Hewlett Packard Enterprise, of San Jose, California, has entered into an agreement to acquire SD-WAN vendor Silver Peak in a transaction valued at $925 million.
Silver Peak will be combined with HPE’s Aruba business unit to extend Aruba’s technology leadership in the SD-WAN space. By combining Silver Peak’s SD-WAN with Aruba’s SD-Branch solutions, partners are expected to be able to simplify branch office and WAN deployments to support remote workforces and enable cloud-connected distributed enterprises.
“HPE was an early mover in identifying the opportunity at the edge and that trend is accelerating in a post-COVID world,” said Antonio Neri, president and CEO of HPE. “With this acquisition we are accelerating our edge-to-cloud strategy to provide a true distributed cloud model and cloud experience for all apps and data wherever they live.”
“Today’s announcement comes at a unique moment for our customers, who are grappling with business recovery in the wake of the pandemic,” said Keerti Melkote, president of Intelligent Edge for Hewlett Packard Enterprise and founder of Aruba Networks. “The need for edge-to-cloud architectures has never been more relevant as enterprises look to extend connectivity to branch locations and enable secure work-from-home experiences.”
Silver Peak claims more than 1,500 production SD-WAN customers around the world.
The transaction is expected to close in the fourth quarter of HPE’s fiscal year 2020.
The companies expect the combination to create opportunities for significant economic upside through enablement of integrated offerings that more effectively address customer needs.