The Six Five team discusses HPE’s acquisition of OpsRamp.
If you are interested in watching the full episode you can check it out here.
Disclaimer: The Six Five Webcast is for information and entertainment purposes only. Over the course of this webcast, we may talk about companies that are publicly traded and we may even reference that fact and their equity share price, but please do not take anything that we say as a recommendation about what you should do with your investment dollars. We are not investment advisors and we ask that you do not treat us as such.
Transcript:
Daniel Newman: HPE acquisition rampage. I was chatting up Antonio, I was in New York with them. He didn’t say anything to me about it. And then all of a sudden the next day, there it goes. Another acquisition. This time OpsRamp.
Patrick Moorhead: Yeah, so again, HP is on a tuck-in acquisition and integrate tear to build their own cloud data security networking fabric, I mean, an everything-fabric company and OpsRamp is a leading company that, again, I hate to use the word ITOM because that’s a Gartner term, but it’s monitoring, observability, automating and managing IT infrastructure in the private cloud and in the public cloud. So it’s a hybrid multi-cloud solution. I love this acquisition because it fills in so many different blanks out there about what HPE can do and Daniel, I mean observability, hot. AIOps, hot, hot. Hybrid multi-cloud, hot.
So this hits on three or four things that I’ve fallen in love with this. Customers will have to make distinct choices versus I’ll call them category killer products. For instance, observability. How does this work with Splunk or Dynatrace or something like that or App D from Cisco. The final comment I’ll make is this also falls into my hybrid multi-cloud pitch, which is, it’s all about fabrics. And this is a hybrid multi-cloud fabric where HPE can make money even if their customers are in the public cloud. It’s something that Cisco has done and I give them a lot of credit for. I’m going to now give HPE credit for this as well.
Daniel Newman: Yeah. You hit it pretty straightforward Pat. And I think you make a good point about the category killer versus the sort of expanded. We’ve seen Cisco make big inroads into observability. We’re seeing HPE now. We’ve seen IBM get much deeper into this space and Starna and others. I think the idea of as this data proliferation ecosystem infrastructure, being able to keep an eye on all of your hardware and then of course all your data and being able to make sure your system is running efficiently and effectively. This is big business. And I also see a pretty significant opportunity for a company like HPE to GreenLake this. So everything about HPE is about subscription, moving to everything as a service model. And as far as I’m concerned, Pat, that’s what the play is here. The play is this becomes part of GreenLake, it becomes an overlay, it becomes a subscription that becomes a data-driven, cloud based way to keep an eye on all your hardware, all your software.
And eventually, like I said, it moves towards full stack observability. HP has partnerships with companies like Splunk. I think the “coop-etition” concept doesn’t really go away here, but I think having something in-house that is off the shelf that can be delivered and put into the GreenLake portfolio was the move here. I think HPE is going to continue to make lots of these kinds of tuck-ins and I think IT ops management, observability, whatever you want to call it, is a red-hot area in focus. And HPE has been on this roadmap for a while and seems to continue to be doing this. So good acquisition, nice tuck-in, should be a long-term engine for the company’s growth.
Author Information
Daniel is the CEO of The Futurum Group. Living his life at the intersection of people and technology, Daniel works with the world’s largest technology brands exploring Digital Transformation and how it is influencing the enterprise.
From the leading edge of AI to global technology policy, Daniel makes the connections between business, people and tech that are required for companies to benefit most from their technology investments. Daniel is a top 5 globally ranked industry analyst and his ideas are regularly cited or shared in television appearances by CNBC, Bloomberg, Wall Street Journal and hundreds of other sites around the world.
A 7x Best-Selling Author including his most recent book “Human/Machine.” Daniel is also a Forbes and MarketWatch (Dow Jones) contributor.
An MBA and Former Graduate Adjunct Faculty, Daniel is an Austin Texas transplant after 40 years in Chicago. His speaking takes him around the world each year as he shares his vision of the role technology will play in our future.
