{"id":15101,"date":"2019-05-17T15:36:12","date_gmt":"2019-05-17T15:36:12","guid":{"rendered":"https:\/\/rsoftsolution.com\/blog\/hpe-is-buying-cray-for-1-3-billion.html"},"modified":"2019-05-17T15:36:12","modified_gmt":"2019-05-17T15:36:12","slug":"hpe-is-buying-cray-for-1-3-billion","status":"publish","type":"post","link":"https:\/\/www.rbsitsoftwaresolution.in\/blog\/hpe-is-buying-cray-for-1-3-billion.html","title":{"rendered":"HPE is buying Cray for $1.3 billion"},"content":{"rendered":"

HPE<\/a> announced it was buying Cray<\/a> for $1.3 billion, giving it access to the company\u2019s high-performance computing portfolio, and perhaps a foothold into quantum computing in the future.<\/p>\n

The purchase price was $35 a share, a $5.19 premium over yesterday\u2019s close of $29.81 a share. Cray <\/a> was founded in the 1970s and for a time represented the cutting edge of super computing in the United States, but times have changed, and as the market has shifted, a deal like this makes sense.<\/p>\n

Ray Wang, founder and principal analyst at Constellation Research, says this is about consolidation at the high end of the market. \u201cThis is a smart acquisition for HPE. Cray has been losing money for some time but had a great portfolio of IP and patents that is key for the quantum era,\u201d he told TechCrunch.<\/p>\n

While HPE\u2019s president and CEO Antonio Neri didn\u2019t see it in those terms, he did see an opportunity in combining the two organizations. \u201cBy combining our world-class teams and technology, we will have the opportunity to drive the next generation of high performance computing and play an important part in advancing the way people live and work,\u201d he said in a statement.<\/p>\n

Cray CEO and president Peter Ungaro agreed. \u201cWe believe that the combination of Cray and HPE creates an industry leader in the fast-growing High-Performance Computing and AI markets and creates a number of opportunities that neither company would likely be able to capture on their own,\u201d he wrote in a blog post announcing the deal.<\/p>\n

While it\u2019s not clear how this will work over time, this type of consolidation usually involves some job loss on the operations side of the house as the two companies become one. It is also unclear how this will affect Cray\u2019s customers as it moves to become part of HPE, but HPE has plans to create a high-performance computing product family using its new assets.<\/p>\n

HPE was formed when HP split into two companies<\/a> in 2014. HP Inc. is the printer division, while HPE is the enterprise side.<\/p>\n

The deal is subject to the typical regulatory oversight, but if all goes well, it is expected to close in HPE\u2019s fiscal Q1 2020.<\/p>\n

\n

Intel and Cray are building a $500 million \u2018exascale\u2019 supercomputer for Argonne National Lab<\/a><\/p>\n<\/blockquote>\n

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Article source: http:\/\/feedproxy.google.com\/~r\/techcrunchIt\/~3\/VM10BzOMMrQ\/<\/p>","protected":false},"excerpt":{"rendered":"

HPE announced it was buying Cray for $1.3 billion, giving it access to the company\u2019s high-performance computing portfolio, and perhaps a foothold into quantum computing in the future. The purchase <\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[19],"tags":[25],"class_list":["post-15101","post","type-post","status-publish","format-standard","hentry","category-enterprise-software","tag-enterprise"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t