The benefit of getting a super-late start on finalizing today’s newsletter: actual news from today that I couldn’t pass up. While every other day this week will likely be dominated by Google, today it’s HPE buying Nimble Storage for $1 billion
I don’t have a lot of time to dig into this, but the big draws for HPE appear to be that:
- Nimble has a hybrid flash-disk system, which is good.
- Nimble allows for hybrid cloud storage options across data centers and the public cloud.
- HPE’s storage revenue has been falling, while Nimble (which just announced earnings today) is still growing.
Also, the price tag seems pretty small, considering that Nimble’s 2016 revenue was $403 million.
I suggested last week that HPE should buy a container company (and I still think it should), but the Nimble acquisition was probably cheaper and offers more revenue right off the bat, so it looks like HPE got itself a good deal.It’s also more progressive than HPE’s legacy-centric $65o million acquisition of Simplivity in January.