Cisco, HP Split: No Need to take Sides
Cisco said it would not renew its system integrator contract with HP after it expires at the end of April.
According to Cisco, its system integrator contract with HP will not be removed after it expires because the relationship with HP had evolved from partnership to competition. According to the report on Reseller News as a hint of the break to come, HP had said it would expand its own reseller contract with QLogic for storage switches, a category of product that HP has resold from Cisco.
"The coming change announced Thursday only formalized a break that had been forming over the past few years, analysts said. In the past, HP has resold many of Cisco's high-end enterprise networking products while Cisco has used HP computing platforms, some as the basis for network appliances. Each focused on its own areas of expertise, and though HP did sell networking gear through its ProCurve division, that business was focused mostly on small and medium-sized businesses.'
"However, as data centers become larger and more complex, especially with virtualization, the largest IT vendors are trying to circle the wagons around complete sets of products for those facilities. Cisco and HP are among the most active in this trend, along with IBM, Oracle and Dell, according to industry analysts. Cisco shook up the industry nearly a year ago when it introduced the UCS (Unified Computing System) blade server platform, entering a business where it had never competed. That may have set off the conflict."