Hewlett Packard Enterprise becomes latest tech company to leave Silicon Valley

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Hewlett-Packard, founded in 1939 in a Palo Alto garage, was one of the original Silicon Valley success stories.. Read more at straitstimes.com.

SAN JOSE, CALIFORNIA - Hewlett Packard Enterprise , formed from one of the founding companies of Silicon Valley, plans to relocate its headquarters to Houston from San Jose, California, following years of waning technology-industry dominance that came with the rise of newer businesses focused on mobile and internet-based computing.

Data analytics software company Palantir Technologies moved its headquarters to Denver, Colorado from Palo Alto, California, earlier this year, CNBC reported. Dropbox CEO Drew Houston also reportedly decided to move to Austin, while the firm said it will stop asking employees to come into its offices and instead make remote work the standard practice.

Sales in the quarter ended Oct 31 were little changed from a year ago at US$7.2 billion . Analysts, on average, estimated US$6.9 billion, according to data compiled by Bloomberg. Profit, excluding some items, was 37 cents a share in the fiscal fourth quarter, HPE said Tuesday in a statement. Analysts had projected 34 cents.

Fiscal fourth-quarter sales increased 6 per cent from the prior period. In the current quarter, HPE projected that profit, excluding some items, will be 40 cents to 44 cents. That compares with an average analyst prediction of 35 cents, according to data compiled by Bloomberg. The company said sales will decline from the preceding period at a percentage in the mid-single digits, in line with normal seasonal patterns. A decline of 5 per cent would indicate sales of about US$6.84 billion.

 

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