And let’s note this – Hewlett Packard Enterprise (HPE) has announced its intention to acquire Juniper Networks in a $14 billion deal to double the size of its networking business. The acquisition is expected to contribute to over half of HPE’s annual operating income and capitalize on the growing market for AI products. While there is potential for overlap with existing product divisions, HPE CEO Antonio Neri sees this as an opportunity to bridge the AI-native and cloud-native worlds and generate significant shareholder value.
HPE is a cloud services provider, and Juniper has AI capabilities. You can generally assume that acquisitions right now are because of AI. That’s our key insight – vendors will be building or buying AI capabilities.