Hewlett Packard Enterprise (HPE) is in talks with a private equity to sell its software division, hoping it can fetch between $US8-10 billion, according to reports.

The Wall Street Journal reports the unit being offered for sale makes software to manage business operations, which will presumably include its Backup and Governance solutions, including the recently renamed HPE Content Manager. It said the company plans to keep software businesses associated with pieces of customers’ key technology infrastructure - such as software-defined networking.

HPE Chief Executive Meg Whitman is reportedly seeking to focus the U.S. company's strategy on networking, storage, data centres and related technology services, after its separation last year from computer and printer maker HP Inc.

HPE shares rose as much as 4 percent on the news and ended Thursday's New York trading up 3.2 percent at $US22.16, giving the company a market capitalisation of $US36.8 billion.

US analyst Toni Sacconaghi told the Wall Street Journal that the notion that HP Enterprise might want to shed the software business isn’t surprising. He estimated that the former HP had spent $US20 billion on software businesses, including the $US11B Autonomy deal, which haven’t produced much growth lately.

The software assets also include Vertica, a big data analytics platform, ArcSight, a cyber security firm as well as products for IT operations management.

EMC Documentum is another big name ECM product that looks to be headed for private equity ownership, after Dell agreed to sell its software unit to help fund its $US67 billion purchase of EMC.

Bloomberg has reported that buyout firm Francisco Partners Management LLC and the new private equity arm of hedge fund Elliott Management Corp., are paying slightly more than $US2 billion for Dell’s software assets. The deal is expected to close next month.