HPE CEO Neri says company will bet on edge computing, its own transformation
Hewlett Packard Enterprise said it will invest in managing edge-to-cloud data, multi-cloud model and a consumption based model while continuing its own digital transformation.
CEO Antonio Neri said HPE is exiting 6 years of digital transformation work and now is in a good position for the future. Edge computing means that "millions of clouds will all be connected," said Neri. "Every edge to every cloud. That's the future and why I'm excited about the future of the company."
HPE appears to be positioning itself to be an edge computing player as well as a data manager and orchestrator. Of course, there's infrastructure involved, but Neri is betting on edge computing and intelligence everywhere.
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But first, HPE has some work to do on its own transformation. Under its HPE Next plan, the company will cut manufacturing locations, its footprint and improve overall efficiency. For instance, HPE will go from 17 manufacturing locations to 7 and 10 ERP systems to one. This slide sums up the moving parts.
Much of HPE's growth strategy revolves around its Aruba unit and edge computing. From there, Neri said that HPE can layer in hybrid IT and analytics. The goal is to drive autonomous systems.
As for the financial outlook, HPE said free cash flow is expected to double by fiscal 2020. The company said that its fiscal 2019 non-GAAP earnings will be between $1.51 a share to $1.61 a share.
The company reiterated its fiscal 2018 view.
Neri also said that he now has his executive team together to win. "This is my team," he said. "I built this team."
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