Dell Unveils Open Telecom Transformation Program to Accelerate Cloud Adoption for CSPs

Dell rolls out cloud transformation services for telecom providers - SiliconANGLE

Dell rolls out cloud transformation services for telecom providers Dell Technologies Inc. today is announcing a cloud transformation program, services and new servers aimed specifically at communications service providers. Dell has been on a two-year campaign to win the hearts and minds of telecom firms, many of which use vertically integrated and aging equipment that is difficult to modernize and scale. The growing popularity of reference architecture called Open RAN, which provides a set of interoperable hardware, software and interfaces that can be built from off-the-shelf hardware, is pushing many CSPs to take their first hard look at embracing cloud-native architectures. "The reason we're confident that the tipping point is approaching is that we are having much more process-centric conversations," said Dennis Hoffman, senior vice president and general manager of Dell's telecom systems business. "Increasingly, these conversations are about what's practical and what works, not what's possible." Hoffman said Dell has experienced "high double-digit compounded annual growth" in the network services market. "The business has performed extremely well against the backdrop of a telecommunications network spending that hasn't always been up and to the right," he said, noting that Dell now sells directly to the 172 largest network operators outside of China. The company's new Open Telecom Transformation Program addresses the complexity and risk challenges many CSPs face as they attempt to move their networks to the cloud. It combines Dell's cloud transformation background with professional services tailored for each step of the process. Hoffman said managing change is a major issue for CSPs that are accustomed to holding on to equipment for 10 years or more. "The silicon roadmap is typically on more of a three-year cycle, suggesting that there could be as many as three silicon generation changes in a 10-year depreciation window," he said. "The price/power/performance of the network changes dramatically, so just figuring out how and when to accommodate silicon changes is a meaningful chunk of lifecycle planning, not to mention all of the software layers on top." Dell said it's aiming to simplify the transition by providing preconfigured and certified hardware packages along with modernization services. The Dell Open Telecom Ecosystem Lab provides access to accelerated software and workload validation and lifecycle management to ensure CSP workloads are ready to operate in a transformed environment. The program includes four steps. Dell works with CSPs to evaluate current infrastructure and operations and define a roadmap to an optimal architecture, operational construct and ecosystem partners. Dell experts and partners work to deploy the plan at scale with minimal disruption. Dell specialists support the resulting production environment and collaborate with CSPs on knowledge transfer. Finally, Dell Managed Services provides scalability, observability and operational efficiency across multiple clouds with telemetry aggregation and automated issue resolution. "We've taken some of our best practices from the enterprise and merged them with telecom expertise to build out essentially a pre-engineered system that's automated and lifecycle managed for telecom operators," said Andrew Vaz, vice president for product management in Dell's telecom systems business. "Think of this as an easy button to establish a horizontal cloud architecture." Dell is also expanding its capabilities to outfit CSPs with artificial intelligence in their networks. The Dell AI for Telecom program now includes infrastructure monitoring capability that uses generative AI to support real-time monitoring and management of telecom networks with detailed incident reports and recommended actions to mitigate issues. Program enhancements include a new PowerEdge XE7745 server with an Advanced Micro Devices Inc. Epyc processor, a Dell XE9680 with an AMD Instinct MI300X accelerator and AI Agent for Telecom Infrastructure Monitoring that uses Metrum AI Inc.'s workload evaluation software. "It's purpose-built around AI," Vaz said. "The goal was to get as much dense AI acceleration on this system as possible. So we've maximized the number of PCIe slots and [graphic processing unit] capabilities to twice what we were able to support previously." With Metrum AI, operators "can monitor traffic while the network's running from a multimodal perspective, look at different data sources, see signal degradation, misconfigurations and congestion traffic spikes, and either fix or make recommendations on the network," he said. The Dell AI for Telecom Certification Program provides validation on Dell infrastructure to simplify integration and enhance network performance. Launch partners include Amdocs Ltd., Kinetica DB Inc., Aira Technologies Inc. and Opanga Networks Inc.. "We have an expansive roadmap key pieces of key network functions all throughout the network that are in process of being certified on raw Dell hardware," Hoffman said. "You're going to start to see a a drumbeat of announcements about certifications." Enhancements to Dell Telecom Infrastructure Blocks for Red Hat Inc. software support AI-ready infrastructure, enabling operations such as network traffic analysis and predictive maintenance. New disaster recovery capabilities help ensure geo-redundancy and business continuity, with integrated Dell PowerSwitches simplifying network configurations. "We're using automation software for both Dell and Red Hat, and all tested on Dell infrastructure," Vaz said. "We automate the whole thing and have one-touch support that makes it a lot easier for telecom operators to instantiate these types of architectures."

Dell Launches Program to Streamline Telecom Cloud Transition By Investing.com

ROUND ROCK, Texas - Dell Technologies (NYSE: DELL), a prominent player in the Technology Hardware industry with a market capitalization of $81 billion, unveiled its Open Telecom (BCBA:TECO2m) Transformation Program today, aiming to simplify and expedite the cloud transformation process for communication service providers (CSPs). The initiative leverages Dell's extensive experience in digital transformation and partnerships within the telecom industry. According to InvestingPro data, Dell has demonstrated strong financial performance with a healthy EBITDA of $9 billion in the last twelve months. The program is designed to tackle the complexities and risks that CSPs face during their transition to cloud-native network architectures. It offers a pathway through tailored professional services and expanded partnerships, potentially enhancing efficiency and agility within the sector. Despite a recent 8.5% decline in stock price over the past week, Dell maintains robust fundamentals with a P/E ratio of 19.9x and revenue of $94 billion in the last twelve months. Want deeper insights? InvestingPro offers 12 additional investment tips for Dell, including detailed analysis of its growth trajectory and market position. Dell's program consists of four key services: 1. Advisory services help CSPs establish a cloud transformation roadmap. 2. Implementation services ensure the plan's deployment at scale with minimal disruption. 3. Support and adoption services include 24/7 AI-driven maintenance and Dell ProSupport Plus. 4. Managed services focus on maintaining operational efficiency and scalability. The program also includes enhancements to Dell Telecom Infrastructure Blocks for Red Hat, now supporting AI-ready infrastructure. These improvements are intended to facilitate advanced operations like network traffic analysis and predictive maintenance, with added disaster recovery capabilities for business continuity. In addition, Dell has expanded its Telecom AI capabilities through a collaboration with AMD (NASDAQ:AMD). This includes the development of AI solutions tailored for telecom use cases, such as the AI Agent for Telecom Infra Monitoring with Metrum AI, which leverages generative AI for real-time network monitoring and management. Dell's AI for Telecom Certification Program also debuts today, allowing ecosystem partners to validate their solutions on Dell's AI-ready infrastructure. This program aims to streamline integration, enhance network performance, and support operational growth, featuring initial launch partners like Amdocs (NASDAQ:DOX), Kinetica, AiRA, and Opanga. Dennis Hoffman, senior vice president and general manager at Dell Technologies, highlighted the urgency of network and operational transformation for CSPs as a strategic priority. He added that the Open Telecom Transformation Program would help overcome the barriers to modernization, driving business growth and innovation. The Open Telecom Transformation Program, Dell AI for Telecom Certification Program, and enhanced Dell Telecom Infrastructure Blocks for Red Hat are all globally available starting today. This initiative is based on a press release statement from Dell Technologies. In other recent news, Dell Technologies Inc. (NYSE:DELL) is expected to release its January quarter earnings report soon, with analysts predicting revenue of $24.6 billion and earnings per share (EPS) of $2.52. Evercore ISI has adjusted its price target for Dell to $145, maintaining an Outperform rating, while Morgan Stanley (NYSE:MS) has revised its price target to $128, keeping an Overweight rating. Both firms anticipate a cautious fiscal year 2026, with a focus on AI-related products. Meanwhile, Dell is reportedly in advanced talks to supply AI-optimized servers to Elon Musk's startup, xAI, in a deal valued at over $5 billion. These servers will be equipped with Nvidia Corp . (NASDAQ:NVDA) semiconductors and are scheduled for delivery this year. Additionally, Rosenblatt Securities highlighted Dell's expansion in using Navitas Semiconductor's power solutions for AI PCs, reflecting broader industry trends. In a separate development, Dell was involved in the recent acquisition of Secureworks by Sophos, where Secureworks' shareholders, including Dell, received a cash payout.