Monday, 23 January 2017 10:52

HPE acquires SimpliVity in all-cash deal


Hewlett Packard Enterprise announced last week that it would acquire SimpliVity, a provider of software-defined, hyperconverged infrastructure, for US$650 million in cash.

The market for hyperconverged products was estimated to be approximately US$2.4 billion in 2016 and was expected to grow at a compound rate of 25% to nearly US$6 billion by 2020, HPE said in a media release about the acquisition.

It said HPE's infrastructure, automation and cloud management software plus SimpliVity's software-defined data management platform would help deliver the lone "built-for-enterprise" hyperconverged offering.

SimpliVity is a private company that was founded in 2009 and is headquartered in Westborough, Massachusetts.

"This transaction expands HPE’s software-defined capability and fits squarely within our strategy to make Hybrid IT simple for customers," the release quoted Meg Whitman, HPE president and chief executive, as saying.

"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."

Hyperconvergence refers to the practice of consolidating IT components into a single optimised platform with centralised management. It enables increased use and lower costs.


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Sam Varghese

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Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.



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