfather’s servers, either.
We’re talking about beast-mode computers that cost around $375,000 each for an eight-way GPU configuration.
They’re built to handle reasoning models and multimodal AI applications that eat computational resources for breakfast.
And Dell’s not just selling hardware – they’re packaging it with setup, services, and financing.
Pretty slick move.
Like the Nasdaq Composite Index, Dell’s success is deeply intertwined with the tech sector’s growth.
The transformation is reshaping Dell’s entire business.
AI servers are set to make up 26.1 percent of their Infrastructure Solutions Group server sales in fiscal 2025, up from just 5.3 percent the previous year.
The division’s revenue jumped 22% to $11.35 billion in Q4 FY2025.
Their AI server business has grown bigger than what VMware used to be before the split.
The company’s collaboration with Nvidia has made them first to market with the advanced Blackwell GB200 rack systems.
The market shift is real.
While traditional server sales are expected to climb a modest 8.4 percent, AI servers are on a rocket ship.
Dell’s targeting everyone from cloud giants to enterprise customers, and they’re pushing into edge computing too.
The company’s overall financial outlook reflects this momentum, with projected sales between $101 billion and $105 billion for the full fiscal year.
Sure, there are some mixed signals in their quarterly forecasts, but let’s be real – when you’re selling AI servers faster than you can make them, that’s what Wall Street calls a good problem to have.
