Descriptions:
Bloomberg Technology interviews HPE CEO Antonio Neri following the company’s Q1 2026 earnings, revealing strong AI hardware demand across enterprise and sovereign segments — and a supply situation tight enough that HPE is actively choosing which customers to prioritize. Neri reports mid-20% year-over-year order intake growth in networking and mid-40% growth in data center switching, driven significantly by the Juniper acquisition. Juniper now represents approximately 30% of HPE revenues and more than half of company profit.
A central disclosure is HPE’s ongoing pricing strategy: Neri confirms the company is not done raising prices in response to the supply/demand imbalance and expects the pricing cycle to continue well into 2027, with some stabilization possible in 2026. He identifies DDR memory and NAND flash (SSDs) as the primary bottlenecks constraining revenue, while high-bandwidth memory (HBM) around GPUs is comparatively less constrained. HPE has raised its full-year 2026 outlook to reflect visible supply it can convert to revenue, but notes backlog and order intake exceed what it can currently fulfill.
Neri also highlights a shift in enterprise AI workload composition: inferencing and agentic AI deployments — not just model training — are now the dominant driver of enterprise segment AI revenue. He addresses geopolitical considerations around the Middle East, noting logistics complications from air freight route changes but confirming that regional demand has actually increased over the prior three to four months.
📺 Source: Bloomberg Technology · Published March 10, 2026
🏷️ Format: Interview
