Hewlett Packard Enterprise (HPE) is in the final stages of negotiations to purchase Juniper Networks for approximately $13 billion, the Wall Street Journal news report said on Monday.
Following the leak, stock reactions were notable: HPE shares experienced a 7.7 percent decline, while Juniper witnessed a remarkable 21 percent surge in after-hours trading.
HPE estimates that its first quarter fiscal 2024 revenue will be in the range of $6.9 billion to $7.3 billion. HPE is targeting growth of 2-4 percent in fiscal 2024 revenue from 2023’s revenue of $29.1 billion.
When approached for comment, Hewlett Packard Enterprise chose to abstain from addressing the report, while Juniper Networks remained unavailable for an immediate response to Reuters’ request for clarification.
The proposed deal comes on the heels of HPE’s initiative in unveiling a cloud computing service tailored to fuel AI systems akin to ChatGPT. Meanwhile, Juniper Networks is renowned for its high-performance network infrastructure and service portfolio, encompassing routing, switching, Wi-Fi, network security, AI-driven enterprise networking operations (AIOps), and software-defined networking (SDN) technologies.
