Tag: HP

HP gets off of its public cloud

grandpa_simpson_yelling_at_cloudThe maker of expensive printer ink, HP is calling it quits on its public cloud offering.

The Helion Public Cloud will be abandoned next year as the vendor is more interested in private cloud products and rather scared of its chums Microsoft and Amazon.

HP has been denying that it will close Helion for six months, but the signs were there. In April, HP executive Bill Hilf said that HP no longer saw public cloud as a priority and that it made “no sense” for HP to go head to head with the likes of Amazon, Google and Microsoft.

He backtracked on this statement and said that HP would continue running Helion which operates  one of the largest OpenStack-based public clouds. Writing in his bog, Hilf confirmed what he denied six months ago and that Helion Public Cloud is doomed.

Hilf said HP has made the decision to “double down on our private and managed cloud capabilities” and confirmed that HP will “sunset” Helion Public Cloud on 31 January 2016.

Public cloud remains relevant to HP as part of its hybrid cloud strategy, but the vendor will now work with multiple partners such as Amazon to satisfy its customers’ public cloud needs.

“In order to deliver on this demand with best-of-breed public cloud offerings, we will move to a strategic, multiple partner-based model for public cloud capabilities, as a component of how we deliver these hybrid cloud solutions to enterprise customers,” Hilf said.

“Therefore, we will sunset our HP Helion Public Cloud offering on 31 January 2016.”

HP has been getting closer to Amazon of late as part of its hybrid delivery with HP Helion Eucalyptus. It has also worked with Microsoft to support Office 365 and Azure, he added.

“We also support our PaaS customers wherever they want to run our Cloud Foundry platform – in their own private clouds, in our managed cloud, or in a large-scale public cloud such as AWS or Azure,” Hilf said.

HP invested more than $1bn in its cloud business over two years when it unveiled its Helion range of OpenStack-based cloud products and services last May so it looks half that money was lost.

HP backs AMD to the hilt

AMD in BarcelonaDespite rumours of private equity money, and takeovers by people as diverse as Microsoft and even HP, it appears that AMD is still getting the kind of support it needs from partners in its egosystem (sic).

Here at the Canalys Channel Forum (CCF) conference in Barcelona, HP went out of its way to give AMD express backing and even exclusivity in the way of product launches.

Of course, there is nothing particularly new about this. I am staying at the Princesa Sofia hotel in Barcelona and it was here, now more than 20 years ago, that Compaq CEO Eckhard Pfeiffer lit out at Intel for messing with its customers’ minds. Wasn’t this also the venue for ex CEO Jerry Sanders III to declare that “with Microsoft and Intel we make the Holy Trinity?”  I think it was.

Compaq was eventually swallowed up by the HP body corporate in the shape of Winsome Carly Fiorina but it has always given AMD a fair crack of the product whip.

AMD showed off two devices that will be sold into the channel worldwide – a highly dense little jobbie that seems to have more specs than you can shake a fist at and will hang on the back of your HD monitor – and a rather light notebook that is also highly specced and soon to be released as part of the Elite family.

Of course, getting the spinners or the suits to talk about acquisitions and the like is like trying to get a spider out of its web. But, nevertheless, it seems clear that quite a few AMD suits now appear to be HP people out of Grenoble.

An HP source, who declined to be named, suggested to Channel Eye that Intel doesn’t mind these kind of exclusive deals because it will be in deep hot water if it has to go it alone.

More, if it transpires.

HP’s VSI is still running

INDUSTRY HP 1While it has been scaled back because many in the Channel hate it, HP’s daft Value System Integrator sales programme is still running.

The brilliant idea was started as a way to beat Dell on pricing by removing distributors from the supply chain and using that margin to give customers discounts.

It did not work very well and miffed the hell out of the channel. The cunning plan was that HP would not pay resellers any soft margin or marketing funds, just a one per cent rebate, and allow them to boost their coffers by wrapping products in their own tech services.

The model expanded to the private sector, and saw HP competing against its trusted channel allies.
VSI was one of two decisions which killed off HP’s business. The other one was to ask account managers in the Enterprise Group to manage PC resellers to build direct sales.

The move was great for Lenovo who suddenly had SCC, Softcat, Kelway and other big resellers wanting to work with them.

Apparently though HP has now re-purposed so that it is only used in the public sector again. Even that is less of a focus.

HP CEO Meg Whitman promised to remove channel conflict when she started, setting out rules to govern the behaviour of internal sales reps; and passed some enterprise accounts that were directly managed to channel types.

Microsoft delivers Surface through Dell

surface-pro-2Software giant Microsoft has unveiled a partnership to allow businesses to buy  Surface Pro tablets and Surface accessories through Dell’s enterprise sales division.

Starting next month, it is part of a cunning plan, which will involve Microsoft working with other companies like HP and Accenture on promoting its tablets for business use. In fact the idea seems similar to the one drafted up between Apple and IBM, only it is more likely to work as Microsoft and the others have more experience in the business market.

Dell will also make Microsoft’s tablets available through its online enterprise sales website later this year. Companies that purchase Surface Pro tablets through this partnership can also purchase Dell services, such as up to four years of a hardware warranty, ProSupport with Accidental Damage Service, and Configuration and Deployment Services.

HP will also be selling Microsoft’s tablet through its enterprise sales force, and will be offering a set of Care Packs to help companies plan, configure, deploy and manage a Surface Pro 3 rollout. In addition, the company plans to release “mobility workflow transformation tools and services” next year.

Businesses already buy services and support from Dell for other computers and servers and it means that Dell and HP will sell Microsoft tablets alongside their own tablets and 2-in-1 convertible PCs.

Microsoft has dubbed all this the Surface Enterprise Initiative. The programme could improve adoption from enterprises that want to purchase their technology products from a partner that can also provide service and support for deploying devices.

HP should buy EMC

INDUSTRY HP 1Analyst Raymond James has created a flap over his idea that now is the perfect time for HP to buy EMC.

James believes an acquisition deal between HP and EMC is a “distinct possibility” as HP inches closer to its company split date in November. The two companies agreed, at least once before, and had more than a year’s worth of merger talks before giving up, mostly on the matter of price.

Channel partners of both companies said the deal makes sense and would be beneficial to them and it is looking like other analysts agree.

Such a deal would improve HP’s cloud portfolio with VMware and Virtustream services, while EMC and Pivotal would boost the converged infrastructure and analytics side of the portfolio. HP provide some good mobile tech.

HP is splitting the enterprise divisions from the PC and print side of the business, and is certain to have that done by Christmas. HP CEO Meg Whitman has indicated further acquisitions and so it is possible that EMC is on the table.

HP Enterprise of the new HP – will be a lot more aligned with the current EMC and VMW businesses in terms of end-market focus.

A united company is worth $2 billion more. HP would kill off its 3Par storage over time, and EMC would shelve its Content Management in favour of HP’s Autonomy.

 

 

 

HP split set for November 1

Whitman's-SamplerThe maker of expensive printer ink, HP will be splitting itself in two on November 1.

HP queen bee, Meg Whitman said that everything will be good to go for the separation of HP and Hewlett-Packard Enterprise would be effective on November 1.

Whitman made the announcement during the company’s technology event, HP Discover 2015, in Las Vegas.

The world’s No. 2 personal computer maker wants to split into two listed companies, separating its computer and printer businesses from its faster-growing corporate hardware and services operations.

Whitman believes that breaking HP into two companies, with about $57 billion in annual revenue each, will create two more nimble outfits which can respond to the constantly shifting technology marketplace.

Whitman will be left in charge of Hewlett-Packard Enterprise, which will include the $27 billion division that sells industrial-grade computing and networking gear and the $23 billion Enterprise Services business, which runs the tech and IT operations for other companies under contract.

Her slimmed-down company will walk away from the separation with the majority of the parent’s cash — about $13.3 billion — which will allow it to quickly pivot into deal-making mode. It’ll also allow both new companies to re-engage with Silicon Valley and the wider tech industry, she claims.

Data centre evolves from snooze to news warns Gartner

darwinBeancounters at Gartner said that thedData centre industry is about to see some rapid change after 15 years of more or less being a snooze.

In its 2015 Magic Quadrant for Data Center Networking report Big G said that emerging innovations like software-defined networking (SDN) and disaggregation switching, and  data centre networking was shaking up the industry.

Unlike in the past, vendor differentiation is shifting toward software — including management, automation and orchestration — compared with hardware.

Gartner Research Director Andrew Lerner, who co-wrote the report said most of the suppliers were the same names as they everywere.  But positions have have changed within the industry.  Arista Networks becoming a Leader and Dell is being more progressive.

The report found that the adoption of and interest in white-box switches over the past year have increased significantly within hyperscale data centres.

Dell twigged to the fact that a white-box or branded white-box was the key and  then Juniper followed, then HP.

There is now a demand for a denser, more highly virtualised data centre to improve agility within networks. Organizations want less proprietary, closed systems than have typically filled the space.

The market leader is still Cisco and has the largest  installed base of any vendor in the quadrant, Cisco is by far the global leader in port shipments and revenue.

Gartner’s report slams Cisco for overlapping, conflicting architectures as well as one of the priciest solutions on the market.

Cisco’s flagship Application Centric Infrastructure (ACI) is “less open” than some SDN products, said Lerner, but “if you’re looking for an open solution, they do have a broad portfolio.”

Arista is the fastest-growing vendor in the space and is one of only two companies – including Cisco – that Gartner refers to as Leaders.

Arista has taken a open and agnostic approach that’s cost-effective, so it’s a very compelling story for company’s the report said.”

HP is not doing that badly either. The No. 2 player in the market has a strong global reach, a broad portfolio and open SDN. HP was rated the most open vendor, according to Gartner research surveys.

What is keeping the computer giant from being a leader in the market is its failure to execute sales from a channel perspective.

“From a portfolio perspective, they can go toe-to-toe with anybody. … They have the HP brand and the global distribution channel, so on paper, they should be a fierce competitor,” said Lerner. “The reality is, we don’t see the HP distribution channel putting the HP data center networking portfolio in front of customers with the same degree of fervor as, say, a Cisco or even an Arista.”

Dell was the most innovative vendor in the marketplace over the past year, with more than 24,000 networking customers, jumping from a niche player in 2014 to a visionary this year.

Dell was the first mainstream vendor to support a disaggregation switching solution that allowed organizations to run third-party networking software on Dell hardware.

VMware was the only vendor that made the quadrant that doesn’t provide hardware in the data centre. The company’s flagship NSX SDN overlay product garners a high degree of interest and has a proven track record of reliability with customers.

VMware’s suffers from an immature channel and sales coverage  which is triggering its growth.

 

Computer Sciences Corp to break up

330Technology consulting services provider Computer Sciences is planning to separate its government business from its commercial information technology division.

Word on the street is that an announcement could come next week, when CSC releases its fiscal 2015 earnings on May 19.

CSC has been trying, without much luck, to sell itself. The company has a market capitalisation of close to $9.5 billion.

The company is  cost cutting like a mad thing as the US government cut back on its services. However, its government business is seen as attractive to potential buyers because of the high barriers to entry for competitors.

While CSC is still open to acquisitions, it now sees a split in which shareholders would also get stock in a new company as the most attractive and tax-efficient transaction to pursue.

Buyout interest had come from Cap Gemin, HP and Canadian consulting firm CGI as well as the usual sharks from private equity firms. However CSC wanted more money than they wanted to pay.

Hedge fund Jana Partners disclosed a 5.9 percent stake in CSC in February, and said it would continue talks with the company about strategic alternatives and the composition of its board.

 

HP gathers legal Lynch Mob

The lynch-mob-21war of words between HP and the former owner of Autonomy, Michael Lynch has ended up in a court battle in the UK.

The maker of expensive printer ink has lodged a claim in London against Lynch and a former colleague for damages of about $5.1 billion over their management of Autonomy, the company it bought in 2011.

Lynch will counter sue, seeking $149 million for loss and damage caused by HP’s accusations.
Autonomy was supposed to be the $11.1 billion centrepiece of a move to becoming a more SAP style software organisation. But a year later HP wrote off three-quarters of the British company’s value, accusing Lynch and his colleagues of financial mismanagement.

HP filed a claim against Lynch, the co-founder of Autonomy, and Autonomy’s former finance director Sushovan Hussain in the Chancery Division of London’s High Court on Monday, alleging they engaged in fraudulent activities while executives at Autonomy.

“The lawsuit seeks damages from them of approximately $5.1 billion,” the spokeswoman added.
Lynch, speaking on behalf of Autonomy’s former management, has consistently denied any impropriety, saying the loss in value of the company was down to HP’s mismanagement.

HP’s case might have been weakened by the fact that Britain’s Serious Fraud Office (SFO) said there was not enough evidence to secure a conviction of Autonomy’s former executives.

Former HP boss “90 percent sure” of presidential bid

carlyfiorinaFormer HP boss the winsome (and lose some) Carly Fiorina said the chances she would run for the US presidency in 2016 were “higher than 90 percent” and that she would announce her plans in late April to early May.

Fiorina said she could not yet announce the bid because she was working to establish her team and put together what she described as “the right support” and financial resources.

Fiorina was seen as a divisive figure at HP. Her wielding of the corporate axe made staff scared of losing their jobs. It is also not clear if HP ever did that well from her massive buy out of Compaq which left HP as the world’s largest hardware maker just in time for the economic rut which gutted PC sales.

In 2005, Fiorina was forced to resign as chief executive officer and chair of HP following “differences with the board of directors about how to execute HP’s strategy.”She has frequently been ranked as one of the worst tech CEOs of all time, although we would suspect that at least one of those who followed her into the HP chair were a lot more apocalyptic [surely Apothelkayptic. Ed].

Potential Republican presidential candidates including former Florida Governor Jeb Bush, Wisconsin Governor Scott Walker, Florida Senator Marco Rubio, former Arkansas Governor Mike Huckabee and New Jersey Governor Chris Christie.

Texas Senator Ted Cruz became the first major figure from either political party to formally announce his 2016 presidential bid.

Among Democrats, Hillary Clinton is expected to be the front-runner for the nomination, although she has yet to formally announce her plans.

 

HP goes Bang. And Olufsen

HPHewlett Packard has decided to strike a deal with Bang & Olufsen to bring its sound systems to its PCs, to its tablets, and to its accessories.

Under the deal, HP said it will custom tune every notebook, desktop and tablet it sells for “precise sound”. Bang & Olufsen kit won’t be in all of the machines it sells, however.

The company said it will create what it describes as a “dedicated audio island” which isolates the sound system from other signals on motherboards. The headphone jack also has a limited amount of metal parts to cut down ground noise.

HP will provide an audio control pane to let people either choose from optimised presets or manually tune the sound.

The first systems with the B&O tech will be available in spring on its Spectre, Omen, Envy and other PCs. The B&O Play brand will be incorporated into HP Pavilion PCs, tablets and some audio accessories.

Dell hits the high spot

Dell logoEven though terminal clients are in an inexorable decline, thin clients performed quite well in 2014, with growth up 4.6 percent compared to the year before.

And there may be brighter news ahead for thin clients, according to a report from market research company IDC – enterprises are expected to resume projects in 2015 that were delayed by the worldwide slump.

The biggest beneficiary of client devices was Dell, which in the fourth quarter of last year had a 27.2 percent share.

HP took second place, with 25.5 percent of the market, followed by Centerm (10.8%), Igel (5.2%) and NComputing (5.1%).

The total number of units shipped in the quarter amounted to 1,418,402 units, a decline of 12.5 percent from the same period in 2013 – and the decline was due to terminal clients being rather old hat.

Dell did well because it won some key sales in the financial sector, IDC said.

NComputing saw its position in the pecking order drop to the number five positionm for the quarter.

Back up kit worth over a billion

emcboxThe market for customised backup appliances reached $1 billion worldwide in the fourth quarter of last year.

This market represents standalone disk products that use software, disk arrays, server engines, and more specifically data coming from backup software.

IDC said that the market for this kind of kit rose by four percent in 2014 and generated revenues of $3.26 billion.

Annual capacity in 2014 rose by 42.8 percent compared to 2013 to a staggering 2.68 exabytes.

Liz Conner, a research manager at IDC, said reasons for the rise in revenues included better software, data tiering, file sharing, data analytics and more investment in integrated systems.

In the fourth quarter, top of the storage pile was EMC with 63.8 percent market share, dwarfing the other players Symantec (11.5%), IBM (6.7%), HP (4%) and Quantum (2.3%).

 

Apple buys into white box servers

novità-apple-2013Cupertino based Apple Inc has decided to ditch HP and Dell to supply its servers and instead is looking to Taiwanese firms to supply its data centre needs.

That’s according to Taiwan wire Digitimes which said some of the local white box server manufacturers have already received orders from Apple for boxes.

One of the major manufacturers of servers is Quanta, which used to specialise almost wholly in making notebooks for big vendors but has diversified its business over the last two years.

It offers servers at a price that undercuts Dell and HP and will customise the machines for customers which already include giants like Microsoft, Google, Facebook and Amazon.

Apple said recently it will open data centres in Ireland and in Denmark and it’s also spending billions on building up data centres in the USA.

The company is also cuddling up to IBM and wants to release tablet machines that will appeal to enterprises rather than the home users it has depended on in the past.