Crossroads

At the intersection of technology, finance and the Pacific Rim.

Monday, March 29, 2010

HP

There is a good profile of HP and their CEO, Mark Hurd in the latest issue of Forbes. A little known fact which surprised me: 70% of HP's sales come from Global 2000 customers. The article brings out the convergence of competition that is occurring in serving the large enterprise customers as follows:

With the explosion of computer networks and data, customers--willing to shell out for multiyear contracts of tens of millions of dollars and more--need a vendor that can manage many aspects of many businesses and help them find efficiencies within and among them. Clients don't want to deal with a dozen different salespeople from as many different companies every time they upgrade equipment or introduce a new app. The new titans of the one-stop world include Oracle, which recently added to its database empire the remains of Sun Microsystems ( JAVA- news - people ), maker of computer servers; IBM, the longtime consulting, software and mainframe powerhouse; Cisco Systems ( CSCO - news - people ), now with servers built into its network, and alliances with data storage giant EMC and virtualization software maker VMWare.

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