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HP and Microsoft announce $250 million deal

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HP and Microsoft have announced a three-year agreement to invest $250 million in next-generation IT infrastructure, advancing cloud computing initiatives, speeding up application implementation and simplify technology for businesses of all sizes.

The strategic partnership is intended to improve the customer experience for developing, deploying and managing IT environments, from infrastructure to application integration.


“This agreement, which spans hardware, software and services, will enable business customers to optimize performance with push-button simplicity at the lowest-possible total cost of ownership”, said Desmond Nair, Server and Tools Business Group Lead, Microsoft South Africa.

Manoj Bhoola, Enterprise Storage, Servers and Networking (ESSN) Country Manager, Enterprise Business (EB), HP South Africa, added that the collaboration will allow the two companies to focus on transformative technology solutions that reduce costs, generate business growth and accelerate innovation.

Microsoft and HP’s plans include comprehensive and prepackaged application solutions, virtualization offerings and integrated management tools to increase business efficiency and performance in a rapid changing business environment.

The solutions will translate in converging server, storage, network and application resources in turnkey “machines”, integrating business applications such as Microsoft Exchange Server and Microsoft SQL Server. Furthermore, the two companies will work closely on virtualization and management tools through integration of automate applications like HP Insight Software, HP Business Technology Optimisation and Microsoft System Center.

Finally, the joint solutions will enable customers to integrate private or public cloud computing models in their businesses through Windows Azure platform, utilizing data center investments managed through a common framework.

According to the agreement, the offerings are expected to be delivered in the next three years. Both parties will increase their global investment by 10 times to drive new opportunities for the 32.000 HP and Microsoft Frontline channel partners, who will benefit from a software and hardware infrastructure modernization, shortened sale cycles, flexible financing options through HP Financial Services, jointly funded marketing campaigns and various strategy, ROI and business workshops.

HP is one of the world’s largest technology companies, bringing together a portfolio that spans printing, personal computing, software, services and IT infrastructure for customers worldwide.

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