Updated from Oct. 8 to reflect announcement that EMC and Dell have agreed to merge.
NEW YORK (TheStreet) -- The possible marriage between data-storage giant EMC (EMC) and privately-held Dell is seen something of a head scratcher, but which could have vast implications for many of the kingpins in the enterprise computing industry.
"It would be a shot across the bow at the other mature tech companies," said FBR analyst Dan Ives. "The company would be doing about $75 billion in [annual] revenue, and be a behemoth in the data center and the cloud that would be hard for others to get around."
EMC and Dell are said to be in talks to join up in what could a be a more than $50 billion merger, according to a report in The Wall Street Journal. At that price, it would become the biggest tech acquisition of all time.
"An EMC and Dell merger would be negative for Cisco (CSCO) , because it would create a new, huge force in the data center," Ives said. "It would negative for NetApp (NTAP) , and it could force the hand of Oracle (ORCL) , and others, to make an acquisition of their own."
(UPDATE: On Monday, Dell and EMC announced the two companies agreed to merge in a transaction worth $67 billion, making it the largest technology merger of all time.)
Such a deal, which would combine EMC's storage and cloud computing strengths with Dell's presence in PCs and computing would fill holes at both companies, while also providing the tech sector with one of its biggest shakeups in years.
Both companies could not be immediately reached for comment for this story.
Those others being just about anyone with a footprint in the enterprise computing sector.
HP (HPQ) , which is in the process of splitting itself in two, would also feel some impact of the EMC-Dell powerhouse.
"A combined Dell-EMC would be a serious threat to HP," said Glenn O'Donnell, of research firm Forrester Research. "Dell is fairly weak on storage and EMC will help give it a full portfolio that it needs to compete with HP, Cisco, IBM (IBM) , and the growing threat from Huawei."
Leading the impetus for what would be such an industry-shaking event is the uncertainty surrounding EMC. Long-time EMC Chief Executive Joe Tucci has been under fire from activist shareholder Elliott Management, which owns 2.2% of EMC's stock. Elliott has been on Tucci to spin off the 80% stake that EMC owns in VMware (VMW) , and possibly breakup EMC entirely.
"EMC is backed up against the wall," Ives said. "If they don't make a major strategic move in the next few weeks, they may face a public proxy battle. A Dell merger, while a nightmare to many investors, would potentially keep EMC together."
For Dell, joining up with EMC would be a step toward reestablishing the company as a major force in the corporate computing market. Dell went private in 2013 in a $25 billion buyout led by CEO Michael Dell.
"Dell, having gone private, is throwing off lots of cash, and they don't have to deal with these [activist] investor issues," said Enderle Group president Rob Enderle. "Having been through this, if anyone can do it, Michael Dell likely can as his team actually is the only one experienced taking something anywhere near this scale private."
The end result would be a company that would also, "be a firm at IBM and HP's scale and be impressively powerful," said Enderle.
"If they did go public again they could adopt a form similar to Facebook (FB) and Google (GOOGL) , where control is fiercely contained with the founders, and get the benefits of a public company without the downsides," Enderle said. "So there are several paths to something really interesting and far more powerful than either company separately."