Dell Apex can be 50 percent ‘less expensive’ vs. AWS, public clouds

aws, cloud, dell

Dell Technologies is taking the gloves off in its fight for customer mindshare and global market share against public cloud titans like Amazon Web Services with the recent launch of Apex, Dell’s new cloud operating and consumption as-a-service offerings that will eventually include all of Dell Technologies massive product portfolio.

Dell’s worldwide sales leader Bill Scannell said Dell and its channel partners will beat the public cloud giants with Apex by offering more buying options and flexibility for customers as well as upwards of “50 percent less expensive.”

“We started working with a large, global financial institution customer six months ago. I said, ‘I think we can do this for about 40 percent less than if you go to AWS.’ When the study was completed, it was 48 percent less,” said Scannell, Dell’s president of global sales and customer operations in an interview with CRN US.

“These are real dollars. I mean these are customers with multi-billion budgets and if we can have that type of significant impact, then money can go towards the customer’s market cap.”

“We have a significant one-two punch: we save them op-ex (operating expenditure) and they can have a higher valuation as a company because so much more money is going to their bottom line,” he said.

Dell’s longtime executive said customers of all shapes and sizes are now starting to understand that cloud is not a destination, but an operating model which Dell’s Apex is now providing.

From public cloud’s expensive data egress fees to customers margins or market capitalization taking a big hit when leveraging only public clouds, a hybrid cloud approach is the best approach, he said.

“So now customers are saying, ‘All the things I thought I would get by going to a public cloud, I can get by keeping those workloads on-premise or in a colocation. And I can do it for, by the way, 35-40-50-percent less expensive.’ That’s the real value proposition with Apex,” said Scannell.

“The more we can help deliver that cloud operating model in keeping those workloads on-premise, they’re quickly realizing it’s a much better answer.”

AWS did not respond for comment by press time.

According to a recent report by venture capital and research firm Andreesen Horowitz titled, ‘The Cost of Cloud, A Trillion Dollar Paradox,’ the company says it’s “becoming evident” that while public clouds deliver on its promise early in a customers journey, “the pressure it puts on margins can start to outweigh the benefits, as a company scales and growth slows.”

“Now, there is a growing awareness of the long-term cost implications of cloud,” said Andreesen Horowitz’s 2021 report.

“As the cost of cloud starts to contribute significantly to the total cost of revenue or cost of goods sold, some companies have taken the dramatic step of ‘repatriating’ the majority of workloads or in other cases adopting a hybrid approach. Those who have done this have reported significant cost savings.”

Scannell said many companies, especially software-as-a-service (SaaS) and software companies who started off in the cloud are now realising the “real cost” later on.

“It confirms what we’ve been saying for years, there is a time and a place for a public cloud – a hyperscaler – but there’s more of a time and place for running those workloads on-premise in a cloud operating environment. So we can give the cloud operating environment, the speed and the agility, and give the cloud-consumption models,” he said.

Furthermore, Apex gives businesses more flexibility and choice in how to buy and consume technology, said Dell’s President who’s first started at Dell EMC in 1986. This is great news for Dell Technologies channel partners who now have the opportunity to save customers money buy moving workloads back on-premise or creating a new hybrid cloud environment.

“If you go to a public cloud – the hyperscalers – there’s only one way to consume it: and it’s as-a-service. Versus with Dell Technologies, our answer is, ‘Yes,’” said Scannell.

“Do you want to buy it? Yes. Do you want to lease it? Yes. Do you want do consume it as a pure utility? Yes. We can do whatever the customers want. We also have Custom Apex offerings. So we’re trying to show an extra level of flexibility, above and beyond what you can get from the cloud.

“So you have the security of keeping it on-premise, you have the consumption models, and the Opex off your balance sheet benefits of Apex, and you have the cost saving associated with Apex, for example 35-40-50-percent savings versus going to the public cloud.”

The $94 billion infrastructure and PC giant officially made its first Apex offerings generally available in May. A

pex currently consists of Apex Data Storage Services, an on-premise as-a-service portfolio of scalable and elastic storage resources; Apex Cloud Services for as-a-service hybrid or private cloud infrastructure with integrated compute, storage, networking and virtualization resources to simplify cloud adoption; and Apex Custom where customers can create their own on-demand pay-per-use or usage-based IT environment leveraging Dell’s entire infrastructure product portfolio.

Scannell said there are certain workloads that make sense to run in the public cloud like AWS, but for mission critical applications, offers like Apex are superior.

“For companies like the banks that have regulatory requirements, if every bank put their workloads in an Amazon cloud and that cloud went down, just think of the impact of the global economy. These banks are smart. You look at some of these large banks who are now building four new data centres, I won’t mention their names, but they know they don’t want to be in a public cloud,” said Scannell.

“They know they can do it more cost effectivity on-premise in a cloud operating environment, with consumption models that make sense for their business by working with Dell Technologies and VMware.”

News Related

OTHER NEWS

Tech investor Prosus at the bottom in slightly lower AEX

Tech investor Prosus was at the bottom of a slightly lower AEX index on Tuesday. The Chinese government seems to have launched an attack on the game sector in the ... Read more »

Dutch airports claw back some business, Q2 passenger numbers near 4 million

Photo: DutchNews.nl The five Dutch national airports processed 3.9 million passengers in the second quarter of this year, compared with fewer than one million in the same period of 2020, ... Read more »

Factory outbreaks may cut Aug-Dec exports by B300 bn - shippers

Key exports could decrease by as much as 300 billion baht in the remaining months of the year if the spread of Covid-19 infections continues at factories, the country’s exporters' ... Read more »

How employers can temporarily shut down their businesses to weather the COVID-19 situation MARKET PLACE: HUMAN RESOURCE WATCH

With the latest wave of COVID-19 continuing to have a serious impact on Thailand, many businesses have been looking for ways to survive. Some have temporarily reduced employees' wages, while ... Read more »

Tencent shares dive after Chinese media brand online games ‘spiritual opium'

FILE PHOTO: Visitors are seen at the Tencent Games booth during the China Digital Entertainment Expo and Conference, also known as ChinaJoy, in Shanghai, China, July 30, 2021. (Reuters) Tencent ... Read more »

Auto giant Stellantis posts strong profit in inaugural first half

Stellantis chief executive Carlos Tavares hailed the new company’s first half earnings as “very strong”. PARIS – US-European auto giant Stellantis, formed by Peugeot and Fiat Chrysler, posted a sizeable ... Read more »

Why China is unlikely to cut interest rates despite economic headwinds

With China’s economy losing steam since the second quarter of this year, there is market speculation that the central bank would cut the policy rate, i.e. the loan prime rate, ... Read more »

Korea's Netmarble buys SpinX casino game company for $2.1 billion

Photo by: Netmarble/Facebook Netmarble Corp., South Korea’s largest mobile gaming company, revealed its plan to buy SpinX Games, a Hong Kong-based casino game firm. It was shared that the acquisition ... Read more »

What is the Cheapest Way to Move Long Distance?

Moving away from your home can be stressful, but it doesn’t have to be! By cutting costs and saving money, you can focus on making your new place feel like ... Read more »

Three insurers turn down millions in claims from flood damaged businesses

Three major insurers have turned down claims from businesses who lost millions of euros in last month’s major flooding in Limburg. The three companies – Lloyds, Chubb and VLC – ... Read more »

Rabobank comes with compensation for customers who paid too high interest

Rabobank plans to financially compensate customers who have paid too high an interest rate on their revolving credit facilities. In the coming months, the bank will find out which consumers ... Read more »

Qantas idles 2,500 more staff as Covid-19 cuts domestic flights

The affected domestic employees will receive government-backed support payments of A$750 (S$747) a week. (REUTERS) – Qantas Airways is temporarily idling about 2,500 employees without pay for at least two ... Read more »

Evergrande cut by Moody's, faces another asset freeze petition

Moody’s Investors Service lowered the credit grade on China’s most indebted developer by two notches to Caa1 with a negative outlook. HONG KONG (BLOOMBERG) – China Evergrande Group’s woes deepened ... Read more »

Weekly Money FM Podcasts: Who benefits from CPF shielding?

In one of Money FM 89.3’s featured podcasts this week, Christopher Tan, Founder & CEO, Providend, discusses CPF shielding, the risks, and the considerations involved. Weekly Money FM Podcasts (Aug ... Read more »

Apple beats Saudi Aramco to become the world's most profitable company

Photo by: Laurenz Heymann/Unsplash Apple recorded an increase in its total profit, and with this, it has become the most profitable company in the world. Based on Fortune Global 500 ... Read more »

DSM loses on red stock exchange | Financial

After ten minutes of trading, the AEX is 0.5% lower at 754.6 points, after tightening its closing record on Monday. The AMX falls 0.2% to 1056.1 points. Most other European ... Read more »

Rabobank compensates customers who paid too much variable interest

Rabobank is introducing a compensation scheme for people who have paid too much variable interest for their consumer credit. 150,000 customers will receive compensation, a spokesperson said. Products that fall ... Read more »

‘Asia gives Damrak lower opening' | Financial

Based on the opening indicators, the AEX index on Beursplein 5 is heading for a slightly lower start to the new trading day. Elsewhere in Europe, the markets also seem ... Read more »

How to Use the Rule of 72

The Rule of 72 is a handy tool used in finance to estimate the number of years it would take to double a sum of money through interest payments, given ... Read more »

How to Use a Trailing Stop Loss

A trailing stop loss is a type of stock order. Using this order will trigger a sale of your investment in the event its price drops below a certain level. ... Read more »

Rabobank compensates customers who paid too much interest | Economy

Rabobank will compensate customers who have paid too much interest on their revolving credit. In the coming months, the bank will investigate which customers are affected and how they should ... Read more »

TasmaNet expands private cloud offering to Sydney

Hobart-based telco TasmaNet has launched its eastern seaboard cloud node in Sydney to expand its TasmaNet Core private cloud platform. TasmaNet’s platform is an Infrastructure-as-a-Service (IaaS) offering that the company ... Read more »

Advice: Union vote at Amazon distribution center must be over | Financial

During the Alabama election, which received a lot of attention worldwide because Amazon is in the news because of the poor working conditions in its distribution centers and in the ... Read more »

Extreme CEO: Cloud, hybrid workplaces drive big growth for networking

The continued growth of cloud applications, wireless technology and the COVID-19-driven enterprise hybrid workplace is making flexible networking a must. As a result the networking industry as a whole is ... Read more »

Synnex Australia adds Google Workplace integration to cloud marketplace

Synnex Australia has launched Google Workspaces’ API integration in its cloud marketplace, following the vendor’s recent local launch. The distributor said the integration would allow Google Cloud resellers to authorise ... Read more »

Google to ditch Qualcomm and make its own smartphone processor for Pixel 6

Photo by: Dylan Carr/Unsplash Google said on Monday, Aug. 2, that it will be creating its own processor for smartphones, and this will be called the Google Tensor. This will ... Read more »

BOI and Osaka's IBPC host an online roundtable discussion on Medical Device Industry

The Thailand Board of Investment (BOI)’s Industrial Linkage Development Division, together with the BOI Osaka Office and Osaka’s International Business Promotion Center (IBPC), on 6 July 2021 jointly hosted an ... Read more »

DSM raises expectations after good first half year | Financial

DSM’s sales reached €4.5 billion, €100 million more than analysts had expected and an increase of 10% compared to the first six months of 2020. Adjusted operating profit (EBITDA) grew ... Read more »

A few 'sightings' aside, Chinese tech billionaire Jack Ma hasn't been seen in nine months

Imagine if one of Australia’s top business figures – say, retail tycoon Gerry Harvey, mega developer Harry Triguboff or mining billionaire Andrew “Twiggy” Forrest – was summoned to Canberra to ... Read more »

Sensex reclaims 53,000 despite mixed cues from Asia, Wall Street tumbles on Covid fears while FTSE 100 ends higher

File image: Sensex closed at 52,950, up 0.7 per cent on.Monday (AFP via Getty Images) Indian stock market benchmarks opened higher on Tuesday despite poor cues from Asian and the ... Read more »

Royal Thai Embassy in Vienna and BOI Frankfurt lead Thai delegation to visit Vorarlberg

H.E. Ms. Morakot Sriswasdi, Ambassador of Thailand to Austria, and Miss Sanlaya Aksharamat, Director of the Thailand Board of Investment (BOI)’s Frankfurt Office led a Thai delegation to the Austrian ... Read more »

Generac recalls generators after grisly reports of finger amputations

Photo by: CPSC Website Generac Power Systems, the maker of portable generators, announced a recall for some of its models after receiving reports of accidents involving fingers being amputated after ... Read more »

How to Understand What Makes a Country Rich or Poor

School project? Or do you just want to increase your general knowledge? Whatever the reason, this article will help you to understand what makes a country rich or poor! Steps ... Read more »

BOI holds the 10th meeting of the Sub-Committee on the Enhancement of Business Environment under JTEPA

Ms. Duangjai Asawachintachit, Secretary General of the Thailand Board of Investment (BOI), on 16 July 2021 gave the opening remarks to the 10th meeting of the Sub-Committee on the Enhancement ... Read more »

How to Turn Stress Into Success

Many of us get stressed all the time, which may affect our career and our academical achievements. So What is the best way to turn this to a huge success?! ... Read more »

RMIT deploys AWS cloud supercomputing facility

First for an Australian university. RMIT University has deployed an AWS dedicated cloud supercomputing facility to bolster its research and education capabilities. The facility will use AWS to provide elastic, ... Read more »

Standard Chartered second-quarter profit more than doubles, resumes interim dividend payout

Standard Chartered, one of Hong Kong’s three currency-issuing banks, said its profit more than doubled in the second quarter as it joined larger crosstown rival HSBC in restoring its interim ... Read more »

Will record-setting prices of car parking spaces on The Peak drive other owners to mark up their assets?

My daughter in Vancouver, Canada recently sent me a message about a parking space at Mount Nicholson, a luxury residential development on The Peak, when it made local headlines. The ... Read more »

China's gaming stocks plunge as state media again slams them as ‘spiritual opium,' including the wildly popular Honor of Kings

China’s gaming stocks slumped in early trading on Tuesday, as publishers and distributors were slammed by renewed denunciation by the state media on the sector. Tencent Holdings, the world’s largest ... Read more »

Ferrari boss has no fears over electric future

Ferrari Chairman John Elkann told analysts that the company saw the change in technology as an opportunity. MILAN (REUTERS) – Ferrari, the sports car maker synonymous with roaring petrol engines, ... Read more »