Gartner Research

HPE's Spinoff/Merge of Its Software Businesses to Micro Focus May Create Significant Challenges for Users

Published: 10 November 2016

ID: G00316519

Analyst(s): Neil MacDonald , Dale Vecchio, Shane Harris, Colin Fletcher , Thomas Murphy , Thomas Bittman


On 7 September 2016, HPE announced that it would be spinning off its software group to Micro Focus. While there is promise in a pure-play software company taking on this portfolio, I&O and data analytics leaders need to be cautious until the deal closes in 3Q17.

Table Of Contents
  • Impacts


  • Micro Focus

Impacts and Recommendations

  • Adding HPE's ITOM and ADM offerings to Micro Focus' portfolio creates significant, complex and uncertain overlaps that I&O leaders must plan for now
  • Customers basing their information management and governance strategies on HPE's products should carefully monitor investment, as long-term strategies under Micro Focus are unknown
  • Spinning off HPE's security software portfolio to Micro Focus creates uncertainty for I&O leaders about future strategic investments in those products
  • HPE's "big data analytics" businesses are ripe for growth that will benefit I&O and data analytics leaders if Micro Focus continues and expands investment in these products and product marketing

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