Tag: HPE

Dell EMC on its way to challenging HPE

Dell EMC is closing the gap on Hewlett Packard Enterprise as EMEA’s top server vendor.

Beancounters at IDC have added up some numbers and divided by their collective shoe size and claimed that Dell EMC saw its server market share in EMEA increase just over three percentage points to 22.4 percent in Q2. HPE’s numbers were disappointing, and it declined over three per cent to 28.4 percent.

IDC senior research analyst Kamil Gregor said total spend for the quarter was up 28.9 percent year on year to $4.1 billion with HPE making up over a quarter of these sales. The number of shipments, however, declined 3.7 percent to 515,000 units shipped.

Some of the largest markets in Europe experienced shipment declines, with Germany seeing a drop of 14 percent and the UK a decline of 8.7 percent. These two regions, however, experienced revenue growth of 23.2 percent and 29.9 percent respectively as the average order of shipments rose.

It is spend,spend, spend on the cloud

banner_220x220Cloud channel members should be rubbing their paws with glee at the news that cloud spending is on the increase

IDC has increased its forecasts for the amount of cloud infrastructure sales that will be sold globally this year on the back of a solid showing in the second quarter.

The analyst house has charted a 48.4 percent increase in the sale of infrastructure products, including servers, storage and Ethernet switches, sold by vendors and fulfilled by the channel in Q2. As a result, the forecasts for the full year are now coming in a $62.2 billion, an increase of 31.1 percent on last year.

Spending is increasing in public and private cloud areas, up by 58.9 percent and 28.2 percent in Q2 respectively, with the combined investments in cloud infrastructure now accounting for almost half of all the infrastructure spending globally.

IDC is forecasting that spending in cloud environments is going to grow by double digits this year.

Non-cloud IT is dying, and it still accounted for  just over half of the total infrastructure market in Q2 and came in with 21.1 percent growth, but it is markedly lower than cloud-related spending.

Natalya Yezhkova, research director, IT Infrastructure and Platforms at IDC said that as the share of cloud environments in the overall spending on IT infrastructure continues to climb and approaches 50 percent, it is evident that cloud, which once used to be an emerging sector of the IT infrastructure industry, is now the norm.

“One of the tasks for enterprises now is not only to decide on what cloud resources to use but how to manage multiple cloud resources. End users’ ability to use multi-cloud resources is an essential driver of further proliferation for both public and private cloud environments”, she added.

The top three regarding market share were Dell, HPE and Cisco. But the shining star regarding revenue growth year on year in Q2 was Lenovo, which delivered a 223.5 percent increase putting it in fourth place.

Hybrid services pays off for HPE

banner_220x220The former maker of expensive printer ink, HPE, is doing rather well on the back of its shiny new hybrid services cunning plan which is channel dependent.

With its PointnextHPE services business, the vendor has stated an ambition to make it an area that delivers revenue through the channel.

The plan, which emerged in March last year, was to give the channel the services support that they can scale to meet customer needs, with a large amount of flexibility built into the offering.

Pointnext was supposed to give users the support needed to accelerate their digital transformation.  It rolled out Greenlake Flex Capacity, which was designed to make life easier for partners with pre-packaged options that would speed up quote times.

HPE also made a couple of acquisitions, with RedPixie this April and Cloud Technology Partners last September, to add more support for those customers looking at moving to the cloud.

During the outfit’s third-quarter announcement CEO Antonio Neri said that Pointext delivered a  per cent decline in revenue year-on-year, although orders grew by four per cent.

“We continue to strengthen our HPE Pointnext services business, and we see significant opportunity as we execute our services-led go-to-market strategy”, he said.

The firm is looking to put the focus of the services business on the most profitable areas and in that space, revenue increased by one percent in Q3 and orders improved by eight per cent.

“This growth is largely due to the strong improvement of services intensity as we shift our focus in more value-added offerings, high-growth in HPE GreenLake and some larger deals. Advisory and professional services revenue was down 10 per cent, largely due to our intentional exit of more than 40 companies as part of our HPE Next plan,” said Neri.

He signalled that the current focus was on hybrid cloud solutions and it had been investing in that area.

“Overall, our Hybrid IT portfolio of products and services is stronger than it has ever been, and continues to help our customers manage and simplify their IT in a hybrid world,” he said.

HPE reported a fairly flat quarter revenue wise with Q3 turnover up just a per cent year-on-year to $7.8 billion. The vendor also continues to deliver on Meg Whitman’s last big plan before she stepped down, the Next initiative, which is right-sizing the business for the future.

HPE wants partners to accelerate on-premise IaaS

banner_220x220HPE has said that its channel partners to be the key to unlocking  flexible consumption models.

HPE made several announcements around its GreenLake service at the Discover 2018 conference in Las Vegas. The service offers various plans allowing customers to pay for their on-premise infrastructure using a cloud-like as-a-service model based on their usage.

However while all this is popular in the US, UK outfits have trailed behind the rest of Europe in the adoption of these services and HPE thinks that this is because it has been poorly promoted.

HPE told the assembed hacks at the connferencre that HPE’s channel partners will be the key to unlocking that. It is investing a $1 billion in simplifying the processes and procedures for channel partners, as well as a new channel-centric flexible capacity offering.

“Flex Capacity for Partners: that will be key to our success in getting Flex Capacity generally ramped in the UK. And then once customers are up and running on Flex Capacity, the ability to – for want of a better expression – upsell them onto a GreenLake Hybrid Cloud solution, I think will start to increase”, HPE said.

It will mean that buybacks are easier, incentives have been increased, compliance challenges have been lessened and the overall process is supposedly much simpler.

 

Cohesity scores cash from HPE and Cisco

Surprise Kitten Kittens Cat Money Animals PetStorage outfit Cohesity has scored  £186 million in funding from a group of investors that includes Cisco and HPE, and said it would use the money to expand internationally.

The funding round was led by SoftBank Vision Fund and marks only the second time it has invested in an enterprise software company, after investing in workplace messaging app Slack last year.

Cohesity provides services to help businesses store, manage and protect their data. It is planning to use the investment to fund a large-scale global expansion.

Pete Chung, managing principal and head of investor Morgan Stanley Expansion Capital, said that Cohesity’s hyperconverged architecture would “fundamentally change” the secondary storage landscape.

“We are excited to help fuel the company’s momentum in providing enterprise customers with seamless application and data movement across the cloud and corporate data centre. Cohesity represents that elusive combination of rapid growth, significant scale, and market momentum we look for as later-stage investors.”

Cohesity hopes that the renewed support from “strategic investors” Cisco and HPE will give it a foothold to grow its presence among enterprise customers globally.

Vishall Lall, chief strategy officer at HPE, said the company was “proud” to invest and partner with Cohesity.

“We collaborate closely to integrate Cohesity’s market-leading hyperconverged secondary storage platform with our cutting-edge data centre solutions to provide an integrated, tested and validated offer to customers.”

HPE wades into Dell EMC’s roadmap

Hereford_Mappa_Mundi_1300HPE Chief Sales Officer Phil Davis has attacked Dell EMC’s storage product plans saying it is unclear which products are for the axe.

Writing in his bog, Davis said that more than two years after the EMC acquisition, Dell is still in the midst of churn and transition, and despite the promise that its product roadmaps would not change drastically.

“The one thing that is clear is that Dell EMC’s storage roadmap is changing; unfortunately for customers, which products will survive is uncertain.”

He added that even with the Dell EMC “product rationalisation” there is still a lot of confusion.

“Back in 2016, when Dell’s EMC acquisition was completed, the company told customers and partners in a letter, ‘because our combination is very complimentary. We do not expect any changes in the product roadmaps except for new products we create that bring all of our innovation together,'” said Davis, who headed up Dell’s enterprise solutions business before joining HPE four years ago.

“Yet today, we see a different reality with Dell EMC suggesting they may reduce their mid-range offering from four products to a single product — leading to portfolio uncertainty. This presents a challenge for customers because confidence in their storage partner is paramount and that can only start with a clear product roadmap.”

HPE spruces up its Nimble Storage range

CnCMnP7VUAA-Qp_HPE has made improvements to its Nimble Storage range to offer all-flash and large performance gains.

It claims that the platform comes with a “Store More Guarantee” that will see the hardware store more data per raw terabyte of storage than any other vendor’s all-flash array. It added that the guarantee means that if the Nimble hardware is not able to meet the storage efficiency of an all-flash competitor, it will offer the extra storage for free.

The range takes advantage of storage class memory and NVMe to support “performance-intensive” applications like web analytics, business intelligence, real-time trading, and other applications that require instant results.

The new HPE Nimble Storage Adaptive Flash arrays merge hybrid and secondary flash technology into a single array and also support inline variable deduplication. It is aimed at mixed, primary workloads where cost-efficient flash performance is important. It also works as a secondary flash array for backup and disaster recovery while also allowing customers to run workloads such as quality assurance, test-dev and reporting, HPE said.

The vendor added that the arrays deliver all-flash like performance with up to 150% greater price-performance than previous arrays.

HPE’s storage GM Milan Shetti said: “We know from our customers that storage capacity efficiency is important to them, so we’re proud to be the first vendor to offer a guarantee. This guarantee further differentiates the HPE storage offering, which already includes HPE InfoSight, an industry-leading predictive analytics platform that prevents infrastructure problems before they happen, and is available for HPE Nimble and 3PAR storage customers.”

HPE swallows RedPixie

321d7ada7d890e577984e3690647a0f8HPE has eaten up Microsoft Azure resellers, RedPixie.

Founded in 2010, RedPixie specialises in migrating workloads to the public cloud. Its clients include KPMG, Hiscox, and Care UK. It “partners” with Citrix too.

HPE said it would fold RedPixie into its Pointnext services division, adding that the deal builds on its September 2017 acquisition of Boston-based hybrid cloud consulting firm Cloud Technology Partners.

The reason appears to be the fact that the hybrid IT consulting and cloud-native development market is now worth $6 billion and is growing at more than 18 percent a year.

RedPixie itself doubled in size a little over two years ago when it acquired rival born-in-the-cloud reseller Cloudamour.

HPE Pointnext SVP Ana Pinczuk said that since 2010 RedPixie’s team of business consultants, cloud architects and data scientists have been focused on understanding client challenges and designing solutions that drive digital transformation.

“They have helped their customers migrate legacy systems to the cloud, speed up the adoption of data analytics, and drive cost-cutting, while accelerating time to market and increasing agility.”

 

Hewlett Packard Enterprise updates Cloud28+

HPE-office-logoHewlett Packard Enterprise (HPE) has updated its Cloud28+ catalogue and will allow partners to  show potential customers what they have to offer.

The Cloud28+ member spotlight pages, were revealed at the CloudFest conference in Germany and will be available from April. For the first time  allow channel companies to publish their own news and updates, as well as search options and services, on the catalogue. HPE said that this will offer partners the opportunity to increase sales and revenue, as they will be able to build a “strong visual identity” on the platform.

More than 750 HPE partners are already part of the Cloud28+ community, HPE claimed, a catalogue of 26,000 cloud and hybrid IT services launched by the company in 2015.

HPE VP of service providers and Cloud28+ worldwide Xavier Poisson: “HPE is a partnership-first business. The new Cloud28+ spotlight pages demonstrate this, by offering partners new routes to market and increased visibility.

“Cloud28+ has always been focused on creating a rich and collaborative ecosystem, and now we’re further extending that benefit to partners by giving them a chance to do the same with customers under their own banners.”

Alongside the announcement of member spotlight pages, HPE also teased further upcoming enhancements to the Cloud28+ platform. These will include better management tools, social media integrations and individualised analytics. It will feature compatibility for multi-vendor and multi-component solutions, with IoT cited as a particular scenario where this would be desirable.

HPE names Arrow as a UK distributor

Teen_Wolf_Season_2_Episode_11_Battlefield_Allison_Takes_AimHPE  has appointed Arrow as its UK distributor to work with Azlan (formerly Avnet), Ingram Micro and Westcoast.

Arrow was a SimpliVity and Nimble distributor, and HPE bought both in the last year. On 1 November HPE made Nimble available to all its UK distributors but said it was in discussions with Arrow about its UK role.

HPE’s UK channel boss Mark Armstrong said that it was decided to add Arrow to HPE’s distribution channel to reach new customers.

The agreement will see Arrow continue to distribute Nimble and SimpliVity.

Arrow’s director of solutions Dan Waters said: “HPE’s portfolio further enables our customers to add incremental business across solution practices in business intelligence and analytics, data management, IoT, and next-generation infrastructure technologies.

“It fits seamlessly into our value-added model and the propositions of our reseller community. The collaboration will further expand the successful work we’ve already been doing with Nimble and SimpliVity.”

Whitman starts cleaning out her desk

Meg WhitmanHPE’s Whitman announced she is quitting as the CEO and claims that her channel track record was a critical aspect of her six year reign.

On 1 February 2018, Whitman will be replaced by the current president Antonio Neri, who joined HP in 1995 as a customer service engineer in the EMEA call centre.

Shareholders were not happy – HPE’s shares were down by nearly eight percent in after-hours trading, despite Q4 results topping expectations.

Whitman was appointed as HP CEO in September 2011 following the departure of much-maligned predecessor Leo Apotheker and quickly implemented a five-year turnaround.

She hived off the printer and PC arm of HP in 2015, and put in motion the most significant corporate divorce in history.

HPE’s headcount is now standing at less than 50,000, compared with nearly 350,000 when she joined.

In the UK she was known for dropping in on top HP resellers, including Softcat and CDW in the UK for tea and biscuits and talk up HP and HPE’s channel-friendly credentials at its partner summits.

According to HPE’s statement today, the vendor improved customer and partner satisfaction under her leadership, as well as rebuilding its balance sheet, strengthening operations and reigniting innovation.

HPE has delivered a shareholder return of 89 percent – three times that of the S&P 500 – HPE pointed out.

“I’m incredibly proud of all we’ve accomplished since I joined HP in 2011”, Whitman said.

“Today, Hewlett Packard moves forward as four industry-leading companies that are each well positioned to win in their respective markets. Now is the right time for Antonio and a new generation of leaders to take the reins of HPE. I have tremendous confidence that they will continue to build a great company that will thrive well into the future.”

HPE’s Q4 revenue rose five percent year on year to $7.8 billion, the company also announced.

Whitman will remain on the HPE board of directors.

 

 

HPE quits Palo Alto

bd_stone_1989In what is an end of an era, Hewlett Packard Enterprise (HPE) will save a bit of cash by leaving its Palo Alto headquarters and moving to nearby Santa Clara.

The predecessor HP company was based in Palo Alto from its founding in 1939 until it was split in two in 2015. HP is still based in the city.

In a press release, HPE said that the company no longer needs a facility of the current size and will look to sell the property – splitting employees between three other facilities.

The move comes as HPE continues its radical $1.5bn cost-saving measures that will see thousands of employees laid off, as well as the reported closure of a facility in Roseville, California.

The Aruba offices in Santa Clara will become HPE’s new global headquarters, while other employees will be split between facilities in San Jose and Milpitas.

HPE CEO Meg Whitman said: “Over the past two years we’ve made tremendous progress towards becoming a simpler, nimbler and more focused company.

“I’m excited to move our headquarters to an innovative new building that provides a next-generation digital experience for our employees, customers and partners.

“Our new building will better reflect who HPE is today and where we are heading in the future.”

HPE said it will continue to support the HP garage – the garage where Dave Hewlett and Bill Packard formed HP, now a museum – and the HP Founder’s Office, which served as HP’s headquarters until 1981.

HPE shifts away from lower margins

HPEHPE has outlined its plans for its full year 2018, indicating that it will shift its focus away from lower margin business and focus more on high margin solutions and services.

HPE’s lower margin business – particularly its tier one server business – has been blamed for hampering growth.

HPE said it expects to record revenue growth of five percent, but this prediction takes the tier one business out of the equation.

For its full year 2018, HPE said it expects to report “modest” revenue growth, again discounting the troubled tier-one server business.

Speaking at an analysts meeting, HPE CEO Meg Whitman outlined the five-year turnaround plan HPE is in the middle off, insisting that splitting the company into HPE and HP Inc was the right decision.

“I can tell you without a doubt separating the company in two was absolutely the right thing to do for our customers, our partners, our employees and of course our investors. We’ve seen that in the financial markets reactions.

“In 2012 we embarked on a five-year journey to turn this company around and create better value for shareholders, customers and partners.

“The first step was to diagnose the problems and build a solid foundation for a turnaround. 2013 was all about fixing and rebuilding the business. We improved operations, drove better cash flow and repaired our balance sheet

“In FY14 we focused on recover and expansion. We stabilised our revenue trajectory, we reignited innovation across HP and further strengthened our leadership in key areas. Fy15 was about accelerating that progress. We continued to target investments in higher-margin areas and saw the opportunity to accelerate our business in key acquisitions like Aruba.”

Whitman said that HPE is in the process of strengthening through four key factors: Organic investment, in areas such as HPE Synergy; investment in partnerships; acquisitions of the likes of Nimble and SimpliVity; and portfolio optimisation, which saw its services and software business spun out into separate organisations.

“Our partner ecosystem is the best in the industry and absolutely critical to our future. Partnerships our going to be critical and that’s why we launched Pathfinder, our venture investment and partnership programme. We use our expertise to identify the best emerging start-ups and then we curate their innovation within our innovation which helps us deliver cutting-edge solutions to our customers with results they cannot find anywhere else.”

HPE’s Nimble InfoSight predictive analytics nearly baked

Detail-from-Baking-oven-and-kneading-trough.-From-Charles-TIllustrations-of-useful-arts-manufactures-and-trades.-London-Society-for-Promoting-Christian-Knowledge-1858.Hewlett Packard Enterprise President Antonio Neri has told the world+dog that it is ready to ship its Nimble InfoSight predictive analytics offering on its high-end 3Par storage line.

It should be ready for partners within 90 days and give bring the cloud-based predictive analytics platform to 3Par. HPE is hoping that the move, which comes just months after closing the Nimble acquisition will shake up the storage market.

It will be the first time a major storage vendor will be able to predict storage failures and “proactively resolve them” across an end-to-end portfolio that spans the market from small/medium businesses to the enterprise.

InfoSight was the “crown jewels” of HPE’s $1 billion acquisition of Nimble, Neri said. The AI power of the platform provides HPE and its partners with a big competitive advantage against any and all competitors.

He added that it was proof HPE was delivering its strategy to make hybrid IT simple.

“The first thing partners are going to see is a consistent experience across Nimble and 3Par with AI, predictive analytics, and predictive maintenance across the entire storage footprint – all attached to our HPE Pointnext”, Neri said.

HPE to decimate staff again

legionnaires Hewlett Packard Enterprise is planning to cut 5,000 jobs or 10 percent of its workforce, as part of its HPE Next restructuring initiative.

HPE has already begun notifying executives impacted by the restructuring, with the company announcing this week the new management teams within each of the 11 regions.

HPE is officially not saying anything about the moves. The company has been restructuring for years no and it is surprising that there are still staff to decimate.

The HPE Next initiative is aimed at rearchitecting and simplifying the structure of the company with as much as $200 million to $300 million in cost savings in the current fiscal year. HPE is aiming for $1.5 billion in cost savings over a three-year period.

HPE CEO Meg Whitman told her unfortunate employees that the news of the restructuring was just media reports speculating about employee reductions.

“As you know, we have been aggressively moving forward with our HPE Next program, which is focused on positioning the company for the future. And, I can assure you that our employees are the heart of that strategy. We are looking at a variety of options as we think about the cost structure of the company, and they include both reductions and investments,” Whitman said in the memo.

However, Whitman said it is critical for the company to put “the right resources behind areas that will drive our profitable growth, while rebalancing our cost structure in others”.

Whitman said HPE is committed to “transparency” and will communicate decisions as soon as they are made.

As part of the next restructuring, HPE has already announced that it is flattening its channel organization eliminating layers of management by combining its channels and alliances groups under a single organization headed by Global Channel Chief Denzil Samuels.

The restructuring also includes a new North America management team led by North America Sales Chief Dan Belanger, CRN reported Friday.

Among the top channel executives leaving HPE as a result of the restructuring are Scott Dunsire, an 11-year HPE veteran widely credited with making broad channel improvements and improving co-selling engagement between partners and the HPE direct sales force and Mike Parrottino, a 30-year HPE veteran who was a passionate advocate for partners and the SMB route to market.
Both Dunsire and Parrottino dramatically increased the percentage of sales going through the channel, initiating a mandate to drive 100 percent of SMB sales through partners.