HPE finalises Juniper deal, doubling its networking business size

The acquisition was originally announced on January 9, 2024, and was approved by Juniper shareholders on April 2, 2024
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Cecilie_Arcurs

HPE has announced the successful completion of its previously announced acquisition of Juniper Networks, Inc., an AI-native networks player. The acquisition was originally announced on January 9, 2024, and was approved by Juniper shareholders on April 2, 2024.

This development comes after the US Department of Justice, on Friday, settled its lawsuit challenging HPE’s all-cash acquisition of Juniper Networks for $14 billion.

The transaction doubles the size of HPE’s networking business and provides customers with a portfolio of networking solutions. It also accelerates the company’s portfolio mix shift to higher-margin, higher-growth areas and positions the company for long-term profitable revenue growth.

Growth push

“Today begins a new era for HPE – we are now at the epicentre of the transformation of IT, where AI and networking are converging,” said Antonio Neri, President and CEO of HPE.

“In addition to positioning HPE to offer our customers a modern network architecture alternative and an even more differentiated and complete portfolio across hybrid cloud, AI, and networking, this combination accelerates our profitable growth strategy as we deepen our customer relevance and expand our total addressable market into attractive adjacent areas. We look forward to welcoming the Juniper team to HPE.”

“HPE and Juniper have a unique opportunity to disrupt the networking industry at the most important and relevant time,” said Rami Rahim, former CEO of Juniper Networks, who will now lead the combined HPE Networking business. “Together, we’ll be able to provide customers and partners with a secure network that is purpose-built with AI and for AI.”

Strategic vision

The acquisition accelerates HPE’s strategic vision with a full networking IP stack — from silicon, to hardware, to the operating system, to security, to software and services, with a cloud-native and AI-driven approach. This integration will accelerate customers’ deployment and adoption of both hybrid cloud and AI.

The acquisition doubles the size of HPE’s networking business, substantially increasing its scope and total addressable market. The combined company will reach large adjacent markets, including data center, firewalls, and routers, bridging the global strength of HPE in enterprise security-first networking and SASE security with Juniper’s position in data centre, service provider, and AI-native solutions.

The transaction builds on the combined capabilities of HPE and Juniper to provide customers of all sizes with the modern networking architecture to manage and simplify increasingly complex connectivity needs – particularly those driven by data-intensive, hybrid AI workloads. Greater research and development scale will enable faster innovation across networking silicon, systems, and software.

AI-native solutions

Juniper offerings benefit from HPE’s large, global go-to-market model and team. The combined company will offer secure, AI-native solutions with the ability to collect, analyse, and act on insightful network data across a broader installed base.

The acquisition of Juniper’s high-margin business is expected to be accretive in the near- and long-term for the combined company. The transaction will be accretive to non-GAAP EPS in year one, post close, with the combined networking business contributing more than 50 per cent of total company operating income.

Published on July 2, 2025