HP wastes no time to cure storage, server ills

Hewlett Packard has decided that deep discounting is in order to help it regain market share in the storage and server businesses from the likes of EMC and Dell, after its Q3 results, which were published last week, revealed disastrous numbers for HP in those areas, leading to the dismissal of its senior storage and server executives.

The enterprise server and storage division posted an operating loss of US$208 million for the quarter, a result made worse for the executives who presided over the division by the fact that HP's other business divisions all posted healthy profits.

HP Chairman and CEO Carly Fiorina was clearly irked at the poor showing. "Although we are satisfied with our performance in Personal Systems, Imaging and Printing, Software and Services, these solid results were overshadowed by unacceptable execution in Enterprise Servers and Storage."

The company hopes to start tuning the tide with the introduction of the Enterprise Virtual Array (EVA) 3000 starter pack, a bundled offering which includes 1TB of capacity (in the from of eight 148GB fibre channel drives), two controllers, storage operations manager software, two licences for multi-pathing software and three years support and warranty. The package is being offered for 25 percent less than buying all the components separately, and is designed to make SAN's less complex for enterprise and mid-tier customers, as well as more affordable.

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HP storage, server executives dismissed after poor results