Hewlett-Packard Company (HPQ) Vs Cisco Systems, Inc. (CSCO): Battle for Hybrid Cloud Sector After Getting 27% Market


Hewlett-Packard Company (NYSE:HPQ) and Cisco Systems, Inc. (NASDAQ:CSCO) have crossed every other major market players in the Cloud infrastructure kit domain. According to a new report by Synergy Research Group, more than a quarter of the Cloud infrastructure kit business belonged to Hewlett-Packard Company (NYSE:HPQ) and Cisco Systems, Inc. (NASDAQ:CSCO) in the fourth quarter of last year. This trend is going to continue because the major Enterprise players don’t shift their infrastructure kits in years. Microsoft and Amazon have clearly faced a tough time by HP. Hewlett-Packard Company (NYSE:HPQ) is swiftly moving in the market of Cloud, mobile and tablets. It is launching low-priced tablets and laptops to cut the market share of its competitors.

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IBM changed its server product line X86 circuit chip to Lenovo. This had a devastating effect for the company and landed it on the fifth place. The report says that Cisco Systems, Inc. (NASDAQ:CSCO) has a clear edge in the public Cloud domain whereas Hewlett-Packard Company (NYSE:HPQ) was the market leader in the private Cloud domain. Both companies are working perfectly in the respective fields. Hewlett-Packard Company (NYSE:HPQ) and Cisco Systems, Inc. (NASDAQ:CSCO) got 27% of the market share combined in the Q4 2014. Year 2015 will be a key factor in determining the revenues and business dynamics for these companies as major players are landing the ground with optimized solutions, data centers, chips and software.

The report also said that Cisco Systems, Inc. (NASDAQ:CSCO) clearly dwarfed everyone else solely because of its networking capabilities in the Cloud. Hewlett-Packard Company (NYSE:HPQ) lacks in this area and the completion between Cisco Systems, Inc. (NASDAQ:CSCO) and HP is now heating up. Hewlett-Packard Company (NYSE:HPQ) can gain the edge by tapping into the Hybrid Cloud domain, an area left by Cisco Systems, Inc. (NASDAQ:CSCO) untouched.

Ralph V. Whitworth is one of the shareholders of Hewlett-Packard Company (NYSE:HPQ), having around 28 million shares of the company.

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