New servers can distribute workloads more effectively to reduce energy costs. Dell is trying to design its server hardware to take advantage of virtualization, where workloads can be divided over a server sprawl to reduce overall power intake by a data center.

"Virtualization requires an awful lot of memory, but doesn't require an awful lot of CPU horsepower," Esser said. Dell plans to load two-socket servers with memory attachments typically found in 4-socket servers, Esser said. Similarly, four-socket servers will have memory attachments typically found in eight-socket servers.

To optimize data-center power intake, the hardware also needs be updated every two to three years, Esser said. Improved hardware with virtualized environments can pay back for itself in a span over three years, Esser said. Outdated hardware may be unable to handle advances in virtualization and workload management.

"As long as you make your applications able to follow that improvement, the [hardware] refresh rate works in your favor," Esser said.

The company already ships products that are enabled for VMware, Microsoft's Hyper-V and XenServer hypervisors, a thin piece of software that unites multiple operating systems on a server and allocates resources accordingly.