Information technology solution provider HP has acquired hybrid work solutions company Poly for $3.3 billion. The cost of acquisition includes Poly’s debt and will include the full portfolio of Poly’s work solutions focused on hybrid, this includes the likes of webcams, video conferencing monitors and services. The deal is expected to close by the end of the financial year, subject to regulatory approval.
HP said that the acquisition is in line with HPs strategy to focus on hybrid work solutions. HP said that 75% of workers are investing in home setups to fulfil needs for video conferencing and better connectivity. Additionally, offices are also undergoing a transformation to adapt to a hybrid work culture, more specifically in digital meeting rooms.
“The rise of the hybrid office creates a once-in-a-generation opportunity to redefine the way work gets done,” pointed out Enrique Lores, president and CEO of HP. “Combining HP and Poly creates a leading portfolio of hybrid work solutions across large and growing markets,” Lores added.
While HP will look to strengthen its offerings in hardware peripherals and workforce solutions, including the entire gamut of digital services, software and devices, Poly could benefit from lower operational costs in the areas of Supply Chain, overheads and manufacturing.
HP said in a statement that it expects to rake up close to $500 million in revenues, and help Poly reach a compounded annual growth rate of 15% over the next three years.
Poly competes against the likes of Dell, Cisco with its hardware and software suite for enterprises. Cisco’s offerings are through its Webex platform while Dell is in its early stages of creating a complete ecosystem of products aimed at hybrid work.