Hewlett-Packard Co., after a five-year effort, has decided to shutter its cloud-computing competitor to Amazon.com’s AWS service.
The service, called Helion Public Cloud, will power down at the end of January, said Bill Hilf, H-P’s cloud chief.
Mr. Hilf said in an interview the company would focus on so-called private-cloud computing, enabling corporations to build their own AWS-type capabilities using servers they own rather than public-cloud offerings that use shared infrastructure. H-P will also help customers run their software on existing public-cloud services such as AWS and Microsoft Azure, he said.
“Our own public-cloud offering is not really a core area for us,” Mr. Hilf said.
By acting as a broker for other public-cloud services rather than as a competitor, H-P is playing to its strength as a seller of hardware and managed information-technology services, said Cassandra Mooshian, an analyst with Technology Business Research Inc. “This was a well-thought-out, strategically positive move,” she said in a research note published Thursday.
H-P is the latest of several companies to retreat after trying to challenge Amazon in the cloud. Dell Inc. in 2013 shut down its public-cloud business, and Rackspace Inc. announced earlier this year that it would no longer sell such services.
The move frees H-P to focus on its $28 billion hardware business, which is under threat. Hardware sales declined 1% in the company’s most-recent quarter, while on Thursday Amazon reported that its AWS unit scored year-on-year growth of 78%. The research firm Gartner Inc. said that the public cloud is outpacing corporate data centers in taking on new workloads as measured by computing capacity.
Read more : http://www.wsj.com/articles/h-p-winds-down-cloud-computing-project-1445624977
The service, called Helion Public Cloud, will power down at the end of January, said Bill Hilf, H-P’s cloud chief.
Mr. Hilf said in an interview the company would focus on so-called private-cloud computing, enabling corporations to build their own AWS-type capabilities using servers they own rather than public-cloud offerings that use shared infrastructure. H-P will also help customers run their software on existing public-cloud services such as AWS and Microsoft Azure, he said.
“Our own public-cloud offering is not really a core area for us,” Mr. Hilf said.
By acting as a broker for other public-cloud services rather than as a competitor, H-P is playing to its strength as a seller of hardware and managed information-technology services, said Cassandra Mooshian, an analyst with Technology Business Research Inc. “This was a well-thought-out, strategically positive move,” she said in a research note published Thursday.
H-P is the latest of several companies to retreat after trying to challenge Amazon in the cloud. Dell Inc. in 2013 shut down its public-cloud business, and Rackspace Inc. announced earlier this year that it would no longer sell such services.
The move frees H-P to focus on its $28 billion hardware business, which is under threat. Hardware sales declined 1% in the company’s most-recent quarter, while on Thursday Amazon reported that its AWS unit scored year-on-year growth of 78%. The research firm Gartner Inc. said that the public cloud is outpacing corporate data centers in taking on new workloads as measured by computing capacity.
Read more : http://www.wsj.com/articles/h-p-winds-down-cloud-computing-project-1445624977
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