HP Delivers Solutions to Change the Economics of Technology

PALO ALTO, Calif.--(EON: Enhanced Online News)--HP today announced new products, solutions and services that enable organizations to address the short-term cost reductions required by today’s challenging economy, while laying the groundwork to exit the downturn stronger and more competitive.

“HP is focused on delivering technology solutions to our customers that will help them emerge from this downturn stronger and prepared to aggressively capitalize on new opportunities for growth.”

Economic downturns can more than double the likelihood that a business significantly changes its industry ranking, and those that make it into the top quartile during a downturn typically sustain their market premium for an average of three years.⁽¹⁾

Technology plays a major role in determining an organization’s success before, during and after a downturn. In a 2007 survey, 99 percent of chief executive officers said technology is integral to the success of their companies.⁽²⁾ Additionally, in a new global study, 38 percent of respondents indicated they see the current economic climate as an opportunity to restructure their technology environments for the future.⁽³⁾

“Winning CIOs are focused on both strategic cost reductions and supporting long-term business growth,” said Ann Livermore, executive vice president, Technology Solutions Group, HP. “It’s not about spending more: best-in-class IT organizations spend about half as much as the average company on technology as a percentage of revenue. Instead, they strategically spend and prioritize technology investments. HP offers an unprecedented range of solutions to help organizations emerge stronger when the economy recovers.”

HP’s new hardware, software and services allow organizations to change how they produce, distribute and consume technology resources by:

• Standardizing, optimizing and automating technology to deliver short-term cost reductions;
• Prioritizing new technology investments based on business value; and
• Adopting flexible sourcing options to keep critical projects running and align costs to actual use.

Standardize, optimize and automate

New HP StorageWorks Storage-Area Network (SAN) Virtualization Solutions help customers simplify the provisioning, management and optimization of virtualized server and storage environments.

• The new HP StorageWorks Enterprise Virtual Array 6400 and 8400 (EVA6400 and EVA8400) cut storage administration costs by up to 50 percent.⁽⁴⁾
• The enhanced HP SAN Virtualization Services Platform 2.1 (SVSP 2.1) is a network-based storage virtualization solution that increases available storage capacity. It also streamlines storage operations by reducing the time required for migration, replication, backup and bringing new applications into production. Solutions like the SVSP 2.1 allow customers to reduce storage acquisition costs by up to 50 percent, according to market research firm IDC.⁽⁵⁾

Enhanced HP Data Protector software and services provide one data protection solution for all physical and virtual environments.

• HP Data Protector is easy to use, provides a wide variety of backup options and supports de-duplication and other backup services.
• This is the industry’s most comprehensive protection for virtual environments and flexible data reduction options, delivering up to 70 percent cost savings.⁽⁶⁾

Prioritize technology investments

As part of its Applications Management Services portfolio, EDS, an HP company, is now offering clients the option of tiered levels of service, which lower the cost of running less-critical applications while maintaining the highest service levels for critical applications.

• This flexible approach to managing services helps maximize the business value of applications and can reduce overall application maintenance costs by up to 40 percent.⁽⁷⁾

New Consolidation and Virtualization ROI services can validate the expected savings and return on investment from technology projects.

• The risks of long project approval and implementation cycles are minimized, so customers can move quickly to adjust to the changing economy, while aligning technology investments with business growth objectives.

Multi-Tiered Hybrid Design is a new service that helps customers design an entire data center facility to more accurately reflect the different infrastructure and availability requirements of the business.

• Often, an enterprise data center is built to a single specification to meet the most exacting standard, even though this is not needed for all systems.
• By designing a “hybrid” data center with two (or more) tiers of service, data center capital costs can be reduced by 15 to 25 percent.⁽⁸⁾

Adopt flexible sourcing

An enhanced suite of EDS infrastructure services helps reduce costs and create efficiencies while offering predictable pricing.

• EDS’ enhanced Managed Services give clients more sourcing choices and control through a set of modular, standard packages that provide fast implementation and rapid client value.
• The offerings cover server and storage operations, service desk, flexible computing and managed messaging.

HP also offers flexible financing and leasing options through HP Financial Services.

• A new HP white paper released this month shows how chief information officers can help chief financial officers ease the pain of a tough economy by choosing advanced strategies such as technology life cycle management through leasing.

Videos of today’s news

• Watch Ann Livermore, executive vice president, Technology Solutions Group, HP, deliver today’s news and talk about how HP can help organizations change the economics of technology.
• Watch what HP customers are saying about their recent technology implementations.
• HP Enterprise Virtual Array Challenge 2 video
• HP Launches HP Data Protector: white board video with Jonathan Martin
• Multi-Tiered Hybrid Design Video

Podcasts of today’s news

• Listen to Jonathan Martin, vice president and general manager, Information Management Solutions, HP, speak about data recovery software on the latest eWeek podcast.

Check out HP blogs for executive perspectives on today’s new offerings

• Read about HP’s new SAN Virtualization Solutions on the “Around the Storage Block” blog
• Read about HP new Data Protector software on the “Information Faster” blog

Read HP’s new global research report

• The Economics of Business Technology conducted by PSB Research on behalf of HP

Read analyst reports and whitepapers on HP solutions

• HP Financial Services Report on how CIOs can help CFOs in a tough economy
• Business Value of SAN Virtualization by IDC
• Cost of storage management study by The Edison Group
• HP StorageWorks SAN Virtualization Services Platform Lab Validation Report by ESG
• 2009 Data Protection Budgets, Priorities, And Technology Adoption - Forrester Consulting.

Additional resources

• More information about today’s news is available in an online press kit at www.hp.com/go/BTeconomics2009.
• More information about HP’s new offerings, including HP customer testimonials, is available at www.hp.com/go/BTeconomics.

HP Executive quotes

“In every economic cycle, there are winners and there are losers. During an economic downturn the stakes are higher – some organizations use this time to reduce cost and build competitive advantage,” said Ann Livermore, executive vice president, Technology Solutions Group, HP. “HP is focused on delivering technology solutions to our customers that will help them emerge from this downturn stronger and prepared to aggressively capitalize on new opportunities for growth.”

“Winning CIOs are focused on both strategic cost reductions and supporting long-term business growth,” said Ann Livermore, executive vice president, Technology Solutions Group, HP. “It’s not about spending more: best-in-class IT organizations spend about half as much as the average company on technology as a percentage of revenue. Instead, they strategically spend and prioritize technology investments. HP offers an unprecedented range of solutions to help organizations emerge stronger when the economy recovers.”

“Clients need to contain costs and protect capital,” said Jeff Womack, vice president of Product Marketing at EDS, an HP company. “In response to market conditions, EDS is one of the only global service providers to offer more clients more buying options with greater visibility and control over expenses.”

“Right now organizations need a new way to turn economic adversity into business advantage,” said Jonathan Martin, vice president and general manager, Information Management Software and Solutions, HP. “For our 22,000 customers around the world, HP Data Protector is the only solution that gives CIOs a cost-effective enterprise safety net for managing information, while at the same time addressing concerns around virtualization, data reduction and data security.”

“Customers can save millions of dollars by building multi-tiered data centers that are scalable, efficient and predictable,” said Peter Gross, vice president, Critical Facilities Services, HP. “HP helps facilities and technology staffs align objectives to improve operations and reduce cost.”

“In today’s economy customers are prioritizing projects and spending more wisely in order to achieve a competitive advantage,” said Brian Brouillette, vice president, Solutions Infrastructure Practice, Technology Services, HP. “HP’s Consolidation and Virtualization ROI services are essential to rapidly develop a strong case for funding and implementing solutions that align with business strategy.”

HP Customer quotes

“The HP EVA family allows our doctors, technicians and office staff to access patient electronic medical records, billing information and other data instantaneously, enabling them to deliver the highest quality patient care,” said Ed Volkstorf, operations coordinator, Augusta Medical Center. “The HP EVA also delivers cost savings to our bottom line by reducing the amount of time spent on administrative storage tasks and increasing performance of our SAN. This allows my staff to focus on providing outstanding service on other technical issues.”

“We have been using HP Data Protector for many years to help us reduce costs and meet our compliance demands,” said Devin York, senior manager, financial systems, Continental Airlines. “We are thrilled with the new features in the enhanced HP Data Protector, and expect further results in terms of cost reduction and reduced business risk.”

“HP Data Protector continues to be the perfect solution for us with new features we need today, such as VMware integration, as well as capabilities that we will need in the future, like deduplication,” said Jim Thomas, director of information technology operations, Pella Corporation. “We expect to further lower our total cost of ownership with the new HP Data Protector.”

Keywords

Hewlett-Packard, HP, enterprise, IT, economics, infrastructure, downturn, economic downturn, CIO, CIOs, restructure, restructuring, standardize, standardizing, standardization, optimize, optimizing, optimization, automate, automating, automation, business value, outsourcing, flexible sourcing, sourcing, consolidation, virtualization, virtualize, datacenter, data center, storage, information management, data recovery, data recovery software, data protection, technology investments, IT investments, flexible computing, technology life cycle management, de-duplication, virtual environments, HP StorageWorks, HP Information Management, EDS, HP Data Protector, HP Technology Services, HP Financial Services, critical facilities services, managed services

About HP

HP, the world’s largest technology company, simplifies the technology experience for consumers and businesses with a portfolio that spans printing, personal computing, software, services and IT infrastructure. More information about HP (NYSE: HPQ) is available at http://www.hp.com/.

Note to editors: More news from HP, including links to RSS feeds, is available at http://www.hp.com/hpinfo/newsroom/.

(1)		"Who Will Prevail in 2009? Avoiding Mistakes in an Economic Crisis," Corporate Executive Board (www.exbd.com), December 2008.
(2)		"HP Business Technology Study," PSB Research, April 2007.
(3)		"HP Research Report: The Economics of Business Technology," PSB Research, February 2009.
(4)		"Edison HP Storage Administrator Workload Survey: HP, EMC, CLARiiON, and NetApp FAS storage arrays," by Craig Norris and Barry Cohen, The Edison Group, February 2009.
(5)		"Business Value of Storage Virtualization: Scaling the Storage Solution; Leveraging the Storage Investment," Doc. No. 216719, IDC, February 2009.
(6)		Percentage based on 2008 HP Data Protector pricing comparison.
(7)		Internal HP analysis.
(8)		Based on the HP Multi-Tiered Hybrid Design cost analysis tool, www.hp.com/go/eypmcf.

© 2009 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. The only warranties for HP products and services are set forth in the express warranty statements accompanying such products and services. Nothing herein should be construed as constituting an additional warranty. HP shall not be liable for technical or editorial errors or omissions contained herein.

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