What is HPE's professed core business? We know its not software - that got spun out. We know its not consulting or services - that was spun as well. We know its not computers or printers - also spun. We know its not test equipment - spun long ago. We know its not cloud - that was killed and / or also spun. Is it hyperconverged infrastructure? That seems to be the only thing left. If thats the case how is what it offers better / different than Nutanix? Its just so confusing trying to figure out what HPE wants to be and where it fits in the ecosystem. Perhaps that is the key to understanding what will remain after HPE next. Thoughts?
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https://www.techrepublic.com/article/why-hpe-discover-is-the-companys-last-opportunity-to-tell-its-story-and-prove-its-value/
And so what did we find out after Discover? I still dont get it.... Maybe Im dense as dirt? I dont get what Meg's strategy has done to benefit HPE in findings its position to grow in the industry.
Have a gander at this: https://www.computerworld.com/article/3146568/cloud-computing/and-there-she-goes-hpe-jettisons-both-openstack-and-cloud-foundry-initiatives.html
You are not the only one that is perplexed.
Core business? Real Estate sales! Good Luck to All!
Hybrid IT, Aruba and Services?? ... you are drinking the cool aid too much. Hybrid IT = boxes. Services = high price infrastructure consulting. Go talk to a customer or a partner. They will tell you it's fluff. Get real. Keep dreaming.
To be fair to The Meggot and Minions... Houston is not getting shut down... Just getting moved from some flood-prone buildings to somewhere nearby (TBD where), for engineering and admin.
Servers aren't manufactured in Houston anyway... They have not been, for a long time. Foxconn, Inventec, etc., build them.... DESIGN them, too! HPE just owns some IP that goes into them, and sticks the HP label on them, figuratively. Under-paid laborers in Elbonia and in Stanstanstanstanistan actually puts the labels on them.
Servers and PC boards and storage boxes and such are slapped into racks in Houston... Or were, before the flood. That is now being moved to Austin and to Wisconsin.
HPE can make money off of this, if The Meggot and Minions will STOP selling at way-way-way below costs, to their corporate buddy-ohs!
The core business, as defined by revenue (what has the largest $ sales and income) is the Enterprise Group. That's the servers and storage, mostly in Houston. You can check this out for yourself in the quarterly earnings announcements or search for "Hewlett-Packard Enterprise quarterly earnings" now on the web. The EG group brings in ~$7 billion a quarter, the other groups bring in ~$80 million to $190 million each.
When Meg shuts down Houston she will lose ~70% of revenue.
She will have orchestrated a massacre of $120 Billion Compaq/HP into Enterprise now worth ~$38 Billion and HP Inc worth ~$44 Billion. Not to mention 10's of thousands of careers.
Without Houston/Compaq HPE will be worth ~$28 Billion less.
You got that right - nearly 2 years later and its still the same old sad story: http://www.foxbusiness.com/features/2015/09/17/hp-is-not-turnaround-its-bloodbath.html
You cant slash yourself to greatness and innovation - you have to invest - that takes time and money. At some point you have to stick and stake in the ground. Decide what you want to do and execute. Im no Uncle Larry fan but at least Big Red O is driving to somewhere. Aunt Meg just circles around in a cul-de-sac throwing passengers out and running over them as she goes.
"What is HPE's professed core business?"
Nothing
It's simple. Bill and Dave said "Don't focus on the stock price. It will take care of itself." Carly was brought in to focus on stock price because Lew wasn't.
Thank you.
Without a vision, direction or purpose we are slowly being sliced / diced / and shuffled to and fro with a master plan to eventually consolidate into nothingness. Its like tossing a salad and as more and more of the ingredients are flung out of the bowl and discarded its suddenly revealed that there is nothing left.
HP lost its direction in 2000 following the departure of Lew Platt. Then a bozo came along in 2006 and completely gutted the R&D in the company and decimated all the employee benefits and took all the money for himself and his cronies. Thankfully the bozo was booted out in 2010. But by then the company had already lost its ways and there was no recovery path. The aftermath is playing out for the last 7 years. Time will tell how much longer.
HP/HPE lost it's direction in 2010. Fired Marc Hurd, hired Leo Apotheker and purchased Autonomy Corporation in 2011 for 11 biillion. That purchase was over priced by 9 billion and HP has back peddled ever since. Exec bonuses can never go, so they move things around so the moving target can never be evaluated correctly and the exec's stay on top getting bonuses while they cancel programs, lay off people and continue to churn the company into dust.
I was caught up in the 2012 WFR program and was caught completely off guard. Just meeting employee target numbers to keep the income statement showing favorable direction and keeping our investors happy. It didn't work. They did not have clear vision and could not execute their plans and yet most execs kept their jobs and bonuses.
Sigh...
Hybrid IT.. yeah right the world is moving clound cloud cloud. Aruba.. until the next better thing comes along.. services are being annihilated and then what?
Death my friend, just death.
Hybrid IT, Aruba (WLAN) and Services. If you didn't know this you should volunteer for the next WFR.