Dell Chasing IBM, HP with 3PAR Acquisition, Analyst Says
Dell's acquisition of virtualized storage specialist 3PAR puts it in a better position to compete with HP and IBM, says a Technology Business Research analyst.Technology giant Dell expanded its storage portfolio Monday with the $1.15 billion acquisition of 3PAR, a provider of virtualized storage solutions with data management features, including dynamic tiering and thin provisioning, for multitenant cloud-computing environments. Dell said it plans to make 3PAR an integral part of its storage portfolio, including PowerVault, EqualLogic and Dell/EMC. Technology Business Research (TBR) analyst Greg Richardson said he believes the deal marks the next rung in Dell's ladder to becoming an enterprise solutions vendor, noting through large acquisitions, including Perot Systems, EqualLogic and, now, 3PAR, Dell is shedding the M.O. of high-volume PC and x86 server manufacturer to become a provider of need-based bundled solutions.
Richardson said the reshaping better positions Dell against competitors IBM and HP, which can address large-scale build-outs of integrated hardware and software with their services and software portfolios. "But, at the same time, Dell can play to its strengths in leveraging standard hardware," he noted. "3PAR's virtualized storage portfolio allows Dell to provide virtual environments that are built on x86 servers and high-end storage. By offering hardware and software that enabled the development of virtualized environments, as well as design, implementation and support services, Dell further positions itself as a solutions provider."