HP Partners With Tsinghua to Create a Chinese Technology Powerhouse
Tsinghua Holdings Subsidiary to Acquire 51% Stake in a Newly Created Business Comprising H3C Technologies and HPs China-Based Server, Storage and Technology Services Businesses; New H3C to Be HPs Exclusive Provider of Servers, Storage and Networking, as Well as Hardware Support Services in China
PALO ALTO, CA and BEIJING, CHINA--(Marketwired - May 21, 2015) - HP (NYSE: HPQ) and Tsinghua Holdings today jointly announced a partnership that will bring together Chinese enterprise technology assets of Hewlett-Packard and Chinas prestigious Tsinghua University to create the leading Chinese provider of technology infrastructure.
Under the definitive agreement, Tsinghua Holdings subsidiary, Unisplendour Corporation, will purchase a 51% stake in a new business called H3C, comprising H3C Technologies and HPs China-based server, storage and technology services businesses, for approximately $2.3 billion, valuing the total business at $4.5 billion (net of cash and debt). Combining these two entities, the new H3C will be a technology powerhouse in China with a market-leading portfolio that will be #1 in networking and a leader in servers, storage and technology services.
HP sees continued long-term growth opportunities in China, and HP China will maintain 100% ownership of its existing China-based Enterprise Services, Software, HP Helion Cloud, Aruba Networks, Printing and Personal Systems businesses.
HP is making a bold move to win in todays China, said Meg Whitman, Chairman and CEO, HP. Partnering with Tsinghua, one of Chinas most respected institutions, the new H3C will be able to drive even greater innovation for China, in China. The combined company will build upon an extensive and valuable patent portfolio, best-in-class products and customer focus, and Tsinghuas world-class research capability. In one move, we have repositioned HP and H3C to accelerate overall performance and better serve our customers and partners.
With approximately 8,000 employees and approximately $3.1 billion in annual revenue, the new H3C will be the leading provider of converged infrastructure solutions and technology services in the China market. The company will offer customers a complete portfolio of enterprise IT solutions, including networking, servers, storage and services, and will maintain H3Cs current localized, high-touch, customer-first service model. The new H3C will build off of its legacy of innovation, with over 5,700 patents and 2,500 engineers focused on developing differentiated technology solutions for the future of compute infrastructure.
Once the transaction closes, the new H3C will be the exclusive provider for HPs server, storage and networking portfolio, as well as HPs exclusive hardware support services provider in China, customized for that market.
The new H3C will become a subsidiary of Unisplendour, a publicly traded operating subsidiary of Tsinghua Holdings Co., Ltd., the asset management arm of prestigious Tsinghua University in China. Unisplendour is currently among the top software vendors and system integrators in China, and has been in a long-term strategic distribution partnership with HP since 1999.
Until the close, Henry Tso will continue to lead H3C Technologies networking business and Ye Jian will continue to lead HP Chinas Server, Storage and Technology Services businesses. Separately, Robert Mao will remain the chairman of HP China, which will include HPs Enterprise Services, Software and Cloud businesses in China. All three leaders will be actively involved in determining the most effective management team for the new organization.
Weiguo Zhao, Chairman of Tsinghua Unigroup and Unisplendour Corporation, commented: H3C is a leading networking provider in China and HP China is a leading provider of servers, storage and technology services. Tsinghua and Unisplendour, as the majority shareholder of the new H3C, will embrace and welcome the new H3C to the family of the China domestic IT industry. The transaction for H3C will also release great potential in the China market. Tsinghua has enjoyed a long-term partnership with China HP and H3C. We see extensive synergies with the new H3C. Tsinghua Universitys leading R&D capability, wide domestic resources, and vast human capital resources will empower the new H3Cs growth in the short-term, mid-term, and long-term. We are pleased to announce and look forward to a strong partnership with HP in the many years to come.
The new H3C generated CY2014 adjusted revenues of $3.1 billion, adjusted operating profit of $0.4 billion and adjusted GAAP net income of $0.3 billion. HP will equity account for its investment going forward.
The transaction is expected to close near the end of 2015, subject to Unisplendour shareholder vote, regulatory approvals and other closing conditions.
About HP
HP creates new possibilities for technology to have a meaningful impact on people, businesses, governments and society. With the broadest technology portfolio spanning printing, personal systems, software, services and IT infrastructure, HP delivers solutions for customers most complex challenges in every region of the world. More information about HP is available at http://www.hp.com
Forward-Looking Statements
This document contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of HP and its consolidated subsidiaries could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statement
North America Stories
19/04/2024
PARK CITY, UTAH - JANUARY 18: (L-R) John Early and Theda Hammel attend the 2024 Sundance Film Festival Stress Positions premiere at Library Center Theatre on ...
19/04/2024
By Lucy Spicer
One of the most exciting things about the Sundance Film Festival...
19/04/2024
Pictured: Midnight Family
By Stephanie Ornelas
A great way to get to know a city as culturally unique and rich as Mexico City is to listen to the stories tol...
19/04/2024
St. Louis, MO - April 18, 2024 - Studio Network Solutions (SNS) announced today that MOD won three prestigious industry awards at NAB Show 2024 held this week i...
19/04/2024
MELBOURNE, Fla., April 19, 2024 - The Board of Directors of L3Harris Technologies (NYSE:LHX) declared a quarterly cash dividend of $1.16 per common share, payab...
19/04/2024
PARIS Intel has announced that its plans for the Olympic and Paralympic Games Paris 2024 will include using artificial intelligence technology powered by Intel ...
19/04/2024
LAS VEGAS Technologists working on all aspects of the 8K media production chain offered an optimistic update at the 2024 NAB Show on the state of 8K in video pr...
19/04/2024
OpenDrives New Software-Defined Platform Atlas Wins 2024 NAB Show Product of the...
19/04/2024
Grass Valley Showcases Next-Generation T3 Series 4K/HD Digital Recording and Pla...
19/04/2024
NiTRo's M-CUBE Studio Levels Up Esports Productions with AJA Gear
Brie Clayton April 19, 2024
0 Comments
Esports' rapid rise to popularity can...
19/04/2024
Blackmagic Design Announces DaVinci Resolve 19
Brie Clayton April 19, 2024
0 Comments
Major update adds new DaVinci Neural Engine AI tools, new color ...
19/04/2024
Sony Pictures Entertainment is reportedly in talks with Apollo Global Management to make a bid to acquire Paramount which itself is currently discussing a merge...
19/04/2024
CBS Stations has launched CBS News California Investigates , with Julie Watts named regional CBS California correspondent. She will uncover and raise awarenes...
19/04/2024
MediaCo Holding, which owns radio stations WQHT (Hot 97) and WBLS in New York, said it acquired Estrella Media's Spanish-language video, audio and digital c...
19/04/2024
Netflix has ordered season five of fantasy drama The Witcher, which will be the final season. Production has recently begun on season four, and the two remainin...
19/04/2024
DirecTV Stream said it added eight more The CW affiliates to its lineup on Thursday....
19/04/2024
CBS has renewed Elsbeth for the 2024-2025 season. The drama, with Carrie Preston in the lead role, debuted February 29....
19/04/2024
With the Bears picking first, NBCUniversal Local's properties in Chicago plan extensive coverage of the NFL draft next week....
19/04/2024
PHILADELPHIA As government subsidies for broadband services come to an end, Comcast has launched NOW, a new product portfolio of lower-cost Internet, mobile and...
19/04/2024
DirecTV Stream has added more local CW stations for its streaming customers in Boston, Charlotte, Cincinnati, Cleveland, Hartford-New Haven Conn., Phoenix, San ...
19/04/2024
NEW YORK & LOS ANGELES MediaCo Holding Inc. has announced that it has acquired all of Estrella Media's network, content, digital, and commercial operations....
19/04/2024
SAN JOSE, Calif. Adobe has announced that the all-new Adobe Express mobile app is available to all users, bringing features powered by Adobe Firefly generative ...
19/04/2024
LOS GATOS, Calif. Netflix reported another blockbuster quarter by adding 9.33 million new subscribers in Q1, 2024 as global paid memberships hit 269.6 million, ...
19/04/2024
The Current State of the Industry and the Future Impact of AI
Hillary Lewis April 18, 2024
0 Comments
The Entertainment Industry: How did we get here ...
19/04/2024
After Effects Tutorial Text Blur Reveal
Andy Ford April 18, 2024
0 Comments
Here's a way to do a quick blur reveal for your text layer. Start by...
19/04/2024
Hollyland Mars M1 Enhanced Wireless Transmitter / Receiver
Colin Smith April 18, 2024
0 Comments
This tutorial shows the new wireless transmitter rece...
19/04/2024
Resolve Fusion: Writing Expressions with Lua
Simon Ubsdell April 18, 2024
0 Comments
The answer to the very frequently-asked question: what is the pro...
19/04/2024
B+C and Next TV have announced the winners of Best of Show Awards for the 2024 NAB Show. The awards were judged by a panel of industry experts at the convention...
19/04/2024
Cate Blanchett narrates the Netflix series Our Living World, which premieres April 17. The four-part series looks at the extraordinary creatures around the glob...
19/04/2024
Apple TV Plus has a spinoff of For All Mankind in the works. It is called Star City and details the cosmonauts, engineers and intelligence officers working behi...
19/04/2024
Jacquie Walker, longtime anchor at WIVB Buffalo, will step down from the anchor desk. She has spent over 40 years at WIVB and her last day as an anchor is May 2...
19/04/2024
Bob Hearts Abishola will premiere in broadcast syndication this fall on such station groups as Nexstar Media Group, Sinclair, Hearst Television, Tegna, E.W. Scr...
19/04/2024
Live With Kelly and Mark remains TV's top entertainment talk show as Kelly Ripa and her co-host and husband Mark Consuelo celebrate their one-year anniversa...
19/04/2024
Sean McLaughlin has been named VP of news for Graham Media Group. He had been senior VP of local news at E.W. Scripps. He will will be responsible for developi...
19/04/2024
Netflix has shared the first trailer from One Hundred Years of Solitude, a series based on the esteemed novel by Gabriel Garc a M rquez. The streamer is on boar...
19/04/2024
NAB 2024 in Review: West Hall - SportsTech Buzz From AWS, Appear, Ateme, The Swi...
19/04/2024
NAB 2024 Draws 61,000+ Attendees With More Than Half Attending the Show for the ...
19/04/2024
Back to All News
Fryshuset and Netflix Collaborate to Support Tomorrows Talent ...
19/04/2024
By Craig Anderton
Impact XT can launch clips, which is great for songwriting (see the blog post Songwriting with Impact XT). But few people realize that Impact...
18/04/2024
ORANGE COUNTY, Va., April 18, 2024 - L3Harris Technologies [NYSE:LHX] has entered into an agreement with Orange County, Virginia, to fund the expansion and mode...
18/04/2024
L3Harris Sky Warden multi-mission aircraft, equipped with the WESCAM MX-15 and WESCAM MX-20 EO/IR sensor systems, was selected for USSOCOMs Armed Overwatch prog...
18/04/2024
MELBOURNE, Fla., April 18, 2024 - L3Harris Technologies (NYSE:LHX) has received ...
18/04/2024
LAS VEGAS The National Association of Broadcasters is reporting that more than 61,000 people attended the 2024 NAB Show, where artificial intelligence and the c...
18/04/2024
Krisha Marcano Announced as Dean of Theater for Boston Conservatory at Berklee The theater educator, choreographer, and performer will join Boston Conservator...
18/04/2024
In August 2023, Dyn Media launched as a new broadcaster in European sports, aimed at giving sports beyond football the exposure and viewership they deserve. The...
18/04/2024
Hitomi Broadcast, market leader in audio/video alignment and latency tools based in the UK, has signed a partnership deal with global broadcast rental specialis...
18/04/2024
Vislink's DragonFly V - The Company's Smallest-Ever Transmitter Debuted ...
18/04/2024
MediaSilo to Offer Camera to Cloud with Atomos
Brie Clayton April 17, 2024
0 Comments
Integration between MediaSilo and Atomos Cloud Studio unlocking ...
HP Partners With Tsinghua to Create a Chinese Technology Powerhouse
