It was TCS last month, Microsoft just two days ago, and now Dell. Layoff season strikes Dell, with reports by CNR stating that Dell’s New Logo acquisition team might be wiped out entirely. 2025 hasn’t been a good year for corporate employees worldwide, and the upcoming days don’t look promising either. Many others are still holding their seats tight at Dell because the company reportedly fired several who thought they were safe yesterday. The report also indicates that Dell will lay off more in the upcoming days, meaning broken trust and shaken will for its employees. Did AI cause trouble again?
How Many Were Laid Off By Dell?
Dell hasn’t confirmed the exact number at the moment. However, based on the reports and findings by CNR, about 150 employees were onboard with the ‘New Logo’ team. If what was suggested (the New Logo team being wiped out) was true, then you can estimate that part of the number.
These employees were put on a task to acquire the commercial and enterprise clients who hadn’t done business with the company for three years. Now, Dell no longer sees the value in maintaining the team. Dell’s sales organization is said to have taken a major hit, too. A few were sent to another team to fit into new roles, and the other were let go.
It is also suspected that Dell was in collaboration with Bain & Company, the global management consulting firm, when the layoffs occurred. It is said that Bain & Company pointed fingers at middle management, frontline staff, and others. As a result, Dell also terminated their employment.
What AI Has to Do With Dell Laying Off Employees?
Dell is now working with AI servers. These are high-performance computers specifically designed to run artificial intelligence. The company garnered $12.1 billion in orders (AI servers) and also shipped $1.8 billion of them last quarter. However, it’s not entirely AI, but AI is driving the layoffs.
Notably, the company moved from selling to everyone to selling to high-value customers only. Dell had to narrow down the team. Now, if you rethink it, it makes so much sense, why Dell particularly targeted the New Logo and the sales workforce.
Final Thoughts
We don’t know the full impact of the layoffs, the numbers, or the reasons behind them yet. Dell is expected to comment and release its statement about the speculation. We’ll be back as soon as the numbers hit the headlines for you.
Leave a Reply