Hewlett Packard Enterprise (HPE) saw a surge in its shares after reporting second-quarter results that surpassed Wall Street estimates and providing robust third-quarter and full-year guidance. CEO Antonio Neri believes that the market is starting to recognize HPE’s importance in the field of artificial intelligence (AI), positioning the company to benefit from the AI momentum driving hybrid cloud adoption.
Neri highlighted that HPE has a $4.6 billion AI backlog, with over $900 million converted into revenue, boasting solid operating margins. He emphasized the energy consumption challenges associated with AI systems and pointed out that HPE offers 100% direct liquid cooling, making it more energy-efficient compared to traditional cooling methods.
Neri commended Nvidia and its CEO, Jensen Huang, for their transformative contributions to the AI space, noting that HPE is uniquely positioned to work alongside companies like Nvidia to drive innovation and address the evolving demands of the market. Despite margin pressures in certain segments, Neri remains optimistic about HPE’s growth prospects, particularly in networking and server segments.
With a focus on building sustainable AI solutions, Neri stressed the importance of experience and simplicity in implementing cutting-edge technologies. By leveraging its expertise, infrastructure, and commitment to innovation, HPE aims to play a pivotal role in shaping the future of AI technology and revolutionizing industries worldwide.
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https://finance.yahoo.com/video/hpe-ceo-market-realizing-big-193119103.html
