Hewlett-Packard enterprise eyes growth in converged infrastructure

Post-company split, Hewlett-Packard's enterprise business is seeing growth in the Australian market, and believes delivering on customer demand, particularly in the converged infrastructure market, is helping fuel growth.
Written by Aimee Chanthadavong, Contributor

It has been nearly six months since Hewlett-Packard announced that it was going to split into two separate businesses, with one focused on enterprise IT and the other on PCs and printers.

Alan Hyde, HP South Pacific enterprise group vice president and general manager, told ZDNet that it was the best move the company could have made, indicating that it has given the company the opportunity to have "laser precision" focus on each market.

"There's a real buzz here about the opportunity the separation is going to provide to us to really focus from an HP Enterprise point of view on meeting the needs of our the customers. It's so we can double down and get very good at delivering the new style of IT, without the distractions, or having to spread out investment across the $100 billion company that we are today," he said.

Since the split, HP's business has announced plans to enter the 3D printing market in 2016, has bolstered its big data strategy with Haven OnDemand, launched a virtual-reality display dubbed HP Zvr, and earlier this month expanded its server and storage capabilities with its Gen9 servers.

According to Hyde, former head of NEC Australia and ex-SAP ANZ chief, HP's overarching focus is on the "new style of IT", and delivering service layer solutions that satisfy four customer demands: Speed, flexibility, security, and delivering converged infrastructure, an increasingly large market for HP's enterprise business.

Hyde said the company will also be investing in its channel partners, as 80 percent of HP's Australian business is through its channel partners.

When asked how the company differs to what competitors are doing, Hyde said the depth and breadth of the company's products portfolio sets the company apart.

"There are a lot IT companies out there that recognise changes in the market, but their ability to provide solutions is very limited. They might be a specialist networking company, specialist storage, specialist server, and with these technologies it's how they all come together in an integrated way is going to help companies in the future. It also has all the assets to pull together to support the new style of IT, and that's what's fuelling our momentum," he said.

Another focus Hyde highlighted was growth, indicating that the company's market share in Australia has been "growing rapidly and taking market share".

During the last fiscal year, the company closed the fourth quarter with a mixed earnings report, with net income recorded at $2 billion, while revenue fell 1 percent, to $111.5 billion.

Despite the mixed results, CEO Meg Whitman at the time reiterated that the results are reflective of the company's "five-year turnaround", and the company would enter 2015 with the "strongest portfolio" in a decade.

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