HP Inks Opsware And Outsourcing Deals - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
Business & Finance

HP Inks Opsware And Outsourcing Deals

Fiorina says 'secret sauce' will help company increase its IT market share

Hewlett-Packard signed its second mega-outsourcing deal of the year last week and formed an alliance to bolster its efforts in utility computing. Both developments reinforced comments that chairman and CEO Carly Fiorina made to Wall Street analysts: The company is on track to gain a greater share of the IT market.

HP firmed plans last week to take over the IT operations of telecommunications company Ericsson, including hiring 1,000 of Ericsson's IT employees. HP beat out IBM and others for the five-year contract; financial terms weren't disclosed. HP says it's one of its biggest deals of the year and includes implementing a common global operating environment, automating data-center operations, and consolidating servers and desktops. In April, the company signed a $3 billion, 10-year outsourcing contract with Procter & Gamble Co.

HP says it will resell Opsware Inc.'s technologies for automating software provisioning as part of its Utility Data Center offerings, which are designed to help companies cut costs by using computing resources on demand.

HP's focus on utility computing has gotten the interest of HP hardware customers such as Charlie Orndorff, CIO at Crossmark Inc., a technology vendor for the consumer-goods industry. Crossmark is considering HP's computing-on-demand model because of benefits in procurement, asset management, and reduced-capital expenditures, he says. Still, Orndorff hopes HP doesn't pull back on its investments in servers and storage as it grows services and utility-computing business. "Sometimes a company can get side-tracked from its core competencies where a majority of its clients have invested," he says.

Fiorina understands those concerns. "There are some who would say our breadth is a distraction," she told analysts. But HP's diverse portfolio, she says, is its "secret sauce."

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
State of the Cloud
State of the Cloud
Cloud has drastically changed how IT organizations consume and deploy services in the digital age. This research report will delve into public, private and hybrid cloud adoption trends, with a special focus on infrastructure as a service and its role in the enterprise. Find out the challenges organizations are experiencing, and the technologies and strategies they are using to manage and mitigate those challenges today.
News
COVID-19: Using Data to Map Infections, Hospital Beds, and More
Jessica Davis, Senior Editor, Enterprise Apps,  3/25/2020
Commentary
Enterprise Guide to Robotic Process Automation
Cathleen Gagne, Managing Editor, InformationWeek,  3/23/2020
Slideshows
How Startup Innovation Can Help Enterprises Face COVID-19
Joao-Pierre S. Ruth, Senior Writer,  3/24/2020
Register for InformationWeek Newsletters
Video
Current Issue
IT Careers: Tech Drives Constant Change
Advances in information technology and management concepts mean that IT professionals must update their skill sets, even their career goals on an almost yearly basis. In this IT Trend Report, experts share advice on how IT pros can keep up with this every-changing job market. Read it today!
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll