News: EMC buy-out debt mountain prompts sell-off – report.
Dell is planning to sell $10 billion in non-core assets before buying EMC.
The sales of non-core assets, which could include software and services divisions, will be used to reduce the $49.5 billion debt burden it will assume once the acquisition is complete.
Dell could sell Quest Software, SonicWall, AppAssure and Perot Systems, Reuters reported. These businesses operate in IT management, email encryption and data security, back-up solutions and IT provision respectively.
However, the company will not sell off servers or other hardware assets, according to the report.
Despite the sales, Dell has no intention of compromising its position as an end-to-end IT provider – claiming it will hold a unique postion following the HP split this week.
At the the recent Dell World conference in Austin Texas product releases targeted a range of sectors including data centres, big data analytics, security, the IoT and PCs.
In addition, during his Dell World press conference, CEO Michael Dell cited the "incredible scale" of the combined company as a strength and said: "When you look at this industry, the companies that have succeeded in the volume data centre space have been attached to large PC businesses and client businesses. The volumes really matter."