March 25 (Reuters) - Dell Technologies DELL.N headcount fell by 10% in fiscal 2025, and it reaffirmed its commitment to diversity and inclusion, the AI server maker said on Tuesday.

The company in its annual report said it had about 108,000 employees as of January 31, down from about 120,000 a year earlier, as it continued to take measures to reduce costs, including limiting external hiring and employee reorganizations.

The company also retained the language on diversity and inclusion. "We are committed to equal employment opportunity and continuing to implement inclusive policies that enable Dell Technologies to achieve these goals."

President Donald Trump has called diversity, equity and inclusion $(DEI)$ initiatives discriminatory and suggested the Department of Justice could investigate if such efforts violate the law.

Companies including Meta META.O and Alphabet GOOGL.O have dropped DEI initiatives.

Dell reported a decline of about 5% in its workforce in fiscal year 2024.

In February, the company forecast a decline in its adjusted gross margin rate for fiscal year 2026, hit by higher costs to build AI servers in a fiercely competitive market.

(Reporting by Jaspreet Singh in Bengaluru; Editing by Vijay Kishore)

((Jaspreet.Singh@thomsonreuters.com; on X @i_jass;))