HPE will assume or pay out Nimble’s unvested equity awards, with a value of approximately $200 million at closing.
Flash storage is a fast-growing market and an increasingly important element of today’s hybrid IT environment. According to IDC, the overall flash market was estimated to be approximately $15 billion in 2016 and is expected to be nearly $20 billion by 2020, with the all-flash segment growing at a nearly 17 percent compound annual growth rate.
Nimble’s predictive flash offerings for the entry to midrange segments are complementary to HPE’s scalable midrange to high-end 3PAR solutions and affordable MSA products. Both also have channel programs.
In addition, HPE plans to incorporate Nimble’s InfoSight Predictive Analytics platform across its storage portfolio, which will enable a stronger, simplified support experience for HPE customers. For example, the company said that InfoSight automatically detects 90 percent of all issues within a customer’s infrastructure, and resolves over 85 percent of them. This dramatically reduces the amount of time and effort a customer’s IT team spends on support activities.
“Nimble Storage’s portfolio complements and strengthens our current 3PAR products in the high-growth flash storage market and will help us deliver on our vision of making Hybrid IT simple for our customers,” said Meg Whitman, president and CEO, HPE. “And, this acquisition is exactly aligned with the strategy and capital allocation approach we’ve laid out. We remain focused on high-growth and higher-margin segments of the market.”