HP takes a risk on acquiring former MySQL CEO's new startup

Hewlett-Packard has moved to purchase cloud services startup Eucalyptus. The acquisition will be the company's first major purchase since the disastrous Autonomy Plc procurement in 2011.

Eucalyptus develops open source software for building private and hybrid clouds. Reuters reported that a source familiar with the deal hinted that HP would pay less than $100 million (£62 million). The deal is expected to finalise in the fiscal fourth quarter.

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Eucalyptus CEO, Marten Mickos, will become senior vice president of HP and head its cloud division. Mickos will report to HP's CEO, Meg Whitman, and also be responsible for building HP's "hellion" cloud service. Prior to Eucalyptus, Mickos was the CEO of MySQL which he grew from startup to globally recognised open-source software.

Mickos believes "Eucalyptus and HP share a common vision for the future of cloud in the enterprise," and explained HP's new strategy: "Enterprises are demanding open source cloud solutions, and I'm thrilled to have this opportunity to grow the HP Helion portfolio and lead a world-class business that delivers private, hybrid, managed and public clouds to enterprise customers worldwide."

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Whitman told the press, "the addition of Marten to HP's world-class Cloud leadership team will strengthen and accelerate the strategy we've had in place for more than three years, which is to help businesses build, consume and manage open source hybrid clouds"

HP has been on the back foot since 2011's $10 billion (£6.2 billion) takeover of Autonomy Plc which left many commentators bewildered, and saw HP's stock price plummet.