Hewlett-Packard is acquiring software company Opsware for £775m to gain a foothold in the fast-growing datacentre automation software market.
Opsware chief executive Ben Horowitz is likely to lead HP's Business Technology Optimisation organisation and report to Thomas Hogan, senior vice-president at HP Software.
Clive Longbottom, service director at analyst firm Quocirca, said HP was unlikely to break-even on the deal. "I doubt the deal will add £1bn in accretive sales. But it plugs some holes in HP's range which it has been slow to close since it bought Mercury.
Hogan said, "The acquisition of Opsware is intended to help our customers resolve one of their critical pain points: controlling the increasing complexity and cost of managing the datacentre."