Dell is reportedly in talks with EMC to strike up a merger deal as the company continues to try to shake off its old PC-only image, and instead be recognised as an end to end solutions provider.
The Wall Street Journal reported that sources familiar with the matter believe the deal comes at a time when EMC has been considering options around the federation structure it has built in partnership with a myriad of industry players, including VMWare, RSA, VCE, and Pivotal.
However, it is unclear whether Dell will be partially or completely taking over EMC.
Recently, EMC IT senior vice president Jon Peirce revealed that the company's internal IT infrastructure currently leverages solutions offered by the other vendors of the federation, such as VMware's vCloud Air as an off-premise extension of the company's on-premise private cloud.
"I would say the federation makes it much simpler to both have an on-prem and off-prem capability that is very tightly integrated and very seamless. If we were working with different providers for on-prem private cloud and off-prem it would be complicated and less seamless," he said. "As a consumer of the federation it brings us a level of integration that helps us dramatically."
Meanwhile, if the deal did go ahead for Dell, it would strengthen the company's roll out of its "transform, connect, inform, and protect" strategy, something which the company's Asia Pacific president Amit Midha has previously admitted still needs work.
"I think we clearly have to communicate our end to end message of security integration, cloud, future-ready infrastructure, software-defined infrastructure; all of these messages are not easily understood by companies so we have more work to do," Midha said.
"This is something we're clearly concerned by as well, but just like Dell as a company was built, we didn't build this company on a big marketing campaign, we went and talked to one customer at a time, and that's exactly what we're doing in security," he added.