The deal, which is expected to be concluded early next year, opens up HP to the iSCSI SAN market and can sit alongside HP's other StorageWorks products that tap into the mid to high end of the market.
In a statement, Bill Chambers, CEO of LeftHand Networks, said that the deal would benefit both resellers and customers: "giving them an extended portfolio of server, storage and networking products and services."
Dave Robertson, senior vice president and general manager of HP's StorageWorks division said the acquisition would provide it with more options for customers looking for technologies at various price points.
"With our strong channel and leading position in the industry-standard server market, we are ideally positioned to deliver this technology to customers worldwide," he added.
Alan Brown, business strategy director at Panacea Services, said the deal made sense.
"It is not a surprise that HP is looking to strengthen its iSCSI SAN and storage virtualisation offering as it's an area it doesn't currently have covered. The acquisition of LeftHand Networks looks like it will be a good move for HP in an increasingly exciting and competitive market, allowing it to compete with the likes of Dell EqualLogic," he said.