Dell says 80% of AI tokens come from open models

Kyle Dufresne, senior vice president of sales at Dell, spoke for Dell in New York. Dufresne says that 80% of the tokens in the world come from open models. 3 months before, 80% came from frontier models, which are the top models. Dufresne gives cost as the cause. Dell gave no data for this number.

How it works

Inference is the use of an AI model to give results. Dufresne says that it increases more quickly than training. Dell sees it operate in the cloud, in the data center and on PCs. Companies set the cost of AI work by:

• where the work operates
• which models they use
• where their data is

The numbers

Dell says that more than 6,500 enterprises use the Dell AI Factory with updates from Nvidia. Dufresne estimates 20% more memory for the market next year, against about 200% more demand. Many customers find that the cost of capital is lower than the increase in the cost of parts. They buy before the increase.

What is not known

Dell gave no test results or data for the 80% number. The numbers for memory are an estimate from one Dell executive. The source has no other view.

Insight: Dell sells control and an order before prices increase

John Roese, chief technology officer of Dell, says that the edge of a company is its knowledge. The sales chief of Dell says that cost moves work to systems that companies control. The same chief tells customers to buy before parts cost more. This reads as Dell that gives control: keep the knowledge, keep the systems, and buy before the cost goes up. Leaders must find which Dell statements also help Dell sell.