HP Enterprise just bought a $1 billion startup for $650 million

HP Enterprise has bought SimpliVity, a Massachussetts-based storage startup, for $650 million in cash.

At the time of $4, in March 2015, the company had $4$4 All in all, SimpliVity had raised $276 million from investors like Kleiner Perkins, Accel, and Waypoint Capital.

That discounted purchase price is not an encouraging sign for the viability of "unicorn" startups of $1 billion or more. In 2017, companies like $4.

SimpliVity competed most directly with Nutanix, a fellow former "unicorn" with a private valuation of $2 billion, that $4.

Both companies were racing to make a dent in the market for so-called "hyperconverged" infrastructure, a more cost- efficient way of handling data center-scale server storage that poses a threat to hardware giants like Dell EMC and HP Enterprise. Spending in this market is expected to reach $19 billion by 2018, Gartner predicts.

By buying SimpliVity, HP Enterprise takes the startup's capabilities and adds it to their own - crucial as the company moves to compete with the combined Dell EMC juggernaut, following the close of their mega-merger. Dell EMC, for its part, has been investing heavily in the market, and $4 to its customers.

On a final note, SimpliVity has an interesting background: $4 that resulted in five casualties. Afterwards, Kempel moved to the United States to work for EMC and, later, IBM.

More recently, $4.

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