Michael Ng's questions to Dell Technologies (DELL) leadership • Q2 2026
Question
Michael Ng of Goldman Sachs asked for more detail on the factors that impacted traditional server and storage performance in the quarter, specifically questioning the role of federal demand and any notable sequential margin changes.
Answer
Jeff Clarke, Vice Chairman and COO, confirmed that the weakness in North American traditional server demand seen in April continued through Q2, and that a downturn in federal spending also had an impact. For storage, he cited slower demand from large accounts in North America. While highlighting the strength of Dell's IP portfolio, he noted a headwind from HCI customers being thoughtful about their next infrastructure purchases. He did not comment on specific sequential margin changes for those products.