HP’s enterprise sales organisation is to earn compensation for promoting ProCurve machine as part of a wider structural change on the way to see the dealer’s networking division operate beneath the umbrella of its technology options community (TSG) from November.
the brand new association potential ProCurve products will be brought to the TSG portfolio, making it more compelling for HP’s business revenue body of workers to promote ProCurve in an business answer than choice gadget from competing vendors such as Cisco.
The circulate, which HP has already announced internally, will see ProCurve’s manufacturer and divisional autonomy retained, however at the maximum level ProCurve boss Marius Haas will now report into TSG head Anne Livermore. up to now, Haas pronounced into chief strategy and expertise officer Shane Robison.
Jack Gauthreaux, widespread supervisor of emerging markets EMEA at HP ProCurve, believes the unit is decided to prosper from the provision of a new sales drive and route-to-market. “we are able to now have TSG sales people interested in carrying our product that weren’t attracted to carrying it before as a result of the manner the compensation turned into working,” he explained. “The big advantage is that we have entry to a revenue drive that can open doorways for us in some very gigantic bills.”
Gauthreaux is assured that it'll additionally present TSG sales body of workers one more entry factor into the customer and probably result in the network getting used because the foundation to add different displays from HP’s portfolio to a assignment, akin to PCs or servers.
It is thought that the restructuring is occurring now because HP has been waiting for ProCurve to profit enough momentum and goodwill in the market.
“Networking is a growth engine for HP,” mentioned Gauthreaux. “if you look on the measurement of the business we had to set up ourselves as a conceivable networking supplier in the market, which we've been doing over the past few years. in the third quarter of 2006 we overtook Nortel as the quantity two in earnings and we've been growing to be that when you consider that then. HP has been observing us and waiting until the timing became correct to make the funding.”
HP reports ProCurve consequences beneath its ‘corporate Investments’ working segment, which ultimate yr posted revenues of US$762m. ProCurve accounted for almost all of that figure as sales of network infrastructure products extended 33% year-on-yr.
despite the fact the segment suffered a US$57m loss it was largely due to prices associated with corporate building, international alliances and HP Labs, which might be additionally contained below the equal heading.
Channel companions brooding about the implications of the TSG-ProCurve alterations may still no longer be afraid because the enterprise’s two-tier channel strategy will remain unchanged, based on Gauthreaux. “by working with HP we really predict to raise the price of the company, the dimension of the tasks and the probability for the channel,” he talked about. “in order plenty as we see this as a new income drive for us, it is the same for the channel.”
in the center East, HP employs round eighty enterprise account managers despite the fact all fulfilment is carried out by using companions except in cases the place selected named bills demand direct HP capabilities.
Hewlett-Packard is dedicated to constructing its $650 million networking unit, ProCurve Networking with the aid of HP, and does not have the company on the looking block because it as soon as did.
Matt Hutchinson, director of phase advertising and marketing enterprise options Americas with ProCurve Networking by using HP, additionally talked about recent strikes by using the company to beef up its channel courses have ended in regular positive aspects within the variety of VARs carrying his company's networking lineup.
"We're no longer being offered in any respect," Hutchinson observed. "we are all about biological boom. issues are going phenomenally neatly within the united states. I feel the whole company is starting to be at a nice fee."
because enhancing its channel application, Hutchinson said, the number of answer suppliers in ProCurve's Elite class - - or not it's precise category - - has grown from 10 to 31.
As currently as 2005, HP became contemplating a sale of ProCurve to private fairness. Then, the enterprise became transitioning its CEO leadership from Carly Fiorina to Mark Hurd as HP sought to refocus its enterprise. however a deal certainly not happened and, instead, the unit has been searching for to build its channel sales via some reorganizations of its software, new incentives for resellers and weakness amongst other opponents. Hutchinson touted ProCurve's good 2 market share position trailing best Cisco.
Hutchinson claims that Cisco is so concerned about ProCurve features that the networking huge has a different promoting going on at the moment that presents Cisco VARs a bounty for displacing HP ProCurve apparatus. "I say it really is the smartest thing that could ever take place to us," he stated. "convey it on."
Cisco spokesmen did not immediately return a call for remark.
Palo Alto, Calif.-primarily based HP is clutching onto its ProCurve unit at the identical time rival 3Com has been attracting capabilities consumers among inner most equity corporations. ProCurve is fighting to place itself as being in a two-horse race with Cisco, San Jose, Calif., and in the market ahead of struggling corporations like 3Com.
HP executives aspect to trade estimates showing the unit has been registering 25 percent increase, yr over year, for the previous a few years.
"i'm finding a lot of (answer suppliers) are carrying the Cisco application, however a lot of them are massive HP companions," Hutchinson stated. "we have such a fine inner chance that we need to capitalize on it and we're beginning to do that."
solution suppliers applauded HP's fresh ProCurve channel iniatiatives.
"we have an outstanding relationship with both Cisco and HP Procurve," talked about Reza Zarafshar, president and CEO of advanced computing device concepts, a solution company based in McLean, Va. Zarafshar spoke of he had not been approached through Cisco with this kind of bounty on ProCurve bills, however he noted that HP ProCurve's recent alterations to shore up its channel software - - among different issues - - have given the business a boost.
"obviously they are constructing some momentum, and they have a pretty good channel program," Zarafshar said. "The resolution as to what manufacturer to guide with is in fact made extra according to a mix of standards.
"it be definitely decided by way of the customer, including the latest atmosphere, plans for the future, the variety of budget that they have and what they're going to be the usage of their community for," Zarafshar observed. "These are basically the standards that is constantly used, that our engineering staff makes use of, to assess the products that work premier for the customer."
MUNICH, Germany--(company WIRE)--ProCurve Networking by means of HP these days introduced a global earnings contract with Siemens enterprise Communications. under the phrases of the deal, Siemens will promote voice and records options incorporating ProCurve community products and Siemens Voice over IP (VoIP) expertise.
The initial part of the settlement is now being rolled out in Germany with subsequent implementation deliberate for the United Kingdom, Austria and Spain. The companies’ mixed offerings will supply high levels of IP communications efficiency and open specifications-based networking to shoppers.
“This settlement combines the strengths of two market-leading agencies to bring complete networking and IP communications options that meet purchasers’ evolving business wants,” spoke of John McHugh, vice chairman and standard supervisor, ProCurve Networking via HP. “Working with Siemens will extend ProCurve’s market with the aid of accomplishing a much wider consumer base and further addressing the wants of the voice and data answer marketplace.”
“As a world supplier and system integrator, we see the want for beautiful, robust and have-rich voice and records solutions,” stated Thomas Roesler, senior vice chairman, facts enterprise, Siemens commercial enterprise Communications. “ProCurve Networking by HP, with its compelling IP infrastructure product household, offers Siemens commercial enterprise Communications a new diploma of freedom to behave as an unbiased device integrator out there for built-in information and true-time end-to-end options.”
ProCurve’s skill to bring multi-dealer solutions increases the flexibleness of customers’ networks to accommodate no longer most effective these days’s enterprise wants, however additionally aid future community functions from all suppliers. ProCurve invests heavily in constructing interoperable solutions that enable valued clientele to prepare for changes in their organizational models and seamlessly integrate a mixed-dealer atmosphere whereas protecting their return on funding.
About Siemens Communications, Inc.
Siemens Communications, Inc. is an affiliate of Siemens commercial enterprise Communications GmbH & Co. KG, probably the most world’s leading providers of open communications solutions for organizations of all sizes, enabling company methods to be more productive, sooner and extra comfy – with any machine, network or guidance know-how infrastructure. Siemens Communications Inc., and Siemens commercial enterprise Communications GmbH & Co. KG are thoroughly owned subsidiaries of Siemens AG with about 15,000 employees globally and headquarters in Boca Raton, Fla. for more info, discuss with www.u . s . a ..siemens.com/communications.
Siemens AG (NYSE:SI) is one of the greatest world electronics and engineering companies with pronounced worldwide revenue of $107.4 billion in 2006. based a hundred and sixty years in the past, the business is a leader in the areas of scientific, power, automation and handle, transportation, counsel and communications, lights, constructing technologies, water technologies and features and home home equipment. With its U.S. company headquarters in new york city, Siemens in the united states has income of $21.4 billion and employs approximately 70,000 individuals during all 50 states and Puerto Rico. Eleven of Siemens’ worldwide groups are primarily based within the united states. With its world headquarters in Munich, Siemens AG and its subsidiaries make use of 480,000 americans in a hundred ninety countries. For extra assistance on Siemens within the united states: www.usa.siemens.com.
About ProCurve Networking by means of HP
The ProCurve Networking business unit of HP grants wired and instant enterprise networking items, functions and solutions. The groundwork for ProCurve’s company model is the Adaptive Networks approach by which networks are adaptive to users, functions and a company’s wants.
additional advice on ProCurve networking options and items is purchasable at www.procurve.com.
HP makes a speciality of simplifying know-how experiences for all of its purchasers – from individual buyers to the biggest organizations. With a portfolio that spans printing, personal computing, utility, services and IT infrastructure, HP is among the many world’s biggest IT organizations, with earnings totaling $104.three billion for the four fiscal quarters ended Oct. 31, 2007. greater advice about HP (NYSE:HPQ) is obtainable at www.HP.com.
This information unencumber incorporates ahead-searching statements that contain dangers, uncertainties and assumptions. If such hazards or uncertainties materialize or such assumptions prove improper, the effects of HP and its consolidated subsidiaries could differ materially from those expressed or implied by means of such forward-looking statements and assumptions. All statements aside from statements of ancient fact are statements that may well be deemed forward-looking statements, including but now not restricted to statements of the plans, recommendations and pursuits of management for future operations; any statements concerning anticipated construction, efficiency or market share relating to products and services; expected operational and fiscal results; any statements of expectation or perception; and any statements of assumptions underlying any of the foregoing. dangers, uncertainties and assumptions consist of the execution and efficiency of contracts via HP and its customers, suppliers and partners; the fulfillment of anticipated consequences; and other risks which are described in HP’s filings with the Securities and exchange commission, together with however now not restrained to HP’s Annual record on kind 10-k for the fiscal yr ended Oct. 31, 2007. HP assumes no duty and doesn't intend to replace these ahead-looking statements.
© 2008 Hewlett-Packard construction company, L.P. The information contained herein is subject to trade devoid of be aware. The simplest warranties for HP products and capabilities are set forth within the specific assurance statements accompanying such items and capabilities. Nothing herein should be construed as constituting an further assurance. HP shall now not be answerable for technical or editorial blunders or omissions contained herein.
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