Friday 12 September 2014

HP Acquires Eucalyptus--Positive Deal or else Bizarre Fire transaction?



Shock news this morning with the notice with the aim of HP is acquiring Eucalyptus, the vendor with the aim of has blazed a trail with its Amazon net Services-compliant confidential cloud solution. Eucalptus gained large attention recently whilst its first in command, Marten Mickos announced with the aim of he was suddenly in love with with the OpenStack – this despite expenditure years effective the humankind with the aim of OpenStack was a botched project. His seeming about-face at present starts to progress to a little impression. HP has, as soon as all, invested acutely in the sphere of building dazed OpenStack cloud. Neither company is commenting on the fee but sources put it to somebody it is a lesser amount of than $100 million. Eucalyptus has raised a little $55 million.

This is the at the outset large deal with the aim of HP has ready since it’s cataclysmically poor independence acquisition, the tremors of which are still being played dazed in the sphere of risk. Unfortunately it doesn’t seem like a first-class re-start in favor of the company and strength of character execute petty to let somebody have shareholders confidence with the aim of HP is a company with the aim of knows what did you say? It is liability.

The Eucalyptus Perspective
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It’s intense to not see to it that this deal the same as a fire transaction. Many industry insiders had prolonged assumed with the aim of Eucalyptus was running dazed of money and failing to see to it that massive traction – it was up touching a formidible foe in the sphere of the form of the OpenStack ecosystem and, despite the colossal credibility with the aim of first in command Mickos brought, near is lone so much single person can execute touching broader industry trends.

A vice- $100 million deal on $55 million of funding is a lesser amount of than a 2* return – while investors observably didn’t lose their money, this is by rebuff income a booming exit and again points to other of an “acqui-hire” than a deal of real substance.

The HP Perspective


Someplace to start on this single? Lone a hardly any months before HP re-launched its cloud offering under the code choose Helion. Helion was, in favor of all intents and purposes, purely a lick of paint on the existing OpenStack-based artifact which was getting token traction. I was pretty curt by the side of the occasion. The same as I wrote:

HP already has an OpenStack open cloud offering. I know for the reason that I keep getting billing emails (with a nil balance I ought to add) on a monthly basis. To be present straightforward I’ve in no way heard of somebody in point of fact using the platform, it seems very much a flat duck. And this notice lone seems to reiterate the status quo

So more readily than focusing on its opening cloud offering and executing the opportunity near, or else perhaps pivoting into Helion and pushing with the aim of platform, HP maintain ready yet one more about-face and maintain acquired Eucalyptus. The idea with the aim of this is creating a Frankenstein-like monster certainly springs to mind.

Single needs lone to look by the side of the employee changes in the sphere of the HP cloud division. It’s key executive, Biri Singh, gone carry on time. Martin Fink has been running the venture since after that and at present Mickos strength of character take in excess of – he’ll apparently be present coverage honestly to first in command Meg Whitman but whether no matter which can be present achieved agreed Whitman’s broad range of issues to focus on is anyone’s conjecture.

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