HPE Going Everything as a Service by 2022

HPE Going Everything as a Service by 2022

June 19, 2019

The hardware vendor touts fast-growing GreenLake services program and channel as a catalyst for the transition to the consumption-based model

Hewlett Packard Enterprise (HPE) upped the ante on its traditional hardware competitors and cloud rivals by announcing it will transition to an “everything as a service” sales model by 2022, building off the success of its fast-growing GreenLake program. The transition will change the way HPE’s direct and channel partners work with customers while creating persistent recurring revenue for all parties in the go-to-market chain.

In the short term, HPE will continue to give customer choice in the way they buy products. In other words, customers can choose to buy through a traditional transactional model or through the services-based model. It’s unclear whether customers will continue to have that choice after 2022. HPE plans to unveil GreenLake subscription buying options for products such as Aruba wireless networking hardware as sell as software such as Aruba Central, BlueData, CloudVolumes and OneView.

“From a technology perspective, the news also provides yet more evidence that for the vast majority of businesses, the future of the cloud is a hybrid one that can leverage both on-premise (or co-located) computing resources and elements of the public cloud. Companies need the flexibility to have capabilities in both worlds, to have additional choices in who manages those resources and how they’re paid for, and to have the ability to easily move back and forth between them as needs evolve. Hybrid cloud options are really the only ones that can meet this range of needs,” said Bob O’Donnell, a research analyst at TECHanalysis Research.