Dell revealed that we’ve fallen behind schedule on Windows 10 to Windows 11 upgrades. Cue the surprised gasps, folks.
In its most recent Q3 earnings call, Dell revealed that the Windows 11 transition is still underway, and it’s actually a lot slower than the shift to Windows 10 was back in the day.
Dell’s COO Jeffrey Clarke says during the earnings call: “We have not completed the Windows 11 transition.”
I wish I could call that shocking, but it’s really not. It took until July 2025 for Windows 11 to overtake Windows 10 as the most popular Microsoft operating system.
That was nearly four years since its initial release, and was likely spurred by the fact that Windows 10 was reaching the end of support. We saw an uptick of Windows 11 users in a recent Steam Hardware Survey, showing just how many users were holding off until the last minute.
Dell compared the rate at which people are upgrading now to the time when people were making the switch to Windows 10.
Clarke says: “In fact, if you were to look at it relative to the previous OS in the service, we are 10-12 points behind at that point with Windows 11 than we were the previous generation. We still have ample opportunity to convert.”
In all fairness, the OS that came before Windows 10 was Windows 8, so I can easily see why users would be eager to get away from that as soon as possible. Windows 11 brings some improvements over Windows 10, but the aging OS still remains a favourite among many.
There’s also the matter of hardware-related requirements. Many people still don’t have a PC that can run Windows 11, and that can mean costly PC upgrades.
Clarke noted that the current installed base is at around 1.5 billion units. Out of that, around 500 million are capable of running Windows 11 but haven’t upgraded, and another 500 million need a new PC to do so. “Those are all rich opportunities to upgrade towards Windows 11 and modern technology.”
The Dell COO then added that there’s a lot of potential for the PC market thanks to things like AI PCs and the use of an NPU. He predicted that the PC market will continue to flourish, although Dell’s own outlook is “roughly flat year-over-year.” Dell previously reported growth in the PC market in the mid to high digits.
Much like most tech giants right now, Dell’s betting on AI hardware. In the server and networking segment, Dell reached $10.1 billion in revenue, which is a 37% year-over-year increase.
Microsoft has no option but to keep trying to make Windows 11 happen, and it is happening—slowly. But rising prices on components like RAM and potentially graphics cards could slow down this already sluggish process.
