{"id":15051,"date":"2024-01-12T17:54:40","date_gmt":"2024-01-12T16:54:40","guid":{"rendered":"https:\/\/telecomkh.info\/?p=15051"},"modified":"2024-01-12T17:54:40","modified_gmt":"2024-01-12T16:54:40","slug":"hpe-to-acquire-juniper-networks-to-accelerate-ai-driven-innovation","status":"publish","type":"post","link":"https:\/\/telecomkh.info\/?p=15051","title":{"rendered":"HPE to acquire Juniper Networks to accelerate AI-driven innovation"},"content":{"rendered":"

Highly complementary combination enhances secure, unified, cloud and AI-native networking to drive innovation from edge to cloud to exascale<\/strong><\/p>\n

Hewlett Packard Enterprise and Juniper Networks, Inc., a leader in AI-native networks, announced that the companies have entered a definitive agreement under which HPE will acquire Juniper in an all-cash transaction for $40.00 per share, representing an equity value of approximately $14 billion.
\nThe combination of HPE and Juniper advances HPE\u2019s portfolio mix shift toward higher-growth solutions and strengthens its high-margin networking business, accelerating HPE\u2019s sustainable profitable growth strategy. The transaction is expected to be accretive to non-GAAP EPS and free cash flow in the first year post close.
\nThe acquisition is expected to double HPE\u2019s networking business, creating a new networking leader with a comprehensive portfolio that presents customers and partners with a compelling new choice to drive business value. The explosion of AI and hybrid cloud-driven business is accelerating demand for secure, unified technology solutions that connect, protect, and analyze companies\u2019 data from edge to cloud. These trends, and AI specifically, will continue to be the most disruptive workloads for companies, and HPE has been aligning its portfolio to capitalize on these substantial IT trends with networking as a critical connective component.
\nCombining HPE and Juniper\u2019s complementary portfolios supercharges HPE\u2019s edge-to-cloud strategy with an ability to lead in an AI-native environment based on a foundational cloud-native architecture. Together, HPE and Juniper will provide customers of all sizes with a complete, secure portfolio that enables the networking architecture necessary to manage and simplify their expanding and increasingly complex connectivity needs. Leveraging industry-leading AI, the combined company is expected to create better user and operator experiences, benefitting customers\u2019 high-performance networks and cloud data centers.
\nThrough its suite of cloud-delivered networking solutions, software, and services including the Mist AI and Cloud platform, Juniper helps organizations securely and efficiently access the mission-critical cloud infrastructure that serves as the foundation of digital and AI strategies. The combination with HPE Aruba Networking and purposely designed HPE AI interconnect fabric will bring together enterprise reach, and cloud-native and AI-native management and control, to create a premier industry player that will accelerate innovation to deliver further modernized networking optimized for hybrid cloud and AI.
\nUpon completion of the transaction, Juniper CEO Rami Rahim will lead the combined HPE networking business, reporting to HPE President and CEO Antonio Neri.
\n\u201cHPE\u2019s acquisition of Juniper represents an important inflection point in the industry and will change the dynamics in the networking market and provide customers and partners with a new alternative that meets their toughest demands,\u201d said Neri. \u201cThis transaction will strengthen HPE\u2019s position at the nexus of accelerating macro-AI trends, expand our total addressable market, and drive further innovation for customers as we help bridge the AI-native and cloud-native worlds, while also generating significant value for shareholders. I am excited to welcome Juniper\u2019s talented employees to our team as we bring together two companies with complementary portfolios and proven track records of driving innovation within the industry.\u201d
\n\u201cOur multi-year focus on innovative, secure AI-native solutions has driven Juniper Networks\u2019 outstanding performance,\u201d said Rami Rahim, CEO of Juniper Networks. \u201cWe have successfully delivered exceptional user experiences and simplified operations, and by joining HPE, I believe we can accelerate the next phase of our journey. In addition, this combination maximizes value for our shareholders through a meaningful all-cash premium. We look forward to working with the talented HPE team to drive innovation for enterprise, service provider and cloud customers across all domains, including campus, branch, data center and the wide area network.\u201d<\/p>\n

 <\/p>\n

Compelling Strategic Benefits<\/strong><\/p>\n

\u2022 Compelling pro forma financial profile.<\/strong> In addition to the expected non-GAAP accretion, the combined company is expected to have attractive top- and bottom-line growth opportunities immediately and in the long term.<\/p>\n

\u2022 Positions HPE for long-term growth for shareholders and greater investment capacity.<\/strong> With Juniper, HPE\u2019s portfolio will be weighted toward higher-growth, higher-margin businesses with large free cash flow potential, positioning HPE to enhance shareholder return and enabling additional investments in high-growth areas, such as AI and cloud. On a pro forma basis, the new networking segment will increase from approximately 18% of total HPE revenue as of fiscal year 2023 to approximately 31%[1] and contribute more than 56%1,[2] of HPE\u2019s total operating income.<\/p>\n

\u2022 Complementary capabilities to deliver next-generation AI-native networking and enable new digital experiences through secure, intelligent connectivity.<\/strong> Networking will become the new core business and architecture foundation for HPE\u2019s Hybrid Cloud and AI solutions delivered through our HPE GreenLake hybrid cloud platform. The combined company will offer secure, end-to-end AI-native solutions that are built on the foundation of cloud, high performance, and experience-first, and will also have the ability to collect, analyze, and act on aggregated telemetry across a broader installed base. This will drive even better end-user experiences and streamlined network operations for our customers.<\/p>\n

\u2022 Accelerates HPE\u2019s strategic evolution and expands total addressable market.<\/strong> The acquisition increases the scope of HPE\u2019s networking business and will create meaningful opportunities to provide even more comprehensive solutions to Juniper\u2019s installed base of enterprise customers, communication service providers and tier-one cloud customers, as well as launches HPE into adjacent large segments, including data center networking, firewalls, and routers. It also grows Juniper\u2019s footprint in data centers and cloud providers.<\/p>\n

Above, image credited to HPE\u00a0<\/em><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Highly complementary combination enhances secure, unified, cloud and AI-native networking to drive innovation from edge to cloud to exascale Hewlett Packard Enterprise and Juniper Networks, Inc., a leader in AI-native networks, announced that the companies have entered a definitive agreement under which HPE will acquire Juniper in an all-cash transaction for $40.00 per share, representing … <\/p>\n

Continue reading \u00abHPE to acquire Juniper Networks to accelerate AI-driven innovation\u00bb<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":15052,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[40],"tags":[],"_links":{"self":[{"href":"https:\/\/telecomkh.info\/index.php?rest_route=\/wp\/v2\/posts\/15051"}],"collection":[{"href":"https:\/\/telecomkh.info\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomkh.info\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomkh.info\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomkh.info\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=15051"}],"version-history":[{"count":1,"href":"https:\/\/telecomkh.info\/index.php?rest_route=\/wp\/v2\/posts\/15051\/revisions"}],"predecessor-version":[{"id":15053,"href":"https:\/\/telecomkh.info\/index.php?rest_route=\/wp\/v2\/posts\/15051\/revisions\/15053"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/telecomkh.info\/index.php?rest_route=\/wp\/v2\/media\/15052"}],"wp:attachment":[{"href":"https:\/\/telecomkh.info\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=15051"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomkh.info\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=15051"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomkh.info\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=15051"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}