HPE to acquire Silver Peak for $925 million
Merger will strengthen the company's standing in the fast-growing SD-WAN space
In a statement, the San Jose-based tech giant said the freshly-acquired Silver Peak will be combined with its Aruba business to strengthen its standing in the fast-growing SD-WAN space, with the move expected to "drive significant revenue opportunities" for its Edge segment.
By combining Silver Peak’s SD-WAN offerings with Aruba's SD-Branch solutions, HPE is also aiming to simplify customers’ branch office and WAN deployments at a time when remote working has never been so crucial.
"HPE was an early mover in identifying the opportunity at the edge and that trend is accelerating in a post-COVID world,” commented Antonio Neri, president and CEO of HPE.
"With this acquisition we are accelerating our edge-to-cloud strategy to provide a true distributed cloud model and cloud experience for all apps and data wherever they live.
"Silver Peak’s innovative team and technology bring critical capabilities that will help our customers modernize and transform their networks to securely connect any edge to any cloud."
A leader in the SD-WAN market, Silver Peak boasts more than 1,500 customers around the world, helping service providers quickly migrate to secure, enterprise-grade SD-WAN connectivity and improving application performance.
As applications continue to shift to the cloud, the acquisition provides HPE with a chance to capitalise on a market that is experiencing significant growth. The combination of Silver Peak's SD-WAN offerings and Aruba's all-in-one SD-Branch strategy and remote worker solutions will also enable HPE to better address more customer requirements, the firm said.
“Bringing together Silver Peak’s advanced SD-WAN solutions with Aruba's industry-leading networking portfolio provides an unprecedented opportunity to deliver comprehensive business-driven solutions to our customers,” commented David Hughes, founder and CEO of Silver Peak.
"The Silver Peak and Aruba teams share a common vision and goal to provide simplicity, scalability, and application-awareness at the edge.
"With Aruba’s extensive go-to-market, we will further accelerate our ability to drive faster adoption of these transformational technologies. We are excited for the opportunities we will have as a combined team to accelerate innovation in this fast-growing segment of the networking market."
HPE said it expects the transaction to close in the fourth quarter of its fiscal year 2020, subject to regulatory approvals and other customary closing conditions.
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