HPE has seen continued growth in its GreenLake as-a-service offering delivered through the channel, attracting more customers in the second quarter. The company shared its second quarter results, with revenue improving 3% to $7.2 billion and annualized revenue run rate improving 37% to $1.5 billion. Server revenue was a bright spot at $3.9 billion, up 18%, while intelligent edge fell 19% to $1.1 billion and hybrid cloud declined 8% to $1.3 billion. GreenLake has expanded its portfolio with increased networking support, and earlier this year added more storage functionality to support AI functions.
CEO Antonio Neri highlighted the increased demand for GreenLake and its success in bringing the technology to new accounts. The number of customer organizations using HPE GreenLake increased nearly 9% to 34,000 in the second quarter, with the total value of lifetime contracts growing to over $15 billion. AI will play a larger role in GreenLake, driving customer demand and revenue growth.
Looking ahead, HPE is optimistic about the future, with a focus on greater adoption of AI in the second half. Strong AI systems order conversion, cost discipline, and increased free cash flow contributed to a strong performance in the second quarter. The company is raising its full-year revenue and EPS guidance, driven by strong momentum in AI systems orders and execution across its portfolio.
In conclusion, HPE’s strong results in the second quarter, driven by AI systems and disciplined execution, position the company well for future growth. The continued expansion of GreenLake and focus on AI technology are expected to drive further customer demand and revenue growth in the future.
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https://www.computerweekly.com/microscope/news/366587547/Customer-base-for-GreenLake-expanded
