Hewlett Packard Enterprise to swallow SimpliVity for $650m

HPE will pay in cash to acquire hyperconverged player

Hewlett Packard Enterprise (HPE) is set to acquire SimpliVity, furthering its presence in the hyperconvergence market.

SimpliVity, which was founded in 2009, specialises in software-defined, hyperconverged infrastructure and competes with the likes of Nutanix.

According to HPE, the $650 million cash deal will bring several new technologies to its existing hyperconverged infrastructure portfolio, including simplified built-in enterprise data protection and resiliency, efficient enterprise storage and virtualisation, always-on compression and de-duplication with guaranteed 90% capacity savings across storage and backup, and policy-based VM-centric management to simplify operations and increase data mobility.

Announcing the deal, HPE CEO Meg Whitman said: "This transaction expands HPE's software-defined capability and fits squarely within our strategy to make hybrid IT simple for customers.

Advertisement
Advertisement - Article continues below
Advertisement - Article continues below

"More and more customers are looking for solutions that bring them secure, highly resilient, on-premises infrastructure at cloud economics. That's exactly where we're focused."

SimpliVity's CEO, Doron Kempel, added: "Over the past eight years we've been on an incredible journey and joining HPE is the logical next step for SimpliVity.

"HPE's broad sales reach, extensive partner channel, complementary technology and commitment to innovation will accelerate SimpliVity's journey and significantly strengthen our ability to deliver the best-in-class hybrid IT solutions our customers are looking for."

However, the acquisition of SimpliVity comes just weeks after another infrastructure giant, Huawei, announced it would be incorporating SimpliVity's OmniStack technology into its FusionServer range. It's unclear what effect, if any, this new deal will have on that agreement. 

The deal, which is expected to complete by 30 April 2017, is the second purchase the company has made in the past six months. In August 2016, it strengthened its high-performance computing (HPC) offerings with the $275 million acquisition of SGI.

Picture: HPE CEO Meg Whitman, credit: Bigstock

Featured Resources

Digital Risk Report 2020

A global view into the impact of digital transformation on risk and security management

Download now

6 ways your business could suffer if you don’t backup Office 365

Office 365 makes it easy to lose valuable data regularly, unpredictably, unintentionally, and for good

Download now

Get the best out of your workforce

7 steps to unleashing their true potential with robotic process automation

Download now

8 digital best practices for IT professionals

Don't leave anything to chance when going digital

Download now
Advertisement

Recommended

Visit/strategy/28233/everything-you-need-to-know-about-hpe
Business strategy

Everything you need to know about HPE

14 Feb 2020
Visit/hardware/354336/the-it-pro-products-of-the-year-2019-all-the-years-best-hardware
Hardware

The IT Pro Products of the Year 2019: All the year’s best hardware

24 Dec 2019
Visit/cloud/public-cloud/354255/hpe-takes-on-public-cloud-with-greenlake-central
public cloud

HPE takes on public cloud with GreenLake Central

3 Dec 2019
Visit/cloud/hybrid-cloud/354202/hpe-hybrid-it-revenue-falls-11-triggering-share-slump
hybrid cloud

HPE hybrid IT revenue falls 11% triggering share slump

26 Nov 2019

Most Popular

Visit/mobile/28299/how-to-use-chromecast-without-wi-fi
Mobile

How to use Chromecast without Wi-Fi

5 Feb 2020
Visit/technology/artificial-intelligence-ai/354796/ai-identifies-11-earth-bound-asteroids
artificial intelligence (AI)

AI identifies 11 earth-bound asteroids

18 Feb 2020
Visit/operating-systems/27717/how-to-fix-a-stuck-windows-10-update
operating systems

How to fix a stuck Windows 10 update

12 Feb 2020
Visit/security/34616/the-top-ten-password-cracking-techniques-used-by-hackers
Security

The top ten password-cracking techniques used by hackers

10 Feb 2020