Why the future of AI is on-premises – business advice from Dell Tech World 2026


Dell World

Jim Rapoza/ZDNET

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ZDNET’s key takeaways

  • Dell Tech World 2026 focused on how businesses can execute on AI.
  • Requirements for sovereign AI become increasingly important as agents are adopted.
  • One key pressure is the increased costs of using cloud-based LLMs.

Nearly every technology conference today has a focus on artificial intelligence, and this week’s Dell Technologies World was no exception. But what stood out was the focus on how businesses can actually execute on AI, especially by building more AI capabilities into their infrastructure.

Also: Why business architects are poised to lead the corporate AI revolution

Top trends at Dell Tech World 2026 that are pushing businesses to increase their on-premises AI capabilities include increasing demand for data and AI sovereignty, the need for tighter governance, especially for agents, and more direct control over these critical systems.

‘Intelligence is becoming infrastructure’

In the opening keynote, Dell chairman and CEO Michael Dell said the company is working to move AI closer to the data and infrastructure. “Abundant intelligence is here,” Michael Dell told attendees. “Intelligence is becoming infrastructure.”

Enterprises are realizing that piloting AI through a public cloud API is simple, but moving that pilot into large-scale production requires internal, dedicated server and compute resources. Without on-premises or hybrid architecture, enterprises face hurdles around data capacity and latency, especially as businesses move from traditional AI to agentic systems.

However, a top pressure is definitely the increased costs of using cloud-based LLMs. In his keynote, Dell discussed the concept of “tokenomics,” and Dell Technologies vice chairman and COO Jeff Clarke — during his Day 2 keynote — said that token usage for AI has risen by 320-fold and that, by 2030, global token consumption is predicted to grow 3,400%.

Also: Moving from AI pilots to business-wide value requires a superhighway – how to ramp up

One of the main ways that businesses can work to reduce these costs, and something that Dell’s portfolio is designed to serve, is by moving more AI workloads from the cloud to on-prem compute. During the conference, Dell speakers outlined multiple ways AI compute can be utilized internally, from local workstations to huge data center racks to edge devices, all of which can greatly reduce the cost of tokens for a business.

Along with costs, we are also seeing the move to more internal compute resources being driven by trends in AI and data sovereignty. Research from Aberdeen shows that companies across the globe and all business sectors are putting a high value on keeping data and AI training out of the cloud and protected in company data centers.

Growing requirements for sovereign AI 

At Dell Technologies World, several Dell speakers discussed the growing requirements for sovereign AI and how Dell can help customers meet these needs, including the introduction of the new Dell AI Data Platform.

Requirements for sovereign AI become even more important as businesses begin to adopt agents and agentic systems. With agents, not only do costs around tokens see significant growth (one case study at the show stated that a company exceeded an entire year’s token budget by March once agents entered the equation), but the need for strict security, governance, and control becomes vital to prevent unintended consequences.

Also: Cloud attacks are getting faster and deadlier – 4 ways to secure your business

“When an agent takes an action on your behalf, you need to know what it did, why it did it, and how to undo it if it got it wrong,” Jeff Clarke said in his keynote.

Announcements from Dell designed to help businesses address these concerns included Dell Deskside Agentic AI, which is a development offering that includes workstations, Nvidia NemoClaw software, and Dell services. They also announced support for Nvidia OpenShell, a sandboxed environment for building agents and enforcing corporate governance and privacy policies.

Conflicting advice: Move fast versus go slow

Many of these announcements, sessions, and discussions at Dell Technologies World highlighted one of the main balancing acts of today’s AI infrastructures. There were often seemingly conflicting statements, with talk about helping businesses “move fast” and “not be left behind” contrasting with practical sessions that highlighted going slow, ensuring security and governance, and starting small with AI and agents.

Also: 96% of IT pros use AI now: Their top 7 agentic applications and biggest implementation roadblocks

Also, many of the software offerings touted as solutions to AI and agent hurdles are still in beta or even alpha, and often state that they should not be used in production. This means that companies that want to stay secure and meet compliance requirements need to weigh whether these software tools are mature and secure enough to meet their requirements.

But for businesses looking for more measured and practical discussions about AI and agentic systems, Dell Technologies World 2026 offered many sessions, product offerings, and demonstrations of tools and solutions to help them take practical steps toward building an AI enterprise. 





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Recent Reviews


Modern displays are amazing when it comes to detail, brightness, color, and all the ingredients that make for an impressive picture—except motion clarity.

CRT screens are still the king of motion clarity, but plasma flat-panel screens hold a respectable second place, and in many ways I still miss my old 720p 51-inch plasma TV and the crisp motion I gave up by switching to a 4K LCD.

Plasma solved motion the “right” way

Plasma displays didn’t just show an image—they flashed it.

While they operate on different principles, CRTs and plasma TVs have a few things in common. First, the phosphors used by CRTs and plasma displays are the same. Second, because these phosphors fade quickly, they need to be continuously refreshed.

In a CRT, the electron beam scanning from the top to the bottom of the screen achieves this, and in a plasma, a high-speed electric pulse does the same. Because of this rapid pulse-and-fade, these screen technologies have crisp perceptual motion, since our brains tend to interpret moving images that don’t pulse as “smearing” across our retinas.

The pulsing nature of plasma technology isn’t the only reason for its better motion reproduction. These screens also have very low latency and very fast pixel response times. Combined, it’s not quite as good as CRT motion handling, but it’s significantly better than LCD and OLED technology, even today.

Modern TVs rely on sample-and-hold—and that’s the problem

Stand and deliver blurry images

Blur Busters UFO Test

Modern LCD and OLED televisions are “sample and hold” technologies. They can hold each frame of video perfectly for the entire duration of that frame without deviating in brightness and then instantly snap to the next frame without any dipping to black in-between.

On paper, this sounds like a good thing, but your eyes don’t stay still when tracking motion. As they follow a moving object, the image being held on screen effectively drags across your retina, creating the perception of blur. Even if the panel itself is perfectly sharp.

You might not even realize how blurry motion is on modern displays if all you’ve ever seen with the naked eye is an LCD or plasma. However, if you see a CRT or plasma in person, the difference is quite striking.

The sample and hold issue means that no matter how much you increase the refresh rate, that type of blur persists. It’s why my 85Hz CRT monitor is clearly less blurry in motion than my 240Hz LCD monitor. It’s especially apparent when you’re playing 2D games that scroll the entire screen, with LCDs or OLEDs smearing the image in a way that gives me a bit of a headache if I’m being honest.

Playing Diablo 2 on a CRT. Credit: Sydney Louw Butler/Shutterstock.com

It creates this weird situation where a modern TV can be incredibly sharp in a freeze frame but somehow look softer than a lower-resolution display that isn’t sample and hold as soon as you press play.

Motion interpolation is a workaround, not a solution

It’s an abomination, that’s what it is

One of the “fixes” that TV makers came up with to reduce unwanted motion blur is a technology known as frame interpolation, or more commonly “motion smoothing.” Here an algorithm creates fake frames that guess at what the middle step of motion would look like if it were captured. This creates a high frame-rate video output, which we see as smoother and more crisp.

While this doesn’t take away sample-and-hold blur, it does improve motion clarity. Unfortunately, it also destroys the intended frame rate that shows and movies were meant to be seen at. It’s also useless for video games, because it introduces an enormous amount of input lag. NVIDIA’s DLSS technology is also frame interpolation, but it works for games because of several mitigations NVIDIA put into the technology. These measures don’t exist on TVs.

While some people think motion smoothing isn’t all bad, TV makers are no longer activating it by default as much anymore, and my advice is to always turn it off because the trade-offs are just not worth it.

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Black frame insertion tries to recreate plasma—but comes with trade-offs

Who turned out the lights?

The other trick sample-and-hold screens have to mimic what CRTs and plasma TVs do naturally is called BFI, or Black Frame Insertion. As the name suggests, the display inserts a full black frame between every original frame. This provides an instant and dramatic increase in motion clarity. However, it also has a big impact on brightness. As much as half of the light is now gone, so the image is much dimmer. Pushing overall brightness to compensate makes things hotter and more energy-hungry.

Some BFI implementations cause visible flicker, for which I personally have no tolerance at all, but the biggest problem here is that BFI doesn’t have the smooth pulsing roll off of the phosphors used in CRTs and plasma.


The future might circle back—but we’re not there yet

That might be changing, however, because a new generation of LCDs can leverage the power of multi-zone backlight technology to strobe the backlight across the screen in a way that mimics a CRT scanline.

NVIDIA’s G-SYNC Pulsar has received rave reviews from the biggest motion blur haters, and I sincerely hope that a similar technology becomes standard in TVs going ahead, so we can go back to enjoying the crisp motion we used to have without all the compromises.



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