Category: News

Capita continues to flog off family silver

Capita is divesting “non-core” parts of its business starting with its resourcing business.

Inspirit Capital is paying £21 million for Capita Resourcing, HR Solutions and ThirtyThree, gaining the senior management and teams that work at the human resourcing operations.

Reported revenues and profits before tax of the combined businesses for the year to 31 December 2022 were £78 million and £10 million respectively, with gross assets of £35 million as of 31 December 2022.

This latest sale will give the firm the opportunity to further concentrate on its two core operating areas: Capita Public Service and Capita Experience.

Capita CEO Jon Lewis said the transactions offer significant growth opportunities for the businesses, their clients and partners.

Juniper Networks wants partners to move to Elite Plus

Juniper Networks wants its partners to fast-track to its new Elite Plus level.

UK&I channel director Dale Smith said his outfit had a narrow service provider-oriented channel which was profitable and healthy but not enterprise-centric.

“Our mission statement then became to transform the channel from a service provider-centric to an enterprise channel and go to market model.”

Smith said it took significant investment in partner recruitment to help drive their enterprise pivot and now that part of the company is its largest revenue generating unit in the company.

“That gives us the foundation at board level to write some very big checks internally and say, ‘Hey, we want to invest even more to accelerate, we want our partners to be more profitable We want them to be more incentivised, and we want them to be more focused on the opportunity ahead for the next three years, as we look to double our business,” he said.

HPE surprises with good results

The former maker of expensive printer ink HPE surprised everyone with some rather good results.

HPE showed off a 12 per cent annual revenue hike for its fiscal 2023 First Quarter ending 31 January 2023.

HPE reached the high end of its First Quarter revenue outlook by recording revenues of $7.8 billion, a 12 per cent rise on the previous year and the highest best it recorded since 2016.

Intelligent Edge and High Performance Computing & Artificial Intelligence grew 25 and 34 per cent to $1.1billion respectively.

Compute revenue grew 14 per cent to $3.5 billion, while storage revenue rose five per cent to $1.2 billion.

Dell has a miserable quarter

Dell is reporting that it managed to grow in its networking and servers space but suffered a bad case of headwinds in its PC market and saw revenues on that side of its business decline by 23 per cent to $13.4 billion.

Dell co-CEO Chuck Whitten said trading conditions had worsened in the second half of the past fiscal year and that demand had weakened in the fourth quarter.

“Commercial revenue fared better than Consumer, down 17 per cent as customers delayed PC purchases in the face of macroeconomic and hiring uncertainty – it was down 40 per cent,” he said.

Zscaler descales 177 employees

Cybersecurity firm Zscaler is to lay off three per cent of its workforce, or about 177 employees.

Cloudy Zscaler doubled the size of its team to approximately 5,900 employees as it tried to expand during the good times.

Zscaler CFO Remo Canessa said it has undertaken a “targeted optimisation initiative to address inefficiencies in certain job functions and projects,” leading to the three per cent workforce reduction,.

The disclosure came as the company reported results for the second quarter of its fiscal 2023, ended 31 January. Zscaler’s stock price fell 11.8 per cent in after-hours trading Thursday, to $118.32 per share.

Expectations gap in new technology

Number crunchers at Ricoh Europe have discovered a gap between the perceptions of employers and employees of what technology investments are supporting an improved workplace experience.

Knowledge of a disconnect over digital transformation implementations should allow that selling technology to challenge the narrative and provoke questions about what a successful tech deployment looks like.

Ricoh research found that almost three-quarters of employers claim they put enhancing staff workplace processes at the heart of any design, but only slightly above half of the employees felt that happened.

This risks that the IT will not produce the desired results, with just above a third of those workers quizzed stating that new technology being rolled out across the business would not affect their work.

Ricoh Europe CEO Nicola Downing said: “Businesses are working hard to ensure they invest in the tools and technologies that will futureproof growth and help them remain competitive. But our research suggests they’re failing to connect with employees on the processes and services that will make working easier, more efficient and, in many cases, more enjoyable.”

“Decision-makers can’t afford to delay. Without an optimal working environment, employees may start to look for pastures new,” he added. “People need to be at the centre of any workplace transformation, with their needs and pain points listened to and actively addressed. This is vital to talent attraction and retention, boosting collaboration productivity and ensuring a sense of fulfilment through work across the organisation.”

Ricoh found that a third of European businesses did not use productivity and project management software, automation or hybrid meeting technology.

The slow uptake of those technologies was happening despite calls from staff for them to be deployed, underlining the gap between bosses and workers perceived priorities.

 

Life improves for Atos

Atos thinks that things are getting better for it after seeing an increase in its full-year 2022 results.

Revenues climbed 4.6 per cent to €11.3 billion. While net income came in at a loss earning just over €1 billion compared with the €2.9 billion from FY21.

Those were some better numbers from last year when the outfit was forced to issue its second profit warning in seven months in its preliminary FY2021 financial figures, stating the revised guidance communicated in July 2021 will not be met due to “several significant effects”.

Kasten sees triple digit growth

Kasten has posted near triple-digit growth in its fiscal year 2022 earnings due to the spike in demand for secure Kubernetes deployments.
The outfit bills itself as the fastest-growing business within Veeam. It has expanded its footprint by doubling its headcount and extending its presence in the enterprise space and key vertical markets such as finance, wireless telecom, and the public sector.
Product management Veep Gaurav Rishi said: “Kasten by Veeam had a fantastic year reflecting the growth in demand for backup and disaster recovery tools within containerised environments.”

Exclusive Networks EMEA turns over a billion a quarter

While many companies are firing staff and blaming “economic headwinds” Exclusive Networks’ EMEA business is now turning over more than €1 billion a quarter.

The distributor confirmed as it unveiled a 38 per cent hike in calendar 2022 gross sales due to a growth in the cybersecurity market.

CEO Jesper Trolle pegged Exclusive’s addressable market opportunity at $80 billion in 2023.

“We are confident that we are well placed to take advantage of this growing opportunity,” he said.

HP reports loss in first quarter and blames the wind

Maker of expensive printer ink HP reported a loss in its fiscal 2023 first quarter and CEO Enrique Lores even trotted out the old “industry-wide headwinds” cliché as the reason.

He claimed that corporate budgets were being tightened, and this was impacting large enterprise demand for the vendor.

GAAP net revenues came in at $13.8 billion, representing an 18.8 per cent slump from the $17 billion earned in Q1 2022. GAAP net earnings plunged 55 per cent to $500 million compared to the previous year’s $1.1 billion.

Lores said: “We delivered on our non-GAAP EPS target despite industry-wide headwinds, reflecting disciplined execution across our business.”

So in otherwords it was not our fault, it was the wind that did it. However, he said that HP’s Future-Ready plan was working wonders and was reducing costs while maintaining investments in long-term growth.

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Dynabook Europe getting out of UK

Dynabook Europe has confirmed that it is shutting its UK office and discontinuing sales in the UK, Ireland and Nordics, The UK office will be cleaned out by the end of April and 30 UK jobs will go.

Dynabook Inc is developing a new strategy for the UK, Ireland and Nordics where it uses an operations centre established in Asia, the vendor said. It added that arrangements are being put in place to honour the supply of products for sales commitments in the three affected countries/regions.

In November, Dynabook UK announced it had been selected to provide client PC hardware through the National Desktop and Notebook Agreement (NDNA), working with partners Stone, SCC and Insight. The framework is aimed at the higher-education sector and associated public sector organisations.

Cloudy Couchbase expands its ISV Partner Programme

Cloudy database platform outfit Couchbase has expanded its ISV (Independent Software Vendor) Partner Programme.

The programme will provide ISVs with a new Success Package that includes enhanced training, certifications and additional resources necessary to build and monetise their modern applications with ease. Complimenting the Success Package is the introduction of a new ISV Programme Guide with more information and resources to make it easier for ISV customers to get started with Couchbase.

Developing applications that must evolve rapidly can be difficult for organisations due to complexities like database sprawl, vendor lock-in or lack of resources. ISV partners use multiple disparate resources to obtain the necessary requirements for application development so they can innovate to meet demand.

Couchbase claims its Capella cloud data platform solves these problems by helping ISV partners consolidate their architecture and accelerate application development while delivering broad capabilities and a highly scalable architecture that drives down total cost of ownership.

Couchbase works with ISV partners to embed or bundle its cloud database platform with the applications or other solutions offered by ISV partners to their customers. By standardising on Couchbase, ISV partners can establish and expand their business, and improve revenue, margins and application time to market.

 

Companies see AI and machine learning as top priority

A new survey of 1,420 global IT leaders by Rackspace has found two-thirds of them rank artificial intelligence and machine learning (AI/ML) as a high priority for their organisations, an increase of 15 percentage points as compared to 2021.

The study polled IT professionals across industries, including financial services, manufacturing, retail, hospitality, government, and healthcare to understand the dynamics of AI/ML uptake amid growing economic uncertainty.

Underscoring the spread of AI/ML across businesses of all sectors, almost a third of respondents say they only started to launch AI/ML projects within the past year.

NSC takes on new staff

While big tech is downsizing,  IT Services market outfit, NSC, has made several significant senior appointments across its business.

Gavin Bounds has been appointed as the company’s chief operating officer. Bounds has more than 30 years of experience working across EMEA and APAC and held several roles, including COO of Fujitsu’s multi-billion EMEIA and Americas regions. He will lead NSC’s global delivery teams and play a key role in shaping the future direction of the company.

Bounds is supported by another new hire Keith Whitehead, who has joined NSC as Head of Logistics and will be responsible for NSC’s Global Logistics, providing end-to-end services for the entire technology asset lifecycle – critical in this period of supply chain constraints and significant product shortages.

Moody gets Rackspace to help with datasets

Rackspace has partnered with global financial intelligence services company, Moody’s Analytics.

The big idea is to help Moody’s Analytics manage datasets involving 400 million firms to empower the financial firm to improve its existing risk profile offering and bring new competitive services to its clients.

Moody’s Analytics is a globally integrated risk assessment firm that empowers business leaders to make better and faster data-driven decisions through insights and analytical solutions.