CSC deal makes Hewlett Packard "100% channel"

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CSC deal makes Hewlett Packard "100% channel"

Hewlett Packard Enterprise CEO Meg Whitman said the spinoff merger of HPE's US$20 billion Enterprise Services business with systems integrator CSC makes HPE a "100 percent channel-focused" company.

"The message for the partner community around this spinoff is we now are even more enthusiastic about the partner community – if that is even possible – because we are pretty enthusiastic," said Whitman in an interview Wednesday US-time with CRN USA at HPE's Discover conference in Las Vegas.

"We have got to partner even more aggressively with our partner community to deliver software, to deliver converged infrastructure, to deliver hyper-converged. We have no business now that doesn't go through partners."

The HPE tax-free spinoff, which was announced last month and is expected to be completed by March 31, 2017, creates with CSC a US$26 billion pure-play global services giant. HPE shareholders will own approximately 50 percent of the new company.

HPE executive vice president Antonio Neri, who oversees HPE's US$28 billion Enterprise Group business, said he expects the percentage of sales going through partners – currently at 70 percent – to increase in the wake of the HPE Enterprise Services spinoff. "Channel partners are the main route to market for us," he said.

"The channel partners are critical for us," he said. "Everything I do, I do with channel partners in mind. Everything I do for my sales force I give to the channel partners.".

What's more, Neri said he sees the Enterprise Services spinoff shining the spotlight even more on HPE's Technology Services business, which is working closely with solution providers. "We are doing a lot of work between channel partners and [Technology Services] to enable partners to use those [Technology Services] capabilities even more," he said.

This article originally appeared at

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