� Dell cuts 11,000 jobs while scaling AI server business

Dell reduced its workforce by about 10% in fiscal 2026, cutting roughly 11,000 employees. The company reported around 97,000 staff as of January 31, down from 108,000 a year earlier.

Severance costs reached $569M in 2026, compared to $693M the previous year.

At the same time, Dell expects revenue from AI-optimized servers to double by fiscal 2027 and increased its dividend by 20%, adding $10B to its buyback program.

Companies are freezing legacy IT projects and redirecting budgets into AI ahead of proven results.

The shift is driven by competition, as firms move early to avoid falling behind rivals already scaling AI.

@venture