Tag: HP

HP wants to expand its Ripple Effect

raspberryrippleicecr_91970_16x9HP is to increase the number of its education vertical resellers involved in its ‘Ripple Effect’ grant scheme.

The scheme – which was launched earlier in the summer – gives resellers £20,000 to grant to schools who buy HP tech though them.

So far, Misco, Softcat, XMA and Academia have signed up with each reseller announced a winning school of their own separate competitions among school customers who had recently purchased HP hardware through them.

The four winners will receive a HP Learning Studio from their respective reseller. The £20,000 suite of HP tech includes a HP Sprout G2 – an immersive computing 3D PC – and a Dremel Idea Builder 3D40 – an education-focused 3D Printer.

The grant scheme will target all HP core education resellers in the UK&I  over the next three to five-years.

HP is targeting new education focussed resellers to help address a chronic challenge facing the vertical: the endemic STEM worker shortfall, currently estimated at 40,000 in the UK.

Most schools only have about £115 pounds per student per year to spend on technology.  HP said that some of its resellers have been screaming out for action and that is why it is investing.

Channel needs to share more, you buggers

toddlers-fightingHP Inc CEO Dion Weisler says that the channel must “build stronger muscles” in the “sharing” economy.

Talking to the assembled throngs at the HP Re-invent World Partner Forum in Chicago, Weisler said trends such as rapid urbanisation, a changing workforce and the accelerating pace of new stuff mean people are changing how they buy products and services. No kidding.

“The rate of change is happening at a staggering pace – the likes of which we’ve never seen before. Change equals opportunity, and there is disruptive change all around us. So how do we capture the opportunity together?”

Rapid urbanisation was important to the channel “because people and businesses are in smaller spaces with greater efficiency needs and are shifting from owning things to an on-demand, service-driven economy”.

The sharing economy, as personified by the likes of Uber and Airbnb, which provide shared access to goods and services, claiming it “is changing absolutely everything”.

“The channel and all of us need to build stronger muscles here,” he said. “It’s no longer about buying and selling boxes; it’s about improving end-user outcomes and having experience-centric solutions that provide the customer with what they want exactly when, where and how they need it.”

Whatever that means.

Weisler said businesses are at an “inflection point”, and channel partners can help vendors optimise their operations and their investments.

He added that the move from transactional to contractual is behind HP’s Device-as-a-Service offering, which saw improvements it announced during the event. Weisler said its stuff lets customers reduce costs, shift CapEx to OpEx and have the flexibility to scale as they need it.

Is that clear?

HP is now the bright star and HPE is the red-headed stepchild

Youre-adoptedWhen HP and HPE split, the smart money was on HPE cleaning up, while HP followed the death of the PC into oblivion.

However the latest figures show something strange has happened, and the hardware maker of expensive printer ink is doing better than its enterprise orientated evil twin.

HP third-quarter numbers saw revenue growth hit double digits and profits came in ahead of guidance. Meanwhile HPE has failed to meet expectations for four consecutive quarters. HP’s shares are up by almost a third and the latter’s down by nearly a fifth over the last year.

There really is no reason for this different. PC shipments are in the midst of a five-year slump, according to Gartner. Yet HP’s Personal Systems arm had a third straight quarter of double-digit revenue growth, with desktops returning to growth in the quarter.

CEO Dion Weisler said it reflected the reinvention of its product line in this area: “In calendar quarter two, we outgrew the PC market unit growth by 9.5 points year over year, remaining the number one global PC market share leader with 22.8 percent share.”

HP overall growth accelerated to 10 per cent year on year, compared with seven percent in its Q2, with growth achieved in both its Personal Systems and Print segments for a second consecutive quarter.

The printer market is also in the doldrums, but HP saw growth thanks to a 10 per cent hike in supplies sales, its Print arm grew sales six per cent year on year, and Weisler said HP Inc now has a 38.5 percent total print unit market share.

Weisler vowed that “profitable growth will continue to be our priority”, pointing out that its Personal System Group’s profits, margins and revenues all grew sequentially in Q3 despite the industry-wide component cost headwinds.

“We’ve been proactive with our ongoing productivity efforts, repricing actions and focus on product mix”, he said.

Weisler described Q3 an “outstanding quarter, showcasing strong execution of our strategy he added that the vendor is investing in “future categories”.

It had “raised the bar” in the premium segment with its new Spectre x2, adding that it had expanded its Omen gaming portfolio with a new virtual-reality backpack.

HP made its big entrance into the 3D print market last summer, and Weisler said the vendor has now amassed 45 resellers for the technology globally, as well as more than 20 Reference and Experience Centres. Its 3D print customers include Jaguar Land Rover, Flex and others in the automotive, pharmaceutical, government and education industries.

All up, it looks like HP is doing well.

Westcoast and HP don’t need no education

tumblr_mcexe0a4MI1rcf9cjo1_500HP is building customised PCs for the education sector which will be delivered by Westcoast.

The move is part of a cunning plan for HP to take a more vertical market approach to life. Westcoast has already been offering customised PC design, imaging and building with a promise of pulling it all together in 48 hours.

IDC has said that HP its channel could pick up £35 million for itself and its channel partners from the education sector. It expects resellers to benefit from the chance to deliver something that is different from other rival offerings that educational customers might be considering.

HP UKI channel director Neil Sawyer said that the education sector had wide and varied computing needs. The CTO initiative empowers these institutions and their users to request specific computing requirements at a speed and scale which was previously impossible, rather than limiting them to a ‘one-size fits all’ plan

The distributor’s immediate task will be to build a network of resellers that can take advantage of the CTO. The scheme starts with PCs but there are plans to include laptops at some point in the future.

HP might consider extending the CTO approach to other vertical markets to try and help smaller customers get the same customisation that larger firms have been able to command for years.

 

Millennials will go for sustainable IT

millieniansHP managing director George Brasher thinks that moving to sustainable IT will be a money spinner for the channel.

Brasher recently spoke to the Sustainability Summit where he said that more socially aware millennials will begin to exert dominance over IT decision making and he thinks that partners to get on board with device-as-a-service and other sustainable IT initiatives.

HP has pledged over the years leading up to 2025 to reduce its supply chain-related greenhouse gas emissions by 10 per cent and involve at least 500,000 of its factory workers in worker skills development.

Brasher said this is because HP is responding not only to global “mega-trends”, such as the growth of the global middle class and rise of the sharing economy, but also increased pull from customers.

Those born between the early 1980s and late 1990s, the millennials, are typically more socially and environmentally conscious than those who came before them and – crucially – will soon make up the majority of IT decision makers, he pointed out.

Environmental requirements were starting to show up as part of tenders and customers are calling for it.

Millennials will be more than half of the IT decision makers in a decade, and they really value it. Employees are also calling for it. They really value it as part of being prideful of the place they work, and, again, this is especially true of millennials, Brasher said.

HP pours cash into UK channel

PF-loadsamoney_2177214kHP has budgeted £2.5 million to spruce up its UK and Irish channel this quarter.

This number is a 25 to 30 percent increase on what the PC and printer vendor normally invests in a given quarterly period.

HP’s UK&I channel director, Neil Sawyer said that the “strategic deal funding” cash was one of several channel initiatives HP is announcing this week.

The aim is to win new-logo business, which are customers that have not typically purchased HP-branded technology before.

One of the ways that HP is doing that is investing more money into its channel partners to go out and represent HP, over and above others.

HP is typically strong in the mid-market and it is going to be focusing a lot on that sector in the coming weeks and months.

HP for Education is entering its second year. This is open to HP’s strategic education resellers.  Last year HP gave a million quid to schools and colleges that purchased its technology.

The maker of expensive printer ink has launched a device-as-a-service (DaaS) initiative with distributors Westcoast and Ingram.

 

Xeretec’s Landscape move creates managed print power

history-of-print-16th-century-printing-companyXeretec’s move to buy Landscape Group has united Xerox and HP managed print services into a single force.

The latest consolidation comes just three months after Apogee snapped up Danwood with the ambition of gaining a strong position in the world of managed print services.

Xeretec is a Xerox specialist which wants to become an MPS powerhouse but it also wants to broaden its customer base beyond Xerox users.

Xeretec chief executive Steve Hawkins said that Xeretec will continue to consolidate and develop its longstanding commitment to the Xerox brand, building on its exceptional track record of success.

“This best-of-breed acquisition plays to the strengths of both respected brands and both resellers, while introducing new complementary HP devices and value-added services like Device as a Service to even more customers,” he said.

Landscape is an HP platinum partner for managed print, has been around for more than two decades.

Landscape’s CEO David Smith  said that becoming part of Xeretec would provide the business with more opportunities,

“It also brings new opportunities for our staff and partners. By combining Landscape’s 20 years plus of dedicated HP expertise, the scale and nationwide reach of Xeretec and HP’s impressive new entrance into the A3 MFP market place, customers now have an obvious route to investigate what a $50BN “new comer” can offer to enhance their IT infrastructure,” he said.

HP restructuring paid off

INDUSTRY HP 1The maker of expensive printer ink, HP saw its shares rise more than three percent after hours, amid better-than-expected quarterly results boosted by “pockets of growth” in the PC market.

The enterprise technology company posted adjusted earnings of 40 cents per share, excluding items, on revenues of $12.39 billion in the second fiscal quarter. Analysts polled by Thomson Reuters had expected earnings of 39 cents per share on revenues of $11.93 billion.

The company called it a “breakthrough quarter,” as both the personal systems and print businesses both grew for the first time since 2010. Revenue was up seven percent from a year ago, while adjusted earnings fell two percent from the year-ago period.

CEO Dion Weisler said the company was staying ahead of the competition by mapping out the hot spots for PC growth.

“The real trick in this business is to segment the market, segment again and when you’ve done that do it one more time. Figure out where the pockets of growth are going to be, where the heat map is going to take you. We’ve been looking at areas of premium and gaming – very attractive parts of the market as services,” he said.

All is not that great though as Dell has been seeing prices have been rising for certain components, and there has been increased pressure from newer competition like Huawei in China. But Weisler said the company is experienced with managing all that.

“I think about all competition a lot. I do not get distracted by it. I think we have been very clear on how we can add value to our customers and we are executing on that strategy and it’s working for us. …. There has been a lot of players in this market for a long time. We will compete against them as we do all of our competitors and that’s by playing our own game.”

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Logicalis UK has operating loss

LossLogicalis is reporting that its UK operation took a hit.

For the 12 months ending 29 February 2016, the UK arm of the Cisco, HP and IBM partner saw revenue drop from £169.8 million in the previous year to £153.9 million, while operating profit swung from £6 million to a loss of £2.1 million.

For the year ending 29 February 2016 the Logicalis Group saw revenue drop from $1.51 billion to $1.4 billion while operating profit fell from $68.1 million to $52 million.
Logicalis parent company Datatec reported its half-year figures on the London Stock Exchange in October, showing a revenue decline of 7.6 per cent year on year to $3.13 billion for the six months ending 31 August 2016.

The company is vendor dependant on the likes of IBM, Cisco and HP and if any one of the principal vendors to the company terminates, fails to renew or materially adversely changes its agreement or arrangements with the company, it could materially reduce the company’s revenue and operating profit and thereby seriously harm the company’s financial condition and results of operations, the company said.

The Logicalis UK claimed that the IT industry continues to be a “rapidly changing environment“and management recognises the need for the company to continually adapt and grow.

“The directors remain optimistic about the company’s future prospects, and are executing a transformation programme which will ensure that it is best suited to deliver its customers in the long term.”

 

Dell becomes the king of the servers

Michael DellNew numbers from the Gartner Group show that Dell has beaten HPE to the top spot for server shipments.

To be fair, though, the market shrank and worldwide server revenue is down 0.8 percent.  Shipments are up by two percent which means that there is some pretty nasty price cutting going on.

Everywhere except for Asia/Pacific and North America is in decline, though shipments in those areas grew by 5.6 percent and three percent respectively.

Jeffrey Hewitt, research vice president at Gartner said: “Dell garnered 19.3 per cent of the market and moved into the No. 1 position in worldwide server shipments due primarily to growth resulting from programmes it has in place in the Asia/Pacific region, most notably in China. However, HPE continued to lead the x86 market in revenue with 26 per cent of the market.”

He added: “x86 servers grew 2.1 percent in shipments and 5.8 percent in revenue in the second quarter of 2016.”

Dell’s strong performance did not see its revenues match the growth. HPE continues to hold more of the market share in revenue though that contracted by 6.4 percent year-on-year, while Dell saw almost 10 percent growth.

IBM’s server revenues dropped by 34.4 percent but then it did flog its business to Lenovo.

HPE’s shipments also contracted year-on-year, shrinking by more than 18 percent, while Dell, Lenovo, Huawei, Inspur and others pulled up their socks.

HPE brexits 220 staff

axeHPE is planning to remove 220 more jobs in the UK as part of its continuing culling of staff.

In a memo sent to staff, the rather long titled HPE UK and MEMA Vice President  of Infrastructure Technology Outsourcing (ITO) Maurice Mattholie says it is all part of its Workforce Management Programme which is the latest euphemism  for rampant stuff cuts.

However, the number of staff for the chop this quarter is not as bad as the last quarter when 500 HPE staff were asked to clean out their desks and exit the building with their belongings in a photocopy box.

Mattholie said HPE was talking to the UK Works Council and Trade Union representatives about the cuts.

“It is important to point out that we are fully committed to continuing to use redeployment and voluntary exits to manage WFM in the UK and Ireland…. It is expected that up to 220 positions within UK&I ITO will be impacted through WFM in Q4.

“Whilst I appreciate that this announcement may cause concern I am committed to providing regular updates to ensure that everyone is kept informed.

 

Channel partners positive about European changes

emcChannel partners across Europe appear to be an optimistic lot, unless you are talking about HP, according to figures gathered by beancounters at Context.

In the outfit’s ChannelWatch, channel partners generally approved of their distributers and even liked the move by Dell to buy EMC. If they were unhappy about anything it was the splitting off of HP.

Jeremy Davies, Context CEO and co-founder said that resellers were clear on their opinions, especially when it comes to how they rate their distributors where overall the verdict has been good.

The reaction towards distribution in the UK was particularly positive, with 40 per cent thinking their partners were ‘excellent’. That was higher than elsewhere in Europe, which in the case of France and Portugal had the lowest levels hitting the top mark.

The Context survey found more partners thinking of adding Dell to their lists in the next six months. However, HP is not doing so well with two thirds of respondents claiming that the firms split might make them less inclined to take on products in the future.

HP needs some more education


tumblr_mcexe0a4MI1rcf9cjo1_500The maker of
expensive printer ink HP has announced the launch of a new education scheme which offers big discounts to schools.

Schools that buy HP hardware using one of its authorised resellers can get credits of up to £250 per device. These credits can then be redeemed in the form of education software, training and further hardware upgrades.

Neil Sawyer, education & channel director at HP said that HP  HP, we recognise that schools often face difficult decisions on where to invest their ICT budgets. We want to give schools access to the latest technology, matched with the best education software, training and support services on the market, so that they are truly getting the most from their ICT investment.” said .

The programme is available through the following HP education channel partners; XMA, Academia, European Electronique, C-Learning, Insight, Misco, System Active, Lanway and Getech.

Ian Cunningham, client commercial director at XMA, commented: “With the ability to instantly unlock additional budget through this excellent initiative, it gives educational establishments a greater opportunity to apply more focus on transforming learning outcomes for students and teachers whilst at the same time delivering a more engaging learning experience.”

Schools will be able to claim for device training days for staff and students on HP Windows 10 tablets or Google Chromebooks. A range of discounted software will also be available. Frog Software and eLearning solution provider bksb are providing their software via the programme.

A video thunderbolt hits Asus partners mispronouncing its name

zeus-personality-traits_55ac40ddd60b6667Taiwanese vendor Asus has released a video because it has had enough of its partners mispronouncing its name.

Most of them default to the classic “eh-sus” when it should be the more mythological pronunciation ‘Ay-Zeus.’

In a post on Linked In linking to the video, AZEUS’s UK marketing director John Swatton said he had “lost count” of how many people have asked him how to pronounce its brand over the past year.

This is despite Taiwan-based ASUS now being EMEA’s third-largest PC manufacturer, behind only HP and Lenovo, but people never get the pronunciation right.

“So our designers created a video using a radio ad that we ran last year. Hopefully the next time I’m cold-called, the caller might pronounce our brand correctly,” Swatton said.

“Originally named after Pegasus, the winged horse of Greek mythology, but now sounds like Zeus, the God of storms and thunder,” the video says.  Maybe they should have spelt it with a Z in the first place. Zeus might not be that impressed either, which is why our last Asus developed a sudden electrical fault which caused it to be packed off to Hades early.

Thin clients are thin on the ground

skeleton-woman-615While thin client set ups have been touted as the “next big thing” for nearly two decades, it would appear that no-one can make cash from them.

Bean counters at IDC said that the market leaders HP and Dell suffered double-digit shipment drops last year. Apparently companies are walking away from, or cancelling their thin-client projects. Ironically mostly before the poor economic climate, thin clients were touted as a cost-saving measure.

Thin client projects are being canned or postponed in the face of the faltering economic climate and reduced public budgets, IDC said as it warned that shipments in the sector shrank last year.

According to IDC, thin and terminal-client shipments fell 6.9 per cent to 5.08 million in 2015, with market leaders Dell and HP enduring double-digit drops.

To be fair it is not all doom. Thin-clients did better than PCs which fell 10.6 per cent last year.  IDC insists that the outlook for thin clients and virtual desktop infrastructure (VDI) remains favourable, although people have been saying that since networking became a thing.

Jay Chou, research manager, worldwide enterprise client device trackers at IDC said that while there was a certain amount of slowdown expected as many organisations had just refreshed their systems a year or two ago, the extent of economic and currency-related issues had a definite impact in the budget and timeline of other projects which were supposed to be in the pipeline.

“Nonetheless, awareness around VDI continues to improve, and IDC does expect an improved outlook ahead, especially as companies begin to think about moving beyond Windows 7.”

While the PC market may be consolidating into the hands of fewer players, the same cannot be said of thin clients, where market leaders Dell and HP lost market share hand over fist during the year.

The US duo’s collective share of thin-client shipments fell from 55.1 to 50.6 per cent between 2014 and 2015, with Dell seeing shipments drop 13.8 per cent and HP suffering a 15 per cent fall, IDC said.

NComputing came third as its shipments rose 12.8 per cent to 518,000, IDC said.