CEO

On the Call: EMC CEO addresses HP-3Par deal

AP News
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Posted: Oct 19, 2010 1:29 PM
On the Call: EMC CEO addresses HP-3Par deal

Hewlett-Packard Co. in September snapped up EMC Corp. competitor 3Par Inc. for $2.35 billion after a bidding war with Dell Inc., which also resells EMC equipment. On EMC's earnings conference call Tuesday, CEO Joe Tucci was asked about the effect of the deal.

QUESTION: How do you think 3Par at HP changes the landscape in high-end storage? How did Dell's bid for 3Par affect the Dell-EMC relationship?

ANSWER (Tucci): I don't think the 3Par deal changes the landscape at all. 3Par is 10 years old. We've been competing with it for quite a while. HP _ will they make 3Par more successful? I'm sure they will. But I think what you are going to see there is in large substitution for their high-end (products) and for business that they previously funneled through Hitachi. So I really don't see that changing the landscape at all.

As far as the Dell relationship, obviously, we took a setback as Dell went after 3Par, and obviously cooled things off. We are, again, in discussions to see if we could do something more meaningful and lasting. Both companies would like to do that, but the key is it's got to be meaningful, and it's got to be lasting for me to tell you that it's back on track. So I can't tell you that yet, but I can tell you we are in serious discussions, and there is intent on both parties to do that.