Dell Taps Nvidia Blackwell Ultra For Latest AI Servers

Dell introduces servers running Nvidia’s Blackwell Ultra AI GPUs as high costs, intense competition pressure profit margins

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Dell chief executive Michael Dell at Dell Technologies World in May 2025. Image credit: Dell
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Dell has introduced a new range of servers running Nvidia’s Blackwell Ultra artificial intelligence accelerators in its latest move to tap into demand for AI processing power that has skyrocketed over the past two years.

The servers come in air-cooled and liquid-cooled models and support up to 192 of the Nvidia chips, but can be modified to support up to 256 of the accelerator units.

Dell said the servers could train AI models up to four times faster than previous editions.

A data centre. Datacentre, AI, artificial intelligence, server

AI laptop

In addition to Nvidia’s latest Blackwell GPUs, Dell said its servers will also support the upcoming Vera Rubin chips.

Alongside the servers Dell launched a Pro Max Plus laptop aimed at AI developers that features a neural processing unit allowing AI workloads to run directly on the device without having to rely on cloud-based computing power.

Dell in February said it expected a decline in its adjusted gross profit margin rate for fiscal 2026, in part due to the high cost of producing AI servers and intense competition from rivals including Super Micro Computer (SMC).

Arthur Lewis, the president of Dell’s infrastructure group, told Reuters pricing for the new servers would be “competitive” and said Dell planned to focus on increasing sales of networking and storage products to ensure the “right level of profitability”.

Last August Dell laid off thousands of staff as it reorganised its sales staff to include a group focusing on AI products and services.

AI competition

“We’re streamlining layers of management and reprioritising where we invest,” said sales executives Bill Scannell and John Byrne in a memo to employees at the time.

Dell also said at the time it would change how data centre sales were approached.

Dell and SMC are also producing servers based on AMD’s Instinct MI325X AI chip, which was launched at an event in San Francisco last October as a competitor to Nvidia’s Blackwell.

While AMD is Nvidia’s closest competitor in the AI accelerators, Nvidia controls roughly 82 percent of the market, compared to 17 percent for AMD, according to March figures from Jon Peddie Research.