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HP’s Storage Division Reports Growth in 3Q15

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3PAR and converged storage

Previously in this series, we discussedthe performance of The Hewlett-Packard Company’s (HPQ) Enterprise Group in 3Q15. We also looked at the performances of Enterprise Group’s components. Although Hewlett-Packard’s (commonly known as HP) Storage division revenues declined by 2% to $784 million in 3Q15, in constant currency terms, it reported a 7% growth.

HP’s Storage units, which include 3PAR and converged storage, continued to gain in 3Q15, as evidenced by the growth in their revenues. Converged Storage revenues stood at $393 million, a growth of 8% on a YoY (year-over-year) basis, whereas traditional storage revenues fell by 9% to $391 million in 3Q15. HP expects Storage to be a growth driver in constant currency in 4Q15.

To find out more detail about HP’s 3par storage, please read the series HP’s 3Par Storage Improved Features Redefine the Storage Platform.

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HP leads in cloud infrastructure space

Owing to its strong position in the computer servers—not to mention its expansion and growth in the storage space—HP managed to beat Cisco Systems (CSCO) and emerge as a leader in the cloud infrastructure space, with 13% of the market share in 2Q15, according to Synergy Research.

Other leading players like Microsoft Corporation (MSFT) and VMware (VMW) enjoy prominent places in this space due to their position in server OS (operating systems) and virtualization applications. Dell (DELL) and IBM (IBM), in particular, also have strong footholds in a range of cloud technology markets.

If you’re optimistic about HP, you might consider investing in the Technology Select Sector SPDR (XLK), which invests about 1.25% of its holdings in the company.

In the next part of this series, we’ll look at how HP’s Enterprise Services performed in 3Q15.

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