Hewlett Packard Enterprise sells servers, storage, networking and hybrid cloud software to large companies, governments and service providers. Its GreenLake platform lets customers run on-premises hardware as a metered cloud service, and its Cray supercomputers run national lab and AI training workloads. The networking business, built on Aruba and Juniper Networks, supplies campus, data-center and routing equipment. Revenue comes from hardware sales, multiyear support contracts, financing and subscriptions. The company traces its roots to Hewlett-Packard, founded in 1939, became a separate public company in 2015 and is headquartered in Houston, Texas.
Company Size
10,001+
Company Stage
IPO
Headquarters
Houston, Texas
Founded
1939
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HPE today announced the acquisition of CloudPhysics alongside the launch of its infrastructure recommendations engine.
HPE unveiled four new ProLiant Gen13 Servers powered by 6th Generation AMD EPYC processors, designed to accelerate enterprise AI workloads whilst strengthening security and simplifying operations. The lineup includes the HPE ProLiant DL585a Gen13, supporting up to eight GPUs for AI inference and agentic AI workloads, and the compact DL525 Gen13 with up to 256 cores for high-throughput applications like fraud detection. Two OCP-compliant systems, the ProLiant XD245 and XD285, maximise compute density for data-intensive AI and HPC workloads through efficient shared power and cooling. The servers feature HPE iLO 8 with industry-first automatic self-encrypting drive capabilities and post-quantum cryptography readiness. HPE Compute Ops Management delivers 50% reduction in server management time. The DL525 launches later in 2026, with the DL585a following in early 2027.
Toshiba Asia Pacific has validated a quantum-safe communications solution with SpeQtral and HPE to protect critical infrastructure and government networks from quantum computing threats. The solution integrates Toshiba's Quantum-secure Networking Platform with HPE Networking SRX Next Generation Firewall, enabling organisations to strengthen IPsec VPN connections whilst preserving existing infrastructure. The system combines Post-Quantum Cryptography and Quantum Key Distribution technologies to protect against "harvest now, decrypt later" attacks, where encrypted data captured today could be decrypted by future quantum computers. SpeQtral led the integration, demonstrating secure IPsec VPN operation using quantum-safe key material. The solution will be showcased at GovWare 2026 in Singapore from 13-15 October, offering critical information infrastructure operators a practical pathway to quantum-safe security.
Bank of America has reiterated its buy rating on Hewlett Packard Enterprise ahead of the company's networking investor day on 30 September. Analyst Wamsi Mohan maintained an $88 price target, representing roughly 40% upside from recent levels. HPE shares have more than doubled this year following the company's $14 billion acquisition of Juniper Networks in July. The deal transformed networking into HPE's fastest-growing segment, with third-quarter networking revenue jumping 74.9% to $2.9 billion. Bank of America expects the data centre networking market to grow about 40% annually through 2030, up from HPE's earlier 15% estimate. The firm projects HPE's networking revenue will compound at 15% to 20% yearly. However, BofA's model shows free cash flow potentially dipping to $2.75 billion in fiscal 2028 as capital spending rises sharply.
Hewlett Packard Enterprise shares jumped 4.5% on Wednesday after announcing a $1.2 billion AI systems deal with cloud provider Vultr and raising its networking revenue outlook. The agreement marks the first major order for AMD Helios AI Rack by HPE systems, which will be deployed across Vultr's US data centres. Each rack will integrate 72 AMD Instinct MI455X GPUs alongside HPE's purpose-built switching technology to support Vultr's AI cloud services. HPE also increased its fiscal 2027 networking revenue growth forecast to the high-teens to low-20s percentage range. The company projects data centre networking revenue will grow at a compound annual rate in the 50% range through fiscal 2029, whilst routing revenue is expected to increase in the low-to-high 20s range over the same period.