By Timothy Prickett Morgan
Publication Date: 2026-03-10 19:05:00
Computing engine and networking ASIC makers are benefiting greatly from the rise of GenAI, as is Taiwan Semiconductor Manufacturing Co, the world’s largest and most important foundry. Everyone behind them is struggling to make a profit from sales. Even as business is growing, memory and flash costs are rising faster, and companies like Hewlett Packard are having to work harder to find and select profitable deals. And they have to stay away from agreements that make no economic sense.
Every quarter for many years now, we’ve analyzed the financials of perhaps two dozen key publicly traded IT vendors to try to determine how their data center businesses are doing, so we can give you a better idea of what’s going on there as you navigate the choppy seas of the GenAI boom and try to negotiate around some rocks below the waterline.
Our summary picture of the “core systems” business at Hewlett Packard Enterprise is usually the last thing…
