Hewlett Packard Enterprise (NYSE: HPE) has completed its acquisition of high-performance computing technology provider Silicon Graphics International for $275 million to add new data analytics technology and pursue HPC market growth.
HPE said Tuesday the deal also brings new service offerings in addition to the product line as private and public sector customers such as those in the U.S. federal government seek to adopt new HPC tools for business intelligence functions.
Milpitas, California-based SGI generated $533 million in revenue during its last fiscal year and has 1, 00 employees.
Antonio Neri, executive vice president and general manager of HPE’s enterprise group, said the addition of SGI’s portfolio aims to help customers use data management systems for real-time analytics.
IDC‘s Worldwide HPC Server Forecast 2016-2020 estimates HPC as an $11 billion addressable market and the research firm projects a 6 percent-8 percent compound annual growth rate over the next five years.
HPE also aims to accelerate the development of new HPC technologies in the weather mapping, genomics research, life sciences and cybersecurity fields.
The company expects the acquisition to increase its earnings per share after the first full year.