HP consolidating data centers | Latest News India - Hindustan Times
close_game
close_game

HP consolidating data centers

None | ByReuters, New York
May 18, 2006 11:42 AM IST

HP would consolidate 85 data centres around the world into six large facilities in the United States.

Hewlett-Packard Co on Wednesday said it would consolidate 85 data centres around the world into six large facilities in the United States, hoping to save $1 billion annually in coming years.

HT Image
HT Image

Shares of HP, which reported better-than-expected profit on Tuesday, rose more than 4 per cent in early trading.

Hindustan Times - your fastest source for breaking news! Read now.

HP said its information technology infrastructure would be run in Atlanta, Houston and Austin, Texas, with two facilities in each city.

Part of the savings will come from a 25 per cent drop in utility costs, the company said. The centres, which would be used for HP's internal requirements, would be designed so that they could be managed remotely. Additionally, the sites are considered less vulnerable to natural disasters, the company said.

HP also plans to save on real estate and data networking costs, said spokesman Mike Moeller. The company also has received some tax incentives from some localities, he said.

Moeller declined to say how many jobs would be cut in the move, but said they were included in layoffs that the company announced last year. HP in July 2005 said it would cut 14,500 jobs. It raised that number to 15,300 in November.

HP will continue to operate more than 70 data centers in 23 countries that provide technology outsourcing and other services for its customers.

HP shares rose $1.27 to $32.38 on the New York Stock Exchange.

Unveiling Elections 2024: The Big Picture', a fresh segment in HT's talk show 'The Interview with Kumkum Chadha', where leaders across the political spectrum discuss the upcoming general elections. Watch now!

Get Current Updates on India News, Election 2024, Arvind Kejriwal News Live, Bihar Board 10th Result 2024 Live along with Latest News and Top Headlines from India and around the world.
SHARE THIS ARTICLE ON
Share this article
SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Friday, March 29, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On