The stock of Hewlett Packard Enterprise Co (NYSE:HPE) closed at $14.04 losing 1.89% in yesterday’s trading session. On Tuesday the company issued a statement revealing that it had plans underway to purchase a Boston-based cloud computing company. Its 2017 acquisition spree is objective since it will be seeking to give the company a competitive advantage over its rivals.
The cloud Technology Partners is HPE’s fifth acquisition of the year. However, the company has declined to disclose the particular terms of the deal.
CTP was founded in 2010 and has over the years been serving the various business clients with cloud computing consulting services. That has helped a large number of customers decide between the likes of Alphabet Inc (NASDAQ:GOOG) and Amazon.com, Inc (NASDAQ:AMZN).
The various clients that have been running their information technology on the cloud have been benefiting from the services from the startup. Avid Technology, Inc (NASDAQ:AVID) is one of those clients that have been able to reap from the wide array of services being provided by the startup.
The company’s spokesperson opined, “CTP’s architects have been designing, building and implementing IT solutions for Fortune 500 clients across industries and have completed almost 500 enterprise cloud transformation projects.”
He added that CTP and HPE were going to offer the various customers a comprehensive IT strategy that includes the traditional IT, private, managed as well as the public clouds.
It was in January that the Palo Alto-based company decided to purchase Simplivity, a hardware firm. It was acquired at a price of $650 million. A week later, HPE proceeded to buy Cloud Cruiser, which happens to be an IT management startup. Efforts were made to get it to admit to how much it had to spend in making the purchase. Unfortunately it declined to make that revelation.
An official working with the company stated Acquisitions had over the years been part and parcel of Hewlett Packard’s history. Other providers have resorted to the same business strategy before and attained immense business success.