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September 8, 2016

SUSE and HPE to expand Linux and OpenStack relationship in wake of Micro Focus merger with HPE Software

Open source company welcomes the "exciting development".

By James Nunns

SUSE expects to see continued growth and expansion in the wake of the merger of Micro Focus and HPE Software.

Micro Focus, the parent company of the open source software company SUSE, is merging with HPE’s Software Business Segment in a transaction valued at approximately $8.8bn and as part of the deal Micro Focus and HPE announced their intent to enter into a commercial partnership around the open source company.

HPE will be naming SUSE as its preferred Linux partner in addition to exploring collaborations that will use SUSE’s OpenStack expertise for joint innovation around HPE’s Helion OpenStack and Stackato Platform-as-a-Service solutions.

SUSE and HPE are working together to define the specifics of the commercial partnership, which is expected to be completed in the fourth quarter of 2016. This will be an expansion of the long-term alliance between the two companies that was focused on bringing to market enterprise Linux and a joint software-defined storage solution.

Nils Brauckmann, CEO of SUSE, said: “SUSE is a company on the move, and today’s developments are the latest evidence of that.

“The merger of Micro Focus and HPE Software is an exciting development on many fronts, particularly SUSE’s growing influence in the market as a key part of what will soon be one of the largest pure-play software providers in the world.

“We are excited to now explore new ways of expanding that strategic alliance into areas such as cloud computing, software-defined networking and applications where open source technology is driving next-generation innovations that matter to our mutual customers.”

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SUSE has been going through a number of changes recently after making CEO, president and CTO appointments. It is also seeing promising revenue growth after reporting an 18% increase in the last fiscal year, while the employee base grew 23%.

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