News Outta HP

HP drives its stakes between support posts

Preparing for SeparationAs August unfolds and HP's final quarter as a combined company unfurls, the corporation that services some of the targets and platforms for 3000 migrators has already divvied up support access. HP Inc. and Hewlett-Packard Enterprise have become separate support systems. Users are being invited to look in more than one place for answers that were previously at a one-stop shop

In early August, Hewlett Packard Enterprise and HP Inc. will provide two different support portals. When you access HP Support Center, you will be able to select a portal for HP Inc. products or a portal for Hewlett Packard Enterprise products.

HP Enterprise business might have fared a little better in the division.

As of August 1st the HP Support Center Mobile application will only be available for Hewlett Packard Enterprise products such as servers, storage, and networking. A message within the application asks you to update to the latest version.

Results for MPE:iXHP is calling the move a "Welcome to our Two-Car Garage." Assigned to the Enterprise arm of HP (to be known as HPE on the stock market), the MPE/iX operating system still has its small outpost in HPE support pages. For the customers who hold an HP Passport login, access to the existing 3000 patches is promised. However, the web-driven access to patches seems to be locked behind the October, 2013 policy that a current HP support contract is required for patch access.

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TBT: An August Switch of HP Bosses

Carly and LewIn an August of 16 summers ago, the first woman to lead a Dow 30 corporation waded into her new job as HP CEO. Carly Fiorina took the job that the HP board handed her after it ushered lifelong HP employee Lew Platt out of the top seat at Hewlett-Packard. At the first press conference announcing the transfer of power, Platt got himself hugged by Fiorina. It was a disarming move that signalled new days for the HP hegemony, and two years later, changes for the future of the HP 3000.

Fiorina made her mission the overhaul of the collegial HP, a company whose directors believed had missed the opportunity of the Internet. Platt was at the helm while Sun Microsystems ran laps around larger vendors like HP, as well as IBM. The 3000 was gaining its first sets of Internet-ready subsystems that summer, but Sun was already dug in as the first choice for a way onto the Web.

Carly the BossFiorina arrived at her HP job too late to make an appearance at that year's HP World conference in San Francisco. It was an unfortunate circumstance, since the conference represented the largest group of HP customers to gather in one spot for that year, as well as many others. HP was celebrating its 60th anniversary, but it was Year One for the changes that would lead to pursuing growth through acquisitions of ever-increasing size. Within two years, the purchase of Compaq would represent Fiorina's boldest stroke, an acquisition that forced the vendor to select which business lines could be eliminated to prevent overlap.

The Compaq community of VMS users made the cut that the 3000 missed, and some in the MPE community believe that Fiorina knew little to nothing about the division whose futures were considered finished. In time it's become evident that most of the relatively-small businesses in HP built on server and OS technology have little future left at the vendor. One well-known 3000 citizen, the final Interex chairman Denys Beauchemin, reported this summer that VMS is experiencing the same fate as MPE, just a decade and a half later. Its heritage isn't saving it, either.

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Dress Down Fridays, or any other day at HP

Alan May Dress CodeLast week we reported on a culture shift at Hewlett-Packard, relaying a story that the company had a confidential memo in the wild about dress codes. Dress up, it encouraged its Enterprise Group workers. The developers and engineers were a little too comfortable in the presence of clients.

The story became an Internet meme so quickly that HP scrambled to sweep the news away. Alan May (above), the HR director of the complete entity now known as Hewlett-Packard Corporation, even made a dandy video of three minutes full of humor, telling the world that HP workers are grownups and professionals. They decide how to dress themselves.

Running with that latest news, a few veterans of the 3000 community decided the story was just made up by The Register, which uncorked the original report based on a confidential memo they'd acquired. El Reg, as the website likes to call itself, must have been lying or worse.

Not so much, even though that HP video is charming. The Register took note of May's comedy, saying "Fun HP video, but none of this changes anything... except one thing: a webpage in the "HP Technology at Work" section of HP.com, dated August 2013, titled "Being smart about casual" and listing do's and don'ts for workplace attire – such as no short skirts or sandals or ripped jeans, and so on. HP still has a link to the article." HP fixed up that link so it now goes to May's fun video.

HP BonusesThese are interesting times for Hewlett-Packard, a company that this week shared its Oct. 31 split-up details with support customers. It's not clear if May will be in the Hewlett-Packard Enterprise, or with HP Inc. come November 1. For the sake of the Enterprise customers who were former 3000 sites, we hope he stays in the HP segment serving business computing. His hat calls attention to the picture of Bill and Dave on the cubicle behind him. The founders managed a company with an obvious dress code. White shirt, tie, or a nice top and skirt.

The founding 3000 engineers knew that you only get one chance to make a first impression -- the fits-and-starts launch of the 3000 notwithstanding. It took awhile, but eventually what ran on the HP 3000 inside HP became the focus of customer visits, the same kind of visits that sparked that dress code advice that HP seems to have put under its corporate carpet.

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HP-UX marks time after five years

RoadmapUXMay2010That Was Then, This Is Now: the 2010 roadmap above features two HP-UX releases which are no longer in customers' future. Hardware gets its last refresh this year.

HP-UX support lifecycle circa 2015When we last visited the HP-UX roadmap, the journey's destination was advice about when to expect the end of 11i v3 support. Plans for system and platform futures have changed greatly since that article of August, 2010. Back then, customers looked like they'd be facing a 2017 end of HP support for the version of the OS that replaced some MPE installations. The good news is that HP-UX support has now been promised through 2025.

The bad news is that HP's dropped plans to introduce any fresh generations of the OS. According to HP's 2015 roadmap, 11i v4 or v5 are nowhere to be seen. HP now plans to carry v3 from 2007 to 2025. An 18-year lifespan for an enterprise OS's major release is remarkable. Serving the expanding needs of enterprise customers with such a base OS, one that's eight years old today, is unprecedented at HP.

These roadmaps change, and sometimes the adjustments jettison implied promises which can form the bedrock of IT investment planning. The current hardware that runs HP-UX is Intel's star-crossed Itanium chipset in the Integrity servers. Support for HP-UX on the PA-RISC HP 9000s ended last year.

Five years have elapsed since any HP roadmap promised a newer future. This year's version of the HP-UX roadmap shows no forward march in a major release. HP's Unix is marking time, but there are promises of some refreshment. Like any platform roadmap of our modern era, the one for HP-UX "is not a commitment to deliver any material, code or functionality and should not be relied upon in making purchasing decisions." HP 3000 managers who remember 3000-centric conference roundtables will recall what those public promises add up to. Any of those managers who put dollars into Unix are looking at a future with few changes.

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Winds of change blow through HP's closets

It's time to check back in with Hewlett-Packard, the vendor providing enterprise servers and solutions for a meaningful section of the 3000 migrators. Our latest news update involves poaching employees and a nouveau dress code, a subset of the things that any splitting-up corporation might be handling.

Supporting-dress-codeDetails of the HP split into HP Enterprise and HP Inc were rolled out earlier this month, and there's explicit language on how the workforce will be handled once it is halved. Each of the new entities has a one-year embargo on even approaching the other's employees for hiring. For the six months beginning in November of 2015 -- a period when a lot of serious hiring gets delayed -- the two companies cannot hire from the other's ranks. If an employee is fired by Enterprise or Inc, then it's open season.

To sum up, if a talented HP staffer wants to work at the other HP before next June, getting fired is the fastest way to get permission. That might turn out to matter more than it appears, since the company just floated a memo in the Enterprise Services group, including HP-UX and Proliant operations, about professional dress, according a report from the website The Register.

Men should avoid turning up to the office in T-shirts with no collars, faded or torn jeans, shorts, baseball caps and other headwear, sportswear, and sandals and other open shoes. Women are advised not to wear short skirts, faded or torn jeans, low-cut dresses, sandals, crazy high heels, and too much jewelry. 

It wouldn't be unprecedented. When former CEO Carly Fiorina took her first tour of former Compaq facilities, post-merger, employees there were told to don "western wear" as a welcoming gesture.

That was at least a merger. Nothing the size of Hewlett-Packard has ever tried to cleave itself into two complementary pieces remaining in the same business sector. This is uncharted territory, but a dress code memo and limited job transfer options might deliver some new talent into the non-HP workforce. Meanwhile, the current CEO says that turning around the company has been relatively easy.

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The Weekend a User Group Went Lights-out

Light switchTen years ago this week, the Interex user group went dark in both a digital and literal way. The organization that was launched 30 years earlier to serve HP 3000 customers took down its website, shuttered its servers, and shut out the lights to lock up its Sunnyvale, Calif. offices. A bankruptcy went into its opening days, one that would take more than two years to make its way into Federal Court. But the immediate impact was the loss of the tent-pole gathering for the 3000 community, that year's annual HP World conference.

Millions of dollars in hotel guarantees, prepaid advertising, and booth exhibitor rents went unpaid or unreturned. It was more than the loss of an event that had a 28-year history of joining experts with customers. The Interex blackout turned off a notable light that might've led to a brighter future for a 3000 community still looking for answers and contact with vendors and expertise.

Looking back from a decade later, signs were already evident for the sudden demise of a multi-million dollar organization with 100,000 members of some pedigree. Tens of thousands of those members were names in a database and not much more, places where the Interex tabloid HP World could be mailed to generate advertising revenues. A core group of users, devoted to volunteering and rich with tribal, contributed knowledge about HP's servers, was far smaller.

HP World 2005 webpageInterex was all-in on support and cooperation with the Hewlett-Packard of 2005, but only up to a point on a crucial user group mission. The group was glad to re-label its annual conference after the vendor, as well as that monthly tabloid. HP held the rights to both of those names once the group made that transition. There was an HP liaison to the group's board for decades. The key managers in the 3000 division made their first-person 2002 articles explaining HP's 3000 exit available to the Interex publications. Winston Prather wrote "it was my decision" on pages published by Interex.

But in 2004, HP sowed the seeds of change that Interex watered with a no-collaboration decision. User groups from the Digital VMS community agreed to cooperation with HP on a new user conference, one to be funded by HP. Interex's directors polled the member base and chose to follow an independent route. The Interex board would stick to its plans to exclusively produce the next HP World. Advocacy was at stake, they said, and Interex's leaders believed the group would need its own annual meeting to keep asking HP to do better.

HP began to sell exhibitor space for an HP Technology Forum against the Interex HP World booths. Just before the HP World San Francisco Moscone Center wanted its final payment — and a couple of weeks after exhibitors' payments were in hand — the tune the 3000 world heard was Boom-boom, out go the lights.

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Run-up to HP split-up sees enterprise splits

HP new logoLater this week, Hewlett-Packard will announce the financial roadmap for the business that will become HP Enterprise, holder of the futures of the HP 3000 replacements from the vendor. More than the accounting is in flux, though. Today the vendor announced the executive VP of its Enterprise Group will be gone before the split-up takes place.

Bill Veghte will split the HP scene, leaving "later this summer to pursue a new opportunity." Big vendors like HP rarely track where an exec like Veghte is heading next. It's not in the same direction as the business that makes Integrity servers, the HP-UX operating environment, or the competitive mass storage product lines that some migrators have invested in.

He's been leading the efforts to separate the consumer printer PC side of HP from its Enterprise sibling, a sort of cleaving of what's become a Siamese twin of business at the vendor. It's been a project underway since last fall, employing Veghte after COO work. This is not the kind of announcement you want to release before a massive split is completed. HP's original estimate for revenues of HP Enterprise was $58.4 billion, larger than the PC-printer side.

There have been exits from a seat this high before at HP. Dave Donatelli left the company, and now has landed at arch-rival Oracle. From a tactical perspective, or at least not quite as customer-facing, HP's got to clone 2,600 internal IT systems, extracting and separating the data inside. It's the opposite effort of a merger, with no safety net. The Wall Street Journal says the IT enterprise split could stall the split-up of the company, if the project doesn't go well.

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More open HP shares its source experience

GrommetIt's not fair to Hewlett-Packard to portray its Discover meeting this week as just another exercise in putting dreams of industry-rocking memristor computing to rest. The company also shared the source code for one of its products with the world, a tool the vendor has used itself in a profitable software product.

HP’s Chief Technology Officer Martin Fink, who also heads up HP Labs, announced the release of Grommet, HP’s own internal-use advanced open source app. The platform will be completely open source, licensed for open use in creating apps' user experience, or UX as it's known in developer circles. Fink said Grommet was HP’s contribution to the IT industry and the open source community.

Grommet-iconHP says "Grommet easily and efficiently scales your project with one code base, from phones to desktops, and everything in between." The vendor has been using it to develop its system management software HP OneView for more than three years. The code on GitHub and a style guide help create apps with consumer interfaces, so there's a uniform user experience for internal apps. Application icons like the one on the left are available from an interface template at an HP website.

The gift of HP's software R&D to a community of users is a wide improvement over the strategy in the year that followed an exit announcement from MPE/iX futures. A campaign to win an MPE/iX open source license, like the Creative Commons 4.0 license for Grommet, came to naught within three years of that HP notification. There were some differences, such as the fact that HP still was selling MPE/iX through October of 2003, and it was collecting support money for the environment as well.

The 3000 community wanted to take MPE/iX into open source status, and that's why its advocacy group was named OpenMPE. It took eight more years, but HP did help in a modest way to preserve the maintainability of MPE/iX. The vendor sold source code licenses for $10,000 each to support companies. These were limited licenses, and they remain a vestige of what HP might have done -- a move not only echoed by Grommet, but reflected in HP's plan to move OpenVMS to a third party.

"I guess there is a difference between licensing the MPE code and then distributing it," our prolific commenter Tim O'Neill said last week.

I have heard that HP hangs onto the distribution rights because they are afraid of liability. Surely they do not, at this point, still seek to make money off it, do they? Is there some secret desire within HP to once again market it?

It feels safe to say not a bit of desire exists in HP today, even though Grommet shows the vendor can be generous with more mainstream tech. In at least one case, HP's offer of help with MPE's future was proactive, if not that generous.

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HP's Machine dream migrates off OS plan

Technology Migrates AwayThe HP Discover show has wrapped up its second day, an annual event full of sales and engineering staff from the vendor as well as high-line customers. The show included an introduction of the new logo for the Enterprise half of Hewlett-Packard, a spinoff the vendor will cleave off the company in October. It's an empty green rectangle, something that drew some scorn an an icon bereft of content or message.

CEO Meg Whitman said the green represents growth and the rectangle is a window on the future. We can only hope that a logo for a $65 billion corporation that turns out to be a rectangle in green has a good discount attached to the project's invoice.

HP new logoBut another session today that can be consumed on Livestream.com showed a consistent removal of substance from HP's dream factory. The Machine, a project that reportedly was attracting more than half the R&D budget for the full corporation, had its mission backed away from the platform that promised to lead into computing's future. A computer built around the long-pursued memristor will make a debut sometime next year, but bearing standard DRAM chips instead. Of greatest interest to HP 3000 customers, former and those still current, is abandoning the R&D to create a Machine operating system.

An OS for the Machine would have been HP's first such project since MPE. HP hasn't built an environment from scratch since MPE was introduced in the 1970s. Its Unix began in Bell Labs with System V, NonStop was created at Tandem, and VMS was the brainchild of DEC. The Palm OS came from the company of the same name, and HP sold that software to Samsung to be used in refrigerators. HP's head of Labs Martin Fink said that Linux will be the software heartbeat of the Machine going forward. Creating a computer that runs Linux: Nothing there to suggest there's new love for software R&D in Fink's labs.

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HP disses synergies as Q2 flows downhill

HP Enterprise Group Q2 2015 summaryPenetration rates increased for HP's Business Critical Systems in the company's second quarter of 2015, year over year. And the corporation that sold thousands of HP-UX systems from that BCS to HP 3000 migrators reported that it has spent more than $400 million in dis-synergies in the just-finished quarter. Such were the milestones of financial jargon delivered to explain Q2 business. On the strength of profits that met expectations, analysts said the last 90 days of business didn't sink the SS Hewlett-Packard any further.

But the $25.5 billion in sales dropped from last year's Q2, and the revenues fell from the previous quarter as well. HP is selling less -- especially in the enterprise servers it created like Integrity -- and its already spending hundreds of millions to split itself into Enterprise and PC-printer companies. Halfway through the final year when all of that business is under one corporate banner, the company is looking ahead to rising reports as a split-up entity.

"HP is becoming stronger as we head into the second half of our fiscal year and separation in November," said CEO Meg Whitman at this afternoon's analyst briefing. The stock had closed at $33.83 and rose about 40 cents a share in after-hours trading.

The strength of the company, a subject of interest only to the 3000 customers who've chosen HP for migrations, must be measured in more than the price of its stock. HP hopes so, at least, since HPQ is trading in the same middle $30 range of 2011. Whitman has held her job since then, a time when PC pursuits and big-ticket acquisitions were the order of the day.

Now HP is merging with a new sense of focus. Merger and acquisition plays have both negative and positive prospects. Savings come through synergies. Declines come through dis-synergies, something HP wrote off as restructuring and separations costs that totalled more than a half-billion dollars.

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Discovering HP's Futures

In a couple of weeks HP computer users will gather for an annual conference in North America. For the past five years, the meeting has been called HP Discover. This year's event is promising to show off visions of the future. Pictures of stalwart enterprise community members will be harder to find.

Computer historyAmong the HP technologies developed as computing environments, only HP's Unix will have a Special Interest Group Forum at the June 2-4 conference. Searching the sessions database for the letters VMS -- pretty special to the Digital customers that HP preferred to serve futures to versus 3000 sites -- yields no hits. If VMS is being discussed at HP Discover, it's likely to be just a topic on the floor.

Stromasys will be on that floor, talking about several platforms whose HP futures have already or will soon enough expire. Charon HPA, emulating the HP 3000 hardware, as well as virtualization products for the Digital systems and even Sun's Solaris computers will be demonstrated. Sarah Smith of Stromasys says it's a regular stop in the company's itinerary.

"At the booth we'll be doing demos of Charon," she said. "We've been going for years. VAX, Alpha, and PDP were all DEC products, so we talk about all of them at Discover."

Meanwhile, HP will be talking about many commodity solutions along with The Machine, its project to deliver six times more power than current computer systems on 1.25 percent of the energy. Its big idea is universal memory, driven by the elusive memristor HP first began discussing in 2008. Universal memory is as inexpensive as DRAM, as speedy as static RAM, as non-volatile as flash memory, and infinitely durable. The Machine is an HP Labs project reputed to have requisitioned 75 percent of the Labs' resources. Its delivery date is far enough out in the future that hearing about its potential is still just about all anybody expects this year, or next.

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Dow hits record while HP shares fall out

On the day the Dow Jones Industrial Average reached a record pinnacle, Hewlett-Packard released quarterly results that pushed the company's stock down 10 percent.

HP Revenue Chart 2014-15HP is no longer in the Dow, a revision that the New York Stock Exchange made last year. HP is revising its organization this year in preparing to split in two by October. The numbers from HP's Q1 of 2015 indicate the split can't happen soon enough for the maker of servers targeted to replace HP 3000s. The company is marching toward a future more focused on enterprise systems -- but like a trooper on a hard course, HP fell out during the last 90 days.

HP said that the weakness in the US Dollar accounted for its overall 5 percent drop in sales compared to last year's first quarter. Sales would have only fallen 2 percent on a constant-currency basis, the company said. It mentioned the word "currency" 55 times in just its prepared marks of an earnings conference call this week. The 26.8 billion in sales were off by $1.3 billion on the quarter, a period where HP managed to post $1.7 billion in pre-tax earnings. 

That $1.7 billion is a far cry from Apple's $18 billion in its latest quarter profits. HP's arch-rival IBM is partnering with Apple on enterprise-caliber deals.

Meanwhile, the still-combined Hewlett-Packard has rolled from stalled to declining over the last 18 months, which represents some of the reason for its bold move to split itself. "Enterprise trends are set to remain lackluster absent a transformative acquisition," said one analyst while speaking to MarketWatch this week. Two-thirds of the $5.5 billion in Printing came from supplies. Ink is still king in the printing group

Industry Standard Systems (Intel-based Windows servers) provided the lone uptick in the report. Sales of products such as the newest Gen9 ProLiants lifted the revenues up 7 percent compared to the Q1 of 2014. HP is ready to take advantage of upcoming rollovers in Windows Server installations.

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TBT: Sure, there's 20 more years of the 3000

Osaka Feb 93 p1New general manager Glenn Osaka felt confident about the 3000's useful life out to 2013 in this 1993 article from the HP Chronicle. (Click for pop-up details.)

Just 22 years ago this month, the leader of the HP 3000 division figured HP would still be selling and supporting HP 3000s working in businesses today. Glenn Osaka was in his first few months running what HP called CSY, a group that was coming up hard against HP's own Unix sales force.

"I think there's another 20 years in it," he said in 1993, "but I can tell you that 20 years from now, we'll probably look back and the 3000 won't be looking at all like it looks today."

Nobody could see a virtualized server looking like HP's proprietary hardware. PA-RISC computing was just becoming dominant. In 1993 there was no serious emulation in enterprise servers, let alone virtualization. The magic of Charon had not even dawned for the Digital servers where the Stromasys product notched its first success.

But HP was thinking big in that February. Osaka said the 3000 was about to take on "applications that traditionally  would have been thought of as IBM mainframe-class applications. That program is going gangbusters for us. To get that new business on the high end of the product line is very effective for us, because it's the most profitable business we can do. More and more of our new business is going to come from people who are coming from mainframes."

The division was posting annual growth of 5-10 percent, which might have been impressive until HP compared it to 40 percent annual growth in its Unix line.

In a year when HP was just introducing a Unix-like Posix interface to MPE, Osaka said HP's "work that we're doing on Unix is very easily leveraged to the 3000, and we're simply using our sales force to help us find the opportunities to bring it to market first." 

He identified the newest generation of the 3000's database as "SQL for IMAGE," something that would help with relationships with partners like Cognos, Gupta Technologies, PowerSoft and more. What HP would call IMAGE/SQL "will give our customers access to these partners' tools without having to change their database management system." A new client-server solutions program was afoot at HP, and the 3000 was being included on a later schedule than the HP 9000 Unix servers.

The server would "carve itself a nice, comfortable niche in some of the spaces we don't even really conceive of today, particularly in transaction-based processing." Osaka would hold the job until 1995, when he'd become the head of the Computer Systems Business Unit at HP. By that time, he'd guessed, HP would still be able to show its customers that "the level of capability that we provide on the 3000 is higher" than HP Unix servers.

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Getting Chromed, and Bad Calls

The HP 3000 made its bones against IBM's business computers, and the wires are alive this week with the fortunes of Big Blue circa 2015. Starting with meetings yesterday, the company is conducting a Resource Action, its euphemism for layoffs. IBM employees call these RAs, but this year's edition is so special -- and perhaps so deep -- it's got a project name. The cutting is dubbed Project Chrome, and so the IBM'ers call getting laid off Getting Chromed.

Excessed Front PageHewlett-Packard has never wanted to call its layoffs by their real name either. The first major HP layoff action during the 3000's watch came in the fall of 1989, when more than 800 of these separations were called "being excessed." Employees had four months to find a new place inside HP, but had to search on their own time. Engineers and support staff were given the option to remain at the company, but jobs at plant guard shacks were among their new career options. Another virulent strain of HP pink slips came in the middle of the last decade, one of the purges in pursuit of better Earnings Per Share that pared away much of the remaining MPE/iX expertise from the vendor.

Aside from bad quarterly reports, these unemployment actions sometimes come in the aftermath of ill-fated corporate acquisitions. This week on CNBC's Squawk Box, analysts identified HP's Compaq merger as one of the worst calls of all time. The subject surfaced after the questionable call that led to a Seattle defeat in Sunday's SuperBowl. A big company's failures in new markets can also be to blame for getting Chromed. IBM has seen its revenues and profits fall over the last year, while mobile and cloud competitors have out-maneuvered Big Blue.

IBM has already shucked off the Cognos development tool PowerHouse as of early last year, but now comes word that other non-IBM software is getting its support pared back in the RA. In the IEEE's digital edition of Spectrum, one commenter made a case for how IBM is sorting out what's getting Chromed. 

I am the last US resource supporting a non-IBM software package, which is in high demand globally -- yet the powers that be seem oblivious to it. Rather than create a dedicated group to go after that business, they cut anyone with that skill, since it is not an IBM product and therefore, "not strategic." Unfortunately the company continues to gamble on their Tivoli products, which clients seem to embrace about as much as Lotus Notes, rabies and bird flu.

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HP's new roster: same minds, old mission

HP has announced its new management lineup for the split company, but many key positions for the refocused Hewlett-Packard Enterprise won't change in the reorganization. Hewlett-Packard Enterprise is the name for the corporation that will sell, support and even develop the HP suggested replacements for the HP 3000. Customers who invested in HP's Unix servers, or even those using HP's ProLiants as Linux hosts, will care about who's leading that new company.

But those customers won't have to spend a great deal of time tracking new faces. Current HP CEO Meg Whitman will head the company that promises to increase its focus on enterprise computing, the kind that HP 3000s have done for decades. While reading the tea leaves and doing the Kremlinology for the heads of HP computer operations, the following leaders are unchanged:

  • Cathie Lesjak will be the Chief Financial Officer
  • John Schultz will be the General Counsel
  • Henry Gomez will be the Chief Marketing and Communications Officer
  • John Hinshaw will be the Chief Customer Officer and lead Technology & Operations
  • Martin Fink will be the Chief Technology Officer and lead Hewlett-Packard Labs

Veghte-1-72While remaining as the General Manager of Enterprise Group, Bill Veghte will lead the Hewlett-Packard Enterprise separation efforts. He's not doing a small job now. The Enterprise group is a $28 billion annual revenue business that includes server, storage, networking, technology services, and cloud solutions. Giving him transition duties is reminiscent of the days when leading the HP 3000 operations as GM had devolved into a part-time job, shared with the GM duties of HP's Business Intelligence Unit. It's different this time; there's a second-in-command who'll manage the Enterprise Group operations in this year of transition.

With HP's Labs, Enterprise chiefs, and the head of the boardroom table all the same, it will be interesting to see what changes get managed with the old team. HP will have an old mission, too -- very old, from the era before it heard the siren song of consumer computing. 3000 customers used to wish for an HP that was marketing-savvy. When that HP arrived, it seemed to quickly forget the 3000. There was a renaissance in the 3000 thinking and plans from Roy Breslawski in marketing, and Harry Sterling as GM. But Sterling was then handed Business Intelligence GM duties alongside his 3000 mission. Within a couple of years after Sterling retired, the 3000 was out on the chopping block.

Nobody knows what will be excised from the Hewlett-Packard Enterprise that's going to have to get even leaner as a smaller entity. But at least that Enterprise won't be spending a lot to lure new executives with fat recruiting packages like the one given to Mark Hurd. That was at the peak of the consumer pursuit at HP. Some might call it the nadir, from an enterprise computing perspective.


What's ahead for the HPs of 2015?

Business-crystal-ballLast year Hewlett-Packard announced it's going to split up in 2015. Right now it's a combined entity whose stock (HPQ) represents both PC and enterprise business. But by the end of this fiscal year, it will be two companies, one called HP Inc. and another holding the classic Hewlett-Packard name. Any of the enterprise business that HP's managed to migrate from 3000s sits in that Hewlett-Packard future.

Most of time, the things that HP has done to affect your world have been easy to see coming. There's a big exception we all know about from November of 2001. But even the forthcoming split-up of the company was advocated for years by Wall Street analysts. It was a matter of when, some said, not if.

TV ad terminal shotIf can be a big word, considering it has just two letters. There was an HP ad campaign from 30 years ago that was themed What If. In things like TV commercials that included shots of HP 3000 terminals, What If sometimes proposed more radical things for its day, like a seamless integration of enterprise mail with the then-nouveau desktop computers.

What IfHP called that NewWave, and by the time it rolled out the product looked a lot like a me-too of Apple and Microsoft interfaces. But What If, rolled forward to 2015, would be genuinely radical if there were either no HP left any more, or Hewlett-Packard leveraged mergers with competitors.

What If: HP's PC and printer business was purchased by Lenovo, a chief competitor in the laptop-desktop arena? Its new CEO of the HP Inc spinoff ran Lenovo before joining HP. On the other hand, what if HP bought Lenovo?

What If: Hewlett-Packard Enterprise became a property of Oracle? That one is a much bigger If, considering that HP's built hardware in massive quantity for a decade-plus along four different product lines: Integrity, PA-RISC (still generating support revenues in HP-UX), ProLiant x86s, and its dizzying array of networking products. You could even label forthcoming dreams like The Machine, or the Moonshot systems, as hardware lines. Oracle's got just Sun systems. As 3000 customers know, hardware is not a firm stake in the ground for business futures.

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A Quiet December Week's MPE Ripples

The week of Christmas is a quiet one for business and enterprise IT. Sales calls and installations are at a minimum, companies work with skeleton crews, and announcements of news are rare. But nine years ago the week of Christmas was hot with a 3000 development, one that has ripples even today.

HolidayrippleIn the Christmas week of 2005 — back when HP still worked full shifts over the holidays — the 3000 division released news that HP's support lifespan for MPE would be extended. What had been called a firm and solid date of HP's departure got moved another 24 months into the future. The news was the first unmistakable evidence that the migration forecast from HP was more wishful than accurate.

As it said it would offer basic reactive support services for 3000 systems through at least December of 2008, the vendor confirmed that it would license MPE source code to several third parties. The former put a chill on migration business in the market, sending vendors -- services and software suppliers alike -- looking for non-3000 markets to service. The latter gave the support community a shot of fresh competition over the afterlife beyond the Hewlett-Packard exit.

In one of the more mixed messages to the community, HP said customers should work with the vendor to arrange support until migrations could be finished. The 3000 division also said its license for MPE source was going to "help partners meet the basic support needs of the remaining e3000 customers and partners." It would take another three years, beyond the closing of the MPE lab, for that source code to emerge.

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HP Q4, FY static; 3000 replacement sales fall

Enterprise Group totals Q4 2014Despite all of the challenges Hewlett-Packard faced over the past fiscal year, the company has reported sales and earnings that didn't fall much from FY 2013 levels. Falling sales of HP 3000 replacement systems remain on the balance sheet, however. Nothing has changed but the depth of the plunge.

Both the 2014 fiscal year and the Q4 numbers (click on graphics for details) reflected an ability to keep some declines off the HP financial report. The latest quarter improved on Q2 and Q3 results overall. HP reported a profit of $2.62 per share for 2014. That's nearly $5 billion in earnings company-wide.

If the company sticks to its plan, its total of $115 billion in 2014 sales, only down 1 percent from last year, covers the penultimate period HP reports as a full company. By the end of FY 2015, the corporation will separate its businesses and spin off HP, Inc. for consumer and PC products. Hewlett-Packard will remain to sell servers and enterprise computing products and services. Analysts expect the companies to be of equal size.

Revenue shares Enterprise Group Q4 2014The total of HP's Business Critical Systems revenues took another hit in the fourth quarter, dropping almost 30 percent from Q4 of 2013. Double-digit percentage drops in BCS sales are commonplace by now. The unit produces the HP-UX systems HP once designated as replacements for the HP 3000. Intel-based systems, contained in the Industry Standard Servers operations, also saw their sales decline slightly. Networking revenues were slightly higher for the quarter.

The company's CEO was thrilled about the overall picture for the full company, calling it a sustained turnaround.

"I'm excited to say that HP's turnaround continues on track," said Meg Whitman. "In FY14, we stabilized our revenue trajectory, strengthened our operations, showed strong financial discipline, and once again made innovation the cornerstone of our company. Our product roadmaps are the best they've been in years and our partners and customers believe in us. There's still a lot left to do, but our efforts to date, combined with the separation we announced in October, sets the stage for accelerated progress in FY15 and beyond." 

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Something to give thanks for, and envy, too

On the eve of a holiday invented to promote thanks as well as outsized eating, Thanksgiving reminds us of what a 3000 user can thank the gods for -- and something to envy, too.

OpenVMS-HPProlific commenter Tim O'Neill asked, "Can you write about the current futures of other no-longer-supported systems such as HP 1000, Alpha, and old HP 9000s such as Series 300/400/700?" We can write that the HP 1000, a product line which HP turned off just after Y2K, still has third parties who will maintain and support RTE operating system applications. The HP 1000 got a proper emulator from Strobe Data, engineered in time to capture the business of companies who couldn't part with RTE apps.

A similar story is true of the AlphaServer line from HP. Killed off in the last decade, Alpha is a third-party supported product. No other Alpha computers were built after HP shunted its users to the Integrity line, a migration path of dubious future by now. Alpha has a good emulator in the AXP version of Charon from Stromasys, the company providing a future for long-serving MPE/iX apps, too. The presence of Charon prompts thanks from companies who can't support the concept of decade-old HP hardware running MPE/iX.

But while the Alpha and the 3000 will live on in the virtualization of Stromasys, they can be envious of the deal another retiring environment received this year. OpenVMS will live on in an exclusive license to VMS Software Inc. (VSI). The company got the arrangement to carry OpenVMS forward with new versions using the HP source code for the operating system.

The details released haven't yielded much more than a third-party road map for the OS, up to now. But that's a future with some tantalizing what-if's, both for the OS and for the 3000 user who wanted more MPE/iX future back in 2002. OpenMPE campaigned for use of HP's source code for MPE and got an arrangement that was announced six years ago this week. That source was limited to a technical support resource, however.

If, as happened with OpenVMS, that source had been promised to a single third party, six years before HP would drop support, there could be more to be thankful for this week. Extended third party applications. Support for newer technologies. A replacement vendor, blessed by HP, to mention in boardroom meetings about the 3000's future.

Perhaps OpenVMS customers should be thankful for something else, too: The lessons HP faced about ending the life of a business operating environment, an OS that brought HP to the computing game. Third parties that love and care for a legacy computer were on hand for the 3000. They fell short of convincing Hewlett-Packard to turn over a marketplace. Maybe HP learned that leaving customers with no better choice than replacing a system with Windows wasn't great business.

We'll give thanks for a few days off to celebrate this holiday with family in the Great Lakes -- regardless of frigid weather. We'll be back on Monday.


Security experts try to rein in POODLE

PoodlelocksSometimes names can be disarming ways of identifying high-risk exploits. That's the case with POODLE, a new SSL-based security threat that comes after the IT community's efforts to contain Heartbleed, and then the Shellshock vulnerability of the bash shell program. HP 3000s are capable of deploying SSL security protocols in Web services. Few do, in the field; most companies assign this kind of service to a Linux server, or sometimes to Windows.

The acronym stands for Padding Oracle on Downgraded Legacy Encryption. This oracle has nothing to do with the database giant. A Wikipedia article reports that such an attack "is performed on the padding of a cryptographic message. The plain text message often has to be padded (expanded) to be compatible with the underlying cryptographic primitive. Leakage of information about the padding may occur mainly during decryption of the ciphertext."

The attack can also be performed on HP's Next Generation Firewall (NGFW), a security appliance that is in place protecting thousands of networks around the world. Other firewalls are at risk. Just this week HP released a security patch to help the NGFW appliances withstand the attack. External firewalls are a typical element in modern web service architectures.

A POODLE attack takes a bite out of SSL protections by fooling a server into falling back to an older SSLv3 protocol. HP reported that its Local Security Manager (LSM) software on the NGFW is at risk. But a software update is available at the HP TippingPoint website, the home of the TippingPoint software that HP acquired when it bought 3Com in 2010. TippingPoint rolled out the first HP NGFW firewalls last year.

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TBT: There Used to Be a Lab Around Here

Screen Shot 2014-10-23 at 4.56.26 PMAbove, the Glendenning Barn Picnic Area, one of the signature elements of Hewlett-Packard's Pruneridge Avenue campus, heartland of HP's 3000 business. It's all been razed to below-ground level, as Apple builds its new intergalactic headquarters on the site.

Screen Shot 2014-10-23 at 4.58.02 PMOne of the lesser-known tunes from the Frank Sinatra songbook is There Used to Be a Ballpark Around Here. The sentiment of the song wraps around the wistful view that something unique is now gone. Apple has posted the greatest quarter of business in the company's history. All through this year, it's been steadily displacing the HP labs where the 3000 and other products were designed and improved.

Screen Shot 2014-10-23 at 4.57.21 PMOne 3000 engineer posted pictures of the current state of the 3000's estate. Only a multi-story mound of earth can be seen where handsome walkways, cooperative parking and stately poplars and pines were once the sentinels around the campus. People called their journeys to this location "a factory visit." One day while I was there on a press briefing, I was shown downstairs to a lower level -- where a manufacturing line was rolling out Series 68 servers.

Screen Shot 2014-10-23 at 4.56.51 PMHP's been cutting back on many things to maintain its profitability. Real estate has been at the head of the list the company no longer needs. You can consider that HP has closed its MPE/iX labs in California, yes. But the labs themselves -- cubicles and miles of network cables and office furniture and meeting rooms named after types of trees like Oak and Maple -- those are all gone now, the home of more than 3000 enterprise computing. It's all been moved away and changed.

Screen Shot 2014-10-23 at 5.15.43 PMSteve Jobs and Larry Ellison once walked the streets of Palo Alto and bemoaned the changes at Hewlett-Packard, not quite five years ago this fall. Apple, Jobs hoped, would be built to last as long as HP and become the kind of headwater for inspiration and innovation that Hewlett-Packard was. The street that faced that Pruneridge Avenue entrance had Tandem Computer on the facing curb. Tandem, spun off from HP by James Treybig, until HP assimilated it to become its NonStop group. Now the spinning comes anew to this street, soon enough to be the site of a spaceship-sized Apple HQ.

Apple has done all that it can to become the HP of innovation, plus added an ability to capture the lightning in a bottle of excitement about new tech. It's a fulfullment of Jobs' dream to see the company rise up on the ballpark site of HP's enterprise computing labs.


Tracking MPE/iX Vulnerability to Shellshock

Security experts have said that the Shellshock bug in the bash shell program is serious. So much so that they're comparing it to the Heartbleed breach of earlier this year. Many are saying Shellshock is even more of a threat.

Screen Shot 2014-10-17 at 8.22.33 PMOnce again, this has some impact on HP 3000s, just like Heartbleed did. But you'll need to be managing a 3000 that's exposed to the Internet to see some risks to address as part of system administration. Web servers, domain name servers, and other net-ready services provide the opportunity for this malware. There's not a lot of that running in the customer base today, but the software is still sitting on the 3000 systems, programs that could enable it.

Authorities fear a deluge of attacks could emerge. The US government has rated the security flaw 10 out of 10 for severity.

Bash is open source software, and our expert on that subject Brian Edminster is working on a specific report about the vulnerabilities. Hewlett-Packard posted a security bulletin that points to a safer version of the bash shell utility. But that version won't help HP 3000s.

It's not that HP doesn't know about the 3000 any longer. The patching menu above shows that MPE is still in the security lexicon at Hewlett-Packard. But Edminster thinks the only way to make bash safe again on MPE might be to port it a-fresh. "The 3000's bash is version 2.04, but the version that's considered 'current' is 4.x (depending on what target system you're on)," he said. "So if v2.04 is broken, the code-diffs being generated to fix the issues [by HP] in late-model bash software won't be of much (if any) use."

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Signed malware stalks HP's Windows boxes

HP will be revoking a security certificate for its Windows-based systems on Oct. 21, and the vendor isn't sure yet how that will impact system reliability.

StalkingThe bundled software on older HP PC systems has been at risk of being the front-man for malware, according to a report in the Kerbs on Security website. This code-signing is supposed to give computer users and network admins confidence about a program's security and integrity. HP's Global Chief Security Officer Brett Wahlin said the company is revoking a certificate it's been using even before 2010.

HP was recently alerted by Symantec about a curious, four-year-old trojan horse program that appeared to have been signed with one of HP’s private certificates and found on a server outside of HP’s network. Further investigation traced the problem back to a malware infection on an HP developer’s computer. 

HP investigators believe the trojan on the developer’s PC renamed itself to mimic one of the file names the company typically uses in its software testing, and that the malicious file was inadvertently included in a software package that was later signed with the company’s digital certificate. The company believes the malware got off of HP’s internal network because it contained a mechanism designed to transfer a copy of the file back to its point of origin.

The means of infection here is the junkware shipped with all PCs, including HP's, according to HP 3000 consultant and open source expert Brian Edminster. In this case, the revoked certificate will cause support issues for administrators. The certificate was used to sign a huge swath of HP software, including crucial hardware and software drivers and components that are critical to Windows.

"This is one of the reasons that I absolutely loath all the 'junkware' that is commonly delivered along with new PCs," Edminster said. "I end up spending hours removing it all before I use a new PC." Recovery partitions on Windows systems will be at unknown risk after the certificate is pulled Oct. 21, too.

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When Smaller Can Be Better

SmallgoldfishHewlett-Packard has chosen to cleave itself into two much smaller companies. It will take most of the next year to make that a reality. But it might be an advantage to return to working with a more nimble company. Well, an advantage to the 3000 site that's migrating to HP's other computer enterprise solutions, or has done so recently.

Over at the New York Times, the tech writers found something to praise even while they questioned the wisdom of the move. 

In one day, Meg Whitman has created two of America’s biggest companies. All she had to do was break apart Hewlett-Packard, the company credited with creating Silicon Valley. HP Enterprise is targeting a market that appears full of potential innovations, while HP Inc. seems stuck in the low-margin consumer hardware business that has proved a slog for companies not named Apple or Samsung.

It appears Whitman has found a vision: one that looks a bit like the IBM of the West — with an emphasis on products rather than IBM’s consulting services — and another that looks a bit like Compaq Computer, a Texas computer company that HP controversially merged with 12 years ago.

A long time ago, in a marketplace now far away, 3000 owners wished for some breaking off. The HP 3000 wasn't a part of Hewlett-Packard's vision? Fine. Sell the unit off and let's get on with a focused future. At the time, the business was said to turn over $1 billion yearly. Even at half that size, it would've been big enough to survive with customer loyalty. If the 3000 had nothing else going for it, you could count on loyalty.

All opportunities now gone, you say. You just cannot break up an enterprise tech player like that. Then Whitman chops a massive company into two much smaller parts. Smaller has been better for the typical 3000 customer for a long time. Yes, there are times when there are advantages of being big: When a 3000 user got more from a company which sprawls to supersize, in sales and scope of solutions. You get predictability, alliances and headroom from companies sized HP. The vendor so lusted after being No. 1, which did not become a path to long-term success.

3000 community members understand that smaller can be better -- not bigger -- especially when they use what the independent vendor lives upon. Small companies respond faster, polish relationships, and commit for life.

Faster response can mean software that is enhanced sooner, or answers that resolve problems more quickly -- because a smaller company has fewer layers for a customer to dive through. Relationship polishing is the personal attention to a company of any size: the kind of experience that HP 3000 managers, who may now be CIOs and CTOs, recall getting from a smaller HP.

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TBT: A 3000 Newsworthy Birth Day

Inaugural IssueThe first issue of the Newswire ran its black and red ink across 24 pages of an early October issue. Inside, the first FlashPaper late-news insert had been waiting a week for main-issue printing to catch up with mailing plans.

In our ThrowBack to this week of 1995, the first issue of The 3000 Newswire rolled out into the mails. The coverage of the HP 3000 was cheerful enough to encourage a belief that the computer would run forever -- but 19 years of future was far from certain for either the system or the first 3000-only publication. Volume 1 (the year), Issue 1 came out in a 24-page edition, the same page count of the printed issue that just mailed this Fall. At the Newswire's introduction, one user group leader wondered aloud, on a bus ride during the Interex '95 conference in Toronto, "what in the world you'll might be able to find to fill up the news in Issue No. 2."

The last of the competing HP-only publications closed its doors 10 years later, when Interex folded its user group overnight. Interact, HP Professional, SuperGroup, HP Omni and others turned out the lights during that decade.

The Newswire's first mailed issue was carrying the news circulating in mid-August during an Interex conference. For the first time in 10 years, an HP CEO spoke at the Interex event. However, Lew Platt was a current CEO when he spoke to the 3000 faithful. David Packard was a former CEO and board member when he addressed the multitudes at Interex '85 in Washington DC.

Platt said that HP 3000 users had nothing to fear from a future where Unix was in vogue at HP. Earlier in the day, speaking before the full assembly of users, he said HP was going to making new business by taking out older products. At an editor's luncheon we asked him what that mission held for the 3000.

Platt explained his prior comments on cannibalizing HP's business to maintain steady growth. MPE/iX won't be served up in a pot anytime soon. "I don't mean leaving customers high and dry," he said. "HP has worked extremely hard with products like the HP 3000 to make the people who have bought them have a good future. We've put an enormous amount of energy out to make sure we can roll those people forward. I'd say we've done a better job than just about any company in the industry in providing a good growth path for those customers."

The CEO went on to explain how cannibalization would work. HP would take a product, such as a printer, that was doing perfectly well and may still be a leadership printer in the market -- and bringing in a new one before it's reached its end of life. If you substitute "business server" for "printer" in that plan, you can see how a computer that was doing perfectly well might see a new computer brought in before the end of its life. In that issue, the Newswire story noted that the project we'd learn to call Itanium six years later was going undercover, so that new product wouldn't lock up existing server business for a year before it would ship.

HP was calling the joint effort with Intel the Tahoe architecture, and Platt would be retired from his job before anything shipped.

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HP decides to break up the brand

HP Enterprise Corp. StrategyAnd in one stroke of genius, it's become 1984 again at Hewlett-Packard. Yesterday brought on a new chorus for an old strategy: sell computers to companies, and leave the personal stuff to others. Except that one of the others selling personal computers, plus the printers usually connected to PCs, is another generation of the company. The CEO of Hewlett-Packard is calling the split-off company HP Inc. But for purposes of mission and growth, you could call it HP Ink.

AnalysisTo be clear, that's a broad definition we used up there to define that stroke of genius. Brilliance is something else, but genius can be just a powerful force for good or for ill. Definition 3 of the word in Apple's built-in dictionary on my desktop calls genius "a person regarded as exerting a powerful influence over another for good or evil: He sees Adams as the man's evil genius." It's from Latin meaning an attendant spirit present from one's birth, innate ability, or inclination.

What's become the nature of Hewlett-Packard, its innate ability? The company was founded on one ability and then had a second grafted onto its first success. It's been 30 years now since 1984, when the vendor which invented MPE and the 3000 has been inventing products for consumers. The LaserJet opened the door for a torrent of ink and toner to sweep around traditional technology innovations. Before there was a need for a battalion of printing devices and a phalanx of personal devices, the old HP logo represented business and scientific computing. Plus a world-leading instruments business whose profile was an icon for what HP was known for best.

HP's been down this path before, splitting off those instruments into Agilent in 1999. A few months later Carly Fiorina won the approval of then-ink czar Dick Hackborn, placing her in the CEO's seat. Yesterday's announcement of splitting the company into two complementary entities returns the Hewlett-Packard name to enterprise computing. But it seems the core values of the only major IT vendor named after its founders won't rebound into favor. Not on the strength of just splitting off high-cost, high volume ink and PC business. HP needs to impress people with what it builds again. Not just what it can aggregate and integrate.

A few notes we took away from that announcement:

  • HP says it aims to be two Fortune 50 companies after breakup, but more nimble and focused
  • "The brand is no longer an issue," say HP executives, and breaking up the brand will create equal-sized businesses.
  • An extra 5,000 layoffs come along with the split-up. The running total is now 55,000 on the clock that started in 2011.
  • HP likes its own idea; prior chairman Ralph Whitworth called it a "Brilliant value-enhancing move at the perfect time in the turnaround."
  • CEO Meg Whitman says HP's turnaround made the breakup possible.
  • Its stock traded more than five times its usual daily shares on breakup news, and picked up almost 5 percent in share value. HPQ also gave away all of that gain, and more, the very next day.

That's how it goes in the commodity computing market: easy come, say the customers, and easy go. It might be why Whitman is helping the brand called Hewlett-Packard break away from the commodity business.

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HP to break itself, dividing into 2 companies

Two public HP companiesCompanies of equal sizes will sell products branded HP. But the blue logo goes to the new HP Inc.

Hewlett-Packard announced this morning that it will divide itself into two publicly-traded corporations, a move that shareholders and stock analysts have been demanding and predicting for years. The division of the company will be along product lines. The business server operations will be contained in the new Hewlett-Packard Enterprise, while PC and printer businesses will comprise the new HP, Inc.

The vendor said in a press release that the restructuring will "define the next generation of technology infrastructure." The reorganization will also spin out the least profitable, but largest, segment of HP's business into its own unit. HP still ranks in the top five among PC makers and is one of the largest makers of printers in the world.

HP double logoMeg Whitman will be CEO and president of the Hewlett-Packard Enterprise company. Pat Russo will chair a new Hewlett-Packard Enterprise board of directors. Last month Hewlett-Packard -- the full corporation founded by Bill Hewlett and Dave Packard in 1939 -- had named Whitman as chairman of the board and CEO. By breaking up the company, Whitman will cede some control of its most competitive and popular product segments.

Dion Weisler will be the head of the new HP, Inc. as CEO and president. Whitman will chair the HP Inc. board of directors. HP said it will still meet its profit forecasts for the fiscal year that ends on Oct. 31. It also said that it "issues a fiscal 2015 non-GAAP diluted Earnings Per Share outlook of $3.83-$4.03." That is the sweetest way of forecasting a profit, using non-Generally Accepted Accounting Practices. But it's not clear if that's HP Inc. profits, or profits for Hewlett-Packard Enterprise. And the vendor said it would take all of fiscal 2015 to complete the transaction.

“The decision to separate into two market-leading companies underscores our commitment to the turnaround plan," said Whitman, who's led HP through three years of a five-year turnaround plan. "It will provide each new company with the independence, focus, financial resources, and flexibility they need to adapt quickly to market and customer dynamics, while generating long-term value for shareholders.

"In short, by transitioning now from one HP to two new companies, created out of our successful turnaround efforts, we will be in an even better position to compete in the market, support our customers and partners, and deliver maximum value to our shareholders."

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Did Charon get to where HP could've gone?

The past can't be changed, but that doesn't mean it's not useful in planning. There are still a surprising number of companies that want to stand pat without regard to the future of their hardware running MPE/iX. Some of it is old already, while other servers -- even those newest -- are now moving into their 10th year of service.

Integrityrx2660_frontHewlett-Packard's planning for the future of MPE/iX hosts once included a bold move. The operating system was going to run natively on Itanium-based servers, the IA-64 Integrity line (above) that hosts VMS and NonStop today. It was a project that did not make HP's budget cuts of more than a decade ago, and so the whole lineup got canceled. There might have been another way, something that HP could arrive at -- years after Stromasys started selling the solution.

Native hosting is always the preferred solution for an OS and its iron, sure. But there's so much virtualization these days; VMware is a significant market force. What if HP had taken MPE/iX and just put it onto another operating system's back? What if the OS that drives 3000 apps might have taken a ride in a carriage of Unix, or Linux?

HP did this sort of miracle once for the 3000, calling it Compatibility Mode. There was a massive revison of hardware and software to arrive at the PA-RISC generation, but the changes were transparent to customers. You ran your apps in CM, until you could move them forward. In the '90s, companies used compatibility mode for years, installing newer hardware and moving up to better performance by revising their applications.

"If all HP had done was to create a Compatibility Mode for MPE on IA-64," said ScreenJet's Alan Yeo, "nobody would have batted an eyelid about swapping to an HP-UX box to run their company's software."

At its heart, this is what Stromasys has done with its software. The only difference to the customers is that it's a solution not sold and supported by their hardware vendor.

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Can HP's cloud deals ground enterprises?

Editors at The New York Times seem to believe the above is true -- or more to the point, that cloud business will come at the expense of HP's hardware revenues. Nobody knows whether this is the way that HP's clouds will rise. Not yet. But a deal to buy an open source software company caught notice of a writer at the NYT, and then came a saucy headline.

Storm-cloudsHP Is Committed to the Cloud, Even If It Kills. The bulk of the story was about Marten Mickos, who sold his company Eucalyptus to Hewlett-Packard and got himself named as General Manager of HP Cloud Business, or somesuch. Open source followers will know Mickos as the man who sold mySQL to Sun, sparking some fury in a customer base that didn't want any connection to major vendor. (As it turned out, Sun wasn't really a major vendor at all, just an object for Oracle acquisition.)

This only matters to migrating customers who use HP 3000s, so if you're still reading and you're homesteading -- or migrating away from HP altogether -- what follows is more for sport than strategic planning. But once more, I'll remind readers that HP is looking for anything that can lift its fortunes. Selling enterprise hardware, like the Integrity servers which are the only island where HP-UX can live, has got a dim outlook. Selling cloud services instead of hardware has plenty more promise, even if it's largely unrealized at HP today.

The rain-clouds in HP's skies come from Amazon, mostly, whose Amazon Web Services is the leader in a growing segment. Eucalyptus works with AWS, and that seems to be the major reason that Mickos gets to direct-report to HP's CEO Meg Whitman. Eucalyptus manages cloud computing systems. HP still sells hardware and software to host private clouds, but an AWS arrangement is a public cloud concept. HP wants to be sure an AWS user can still be an HP customer.

Clouds have a penchant for carrying a customer away from a vendor. Or at least a vendor's hardware. In the NYT story, "HP will have to rely less on revenue from selling hardware, and more on software and service contracts. 'Success will be a tight alignment of many parts of the company,' said Mr. Mickos. 'We have to figure out how to work together.' "

If you go back 24 years, you can find some roots of this HP desire on a stranded pleasure boat in the San Francisco harbor. But until the business critical HP iron stopped selling, the company never believed it would have to set a rapid course for services.

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Shopping While Lines are Dropping

Trendline ESGHP's third quarter financial report showed that a company making adequate profits can also be making products that are not popular any more. The time comes to every product line, but the Hewlett-Packard of 2014 has made steady progress toward commodity-style enterprise computing. The pull into Windows has become a vortex -- and in a bit of irony, Windows' age helped HP's sales this quarter.

Share of Sales Q3 2014The overall numbers were impressive to the markets. Investors lifted the price of HP's stock more than $2 a share, after the briefing, sending it closer to $40 than it's been in years. Meanwhile, the continued downturn of Business Critical Systems scarcely earned a minute's mention. It's off 18 percent from the same 2013 quarter. But it gets less than a minute because BCS products like the HP Unix line, and VMS computing systems -- even the steady but meager business of NonStop -- only comprise 3 percent of the company's enterprise sales. In the circle above, BCS is the rounding error, the most slender slice. Click it to see a bigger picture of that smallest piece.

NetRevbySegment Q3 2014And Enterprise represents just one dollar out of every four that HP earns in sales. This is activity in the Industry Standard Systems. These are the ProLiant servers driving Windows and Linux, business that grew 9 percent. Specialized operating environments like HP-UX just aren't producing new business, and they're losing old customers. If you look over the last three years of Q3 numbers, each and every one shows a double-digit BCS decline. There's only so much clock time on that product wall before irrelevancy pushes a community off HP's futures map. It happened to the HP 3000, but MPE never ruled over HP business computing like Unix once did.

"When I look at the way the business is performing, the pipeline of innovation and the daily feedback that I receive from our customers and partners, my confidence in the turnaround grows stronger." -- Meg Whitman, CEO

So when HP's business in your installed platform shows poor numbers, what do you do? The rest of the company's report looked tame, although you'd wonder why anyone could be sanguine about the future of the company. Printing, Services, Software and Financial Services all dropped their sales top lines. The Enterprise Group grew its business 2 percent overall on a $27.5 billion HP sales quarter. This was accomplished by $57 million of expense cuts. 

Only PC sales grew along with enterprise business. How can a company reporting a 27 percent drop in profits, one that missed its forecast by more than 10 percent, be rewarded on the trading floor? Jim Cramer of MSNBC said there's just enough to like about HP now. That might be due to the history the company has turned back. Everybody on the trading floor remembers HPQ at $12 a share with a fired CEO having followed an ousted CEO. Historic lows are a faded memory now, although the company's gotten no bigger over that stretch of clock time. The good feelings come from a turnaround tale that's still in the middle of its story.

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Where a Roadmap Can Lead You

In preparation for its upcoming VMS Boot Camp, Hewlett-Packard has removed some elements of its roadmap for the operating environment. What's disappeared are no small thing: dates.

As the system neared its change of life at HP, customers of the HP 3000 saw their roadmap get less certain about its estimated time of arrivals. At the end of the vendor's interest in selling and creating more systems, an elaborate PowerPoint slide showed multiple levels of servers. The roadmap actually got a cloud creeping in from the right hand margin.

Okay, that was 13 years ago this very month in Chicago. But it was not the last HP World conference -- that would be one decade ago, this month -- not any more than next month's Boot Camp for VMS enthusiasts and customers will be the last. But there have been times when VMS had promises from HP's management of another decade of service. Here's the before, and the after. 

OpenVMS MapOnly seven months elapsed before the OS releases started being named things like "V8.next."

OpenVMS Rolling Map

 Very few products last for lifetimes. Knowing when they're going, and how soon to make plans for replacement, is serious business for an IT manager.

During an August in 2001 when the future looked certain and solid for some customers, a PowerPoint slide told more than could be easily read in Chicago for HP 3000 customers. For the record, the slide below delivered everything promised up until 2003. The PA-8800 never made an entry into the N-Class.

HP 3000 Roadmap 2001 Chicago

That would be known, in the roadmap parlance, as a PA-8xxx. The PA-8yyy (8900) never made it into a 3000, either.

Roadmaps might be an old tradition, but they're moments to establish and renew trust in a partner. Specific, and follow-through, make that possible. Some VMS customers are already underway with their migration assessments.


Boot Camper laying down migration steps

HmBannerOpenVMSMore than a decade after HP began its migration away from MPE and HP 3000, there's another underway among the vendor's enterprise systems. OpenVMS customers are starting to look into what's needed to make a transition off the Digital servers. HP's announced that it will curtail the use of the newest VMS to the very latest generation of hardware. Thousands of servers are going to be stuck on an older OpenVMS.

That will be one element to spark the offers at next month's VMS Boot Camp in Bedford, Mass. We heard from a veteran HP 3000 and MPE developer, Denys Beauchemin, that his company is headed to the Boot Camp for the first time this year. There's engagements and consulting to be made in moving HP enterprise users to less HP-specific environments.

"We migrate them from VMS to Linux or other platforms," said Beauchemin, who was the last working chairman at the Interex user group before the organization went dark in 2005. "Another HP operating system comes to an end."

Boot Camp is a VMS tradition among HP's most-loyal general purpose computing community. (You can't call the 3000 community HP's any longer, now that the vendor is coming up on seven years without a working lab.) Boot Camps in the past were annual meetings to advance the science and solutions around VMS. But in more recent times they haven't been annual. Now there's migration advice on hand for the attendees. Some may view it with disdain, but when a vendor sends up signals of the end of its interest, some kinds of companies make plans right away to migrate.

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HP doubles down on x86 Intel, not HP-UX

IBM's giving up on another market that HP continues to prize, but the latest one is more relevant to the small-sized enterprise where HP 3000 migrators hail from. (Years back, IBM sold its consumer PC business to Lenovo.) Now the modest-horsepower x86 server field's going to Lenovo, since IBM's decided to exit another Intel-based hardware market.

A longtime HP 3000 software vendor took note of this transition. He wondered aloud if the message HP now sends to its x86 prospects has a shadowy echo of another advisory, one delivered a decade ago. From our correspondent Martin Gorfinkel:

Hewlett-Packard has been running full page ads in the New York Times with the lead, “Building a cloud? Your future is uncertain.” (The “un” in “uncertain” is crossed out.) The ad goes on to say that the "IBM decision to exit the x86 server market impacts your cloud strategy." Thus, they say, move to HP and be assured that HP will not leave you stranded.

Would I be the only former user/vendor in the HP 3000 market to find that advertising hypocritical -- and further evidence that the company we once relied on no longer exists?

FutureIsUncertainThe hypocrisy is probably on display for any 3000 customer who was told Hewlett-Packard was making an exit from the 3000 hardware market (and by extension, the MPE software world). Every vendor exits some part of their business, once the vendor gets large enough to sell a wide array of products. IBM is dropping away from x86. HP invites enterprises to "join us to plan your forward strategy." This forwarding strategy of moving to Windows and Linux differs from HP advice of 10 years ago. Going to HP-UX was the strategy du jour, beyond a 3000 exit in 2004.

The full-page ads in four colors in a national daily announce a redoubling of effort to win Intel x86 business. That's going to suck up some energy and mindshare, effort that 3000 customers who followed HP forward on HP-UX are probably going to miss.

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TBT: Java's promise spun 3000s into style

Just about 15 years ago from this ThrowBack Thursday, the HP 3000 was having its high moment of renaissance at Hewlett-Packard. The computer was going to make its stretch into the world of a Java-based interface for applications, in an era when Java was considered stylish. A new Java library was going to be patched into the operating environment, and the 3000 division was about to enjoy its fourth straight summertime with the same general manager, something we'd not seen in many years.

HarryYoyoHarry Sterling pushed at the heartstrings of the customers during his tenure leading the division, and in 1999 he threw out the stops to make the HP World conference update on the 3000 memorable. The 3000 was always in style, Sterling maintained, just like the classics of yo-yos (a popular late '90s show giveaway) and tuxedos. Sterling managed to pull off a combination of the two at what amounted to a State of the Product address.

His hour-long talk was built around the theme of "The HP 3000: Always in Style," and featured a video of customer interviews comparing the system to classic dances such as the tango and the waltz. The general manager finished his talk spinning a yo-yo from his hand.

“Just like this yo-yo and just like my tux are always in style, so is the 3000,” Sterling said. The white-hot dot com boom was on, and Sterling felt the yearning from customers to feel the heat.

"You are seeing a new mindset at HP, doing the things that will make it possible for us all to be a pivotal player in Chapter Two of the Internet. Many of you are saying it’s about time — and I agree.”

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Migrators make more of mobile support app

A serious share of HP 3000 sites that have migrated to HP's alternative server solutions have cited vendor support as a key reason to leave MPE. Hewlett-Packard has been catering to their vendor-support needs with an iPhone/Android app, one which has gotten a refresh recently.

HPSCm screenshotsFor customers who have Connected Products via HP's Remote Support technologies, the HP Support Center Mobile (HPSCm) app with Insight Online will automatically display devices which are remotely monitored. The app allows a manager to track service events and related support cases, view device configurations and proactively monitor HP contracts, warranties and service credits.

Using the app requires that the products be linked through the vendor's HP Passport ID. But this is the kind of attempt at improving support communication which 3000 managers wished for back in the 1990s. This is a type of mobile tracking that can be hard to find from independent support companies. To be fair, that's probably because a standard phone call, email or text will yield an immediate indie response rather than a "tell me who you are, again" pre-screener.

But HPSCm does give a manager another way to link to HP support documents (PDF files), something that would be useful if a manager is employing a tablet. That content is similar to what can be seen for free, or subject to contract by public audiences, via the HP Business Portal. (Some of that content is locked behind a HP Passport contract ID.) This kind of support -- for example, you can break into a chat with HP personnel right from the phone or tablet -- represents the service that some large companies seem to demand to operate their enterprise datacenters.

Weird-zucchiniThere's also a Self-Solve feature in the HP mobile app, to guide users to documents most likely to help in resolving a support issue. Like the self-check line in the grocery, it's supposed to save time -- unless you've got a rare veggie of a problem to look up.

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A Week When HP Gave OpenMPE the Floor

OpenMPE2005CSYmeet3000 community members at HP's facility for the OpenMPE meeting that replaced the scrubbed HP World 2005. From left, Walt McCullough, HP's Craig Fairchild and Mike Paivinen, Birket Foster (standing) and Stan Sieler.

It was a Maple floor, to be exact, in the Maple Room of the HP campus that's now long-demolished. On this day in 2005, in the wake of a washout of the user group Interex and its conference, the OpenMPE board met with HP to earn a space for an all-day meeting. HP extended use of its Maple Room -- where many a product briefing for the 3000 line had been held -- to the advocacy group that had fought for more time and better programs for migration and homesteading users.

In what feels like a long time ago, given all else that has changed, Interex closed its doors during this week in 2005 owing $4 million to companies small and large. The unpaid debts ranged from individuals owed as little as $8.30 on the unserved part of a yearly membership, to HP World booth sponsors who paid $17,000 for a space that the group could not mount in San Francisco. Then there were the hotels, which lost hundreds of thousands of dollars in unpaid room reservation guarantees. At five creditors to a page, the list of people and companies which the user group owed ran to more than 2,000 sheets. The file at the Santa Clara courthouse felt thick in my hands.

There was little money left at the end, too. The Interex checking account held $5,198.40, and a money market fund had $14,271.64 — neither of which was enough to satisfy the total unpaid compensation for an outside sales rep ($65,604 in unpaid commissions) or executive director Ron Evans (who had to forego his last paycheck of $8,225).

That OpenMPE meeting in August, in place of the Interex show, was notable in way that Interex could never manage. 3000 managers and owners could attend via phone and the web, using meeting software that let them ask questions and see slides while they could hear presentations.

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HP gives leadership to Whitman top-down

Hewlett-Packard announced that it's giving the leadership of its board of directors to CEO Meg Whitman, after two chairmen had led the board but not the company in the years following CEO Mark Hurd's ouster.

Whitman joined the HP board in 2011, arriving about five months after Hurd left the company, but she didn't take her CEO role until the fall of that year. She's wrapping up her third year as CEO. Analysts see the addition of chairman to her duties as proof that HP's now her company to lead in totality.

Over the last two decades, only three other people have chaired the HP board as well as held the CEO role: Hurd, Carly Fiorina and Lew Platt. It's usually been an ultimate vote of confidence about a CEO's track record. None of the CEOs began their leadership of the company while heading up the board as well. Platt took his chairman's role from founder David Packard within a year of becoming CEO. Fiorina took the post from Dick Hackborn, 14 months after becoming CEO. Whitman becomes the third woman ever to lead the HP board, following Fiorina and Patricia Dunn. The latter took her job in the wake of Fiorina's ouster.

Screen Shot 2014-07-18 at 6.07.39 PMLeadership of Hewlett-Packard remains an issue for the migrated as well as migrating 3000 customers -- at least those who are investing in HP's alternatives to MPE. Whitman's record since taking her CEO duties has been admirable and at times heroic. She presided over a company in the early winter of 2012 with a stock valued at under $12 a share. In the course of her CEO term, Whitman's weathered the detritus of weak acquisitions such as Autonomy as well as the steep slowing of its services business growth. Whitman voted for Autonomy's acquisition as a board member, early in her directorship. But since 2013 she has championed growth through R&D rather than purchasing companies such as EDS and Compaq.

The board now contains only one longstanding HP employee, Ann Livermore, who serves as executive advisor to Whitman. More than 15 years ago, Livermore was passed over for the CEO job in favor of Fiorina -- but Livermore represents one of the last board members whose pedigree is in technology rather than business management. Livermore has been an HP employee since 1982.

Ralph Whitworth, who's reported to be in poor health, resigned the chairmanship he held since last year to make way for Whitman, as well as vacating his board seat. Klaus Kleinfeld, chairman and chief executive of Alcoa, arrives at the board to take Whitworth's seat. 


TBT: The month fem-power first led HP

You only have to go back 15 years to find a Throwback Thursday photo that captured watershed change for the HP 3000's creators. Carly Fiorina was named as HP's sixth CEO on a Monday in July, the start of the finale for a company's business way which created Hewlett-Packard-designed products as its biggest business.

HP-CEO-FiorinaFiorina was all of 44 years old when she took a chair that had always been held by men over the first 60 years of HP's existence. In a BusinessWeek story that marked her ascent, the woman who'd become known only as Carly explained that she'd talked Dick Hackborn into staying on HP's board of directors. Telling readers that "Carly Fiorina has a silver tongue and an iron will," reporter Peter Burrows relayed Carly's own admission of feminine business power. The CEO-to-be said she was interviewed in a Chicago airport club restaurant.

"You can't tell me there's a better person for the job,'' she told Hackborn as the Gaslight's waitresses, clad in skimpy uniforms and fishnet stockings, made their rounds. Over the course of three hours, Hackborn agreed [to helm the board]. ''And no, I did not put on fishnet stockings,'' Fiorina says with a laugh. ''Don't even go there.''

Carly and GwenAt the time of her ascent, the business media had pegged Carly as the most powerful woman in business, with Oprah running number 2. “She is quite simply the ideal candidate to leverage HP’s core strengths in the rapidly changing information-systems industry and to lead this great company well into the new millennium,” said board member Sam Ginn, who led the search committee. It was a move that would lead the staid company into new eras of panache.

HP’s board said it was pushing for the company’s first outside CEO to lead the company in its new e-services push. Heading up AT&T spinoff Lucent’s $20 billion Global Service Provider division, Fiorina was named America’s Most Powerful Businesswoman in 1998 by Fortune magazine. Her selfies with pop stars came later.

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Virtualization still demands real iron

In the span of time between the publication of a hopeful magazine article and the close of this year's HP Discover conference, the vendor made a point about its hardware heritage. The point might have been unintentional, but it appears that the future is still a destination you'll achieve riding the vehicle of The Machine.

BrontobyteHPA lot of computing is going out of sight these days. The costs to careers are real, as companies decide that managing IT staff and in-house resources is a discretionery budget item. When they job out your computing systems to a cloud provider, all that remains is to keep up with the needs of your applications and business processes. That's a lot fewer jobs across our industry. The demands for information keep accelerating, through brontobytes of data and onward.

But HP believes that there's still going to be a need for a machine to run it all, one that they're trying to build from the concepts of tomorrow. A blog post on the HP website HP Next explained why the biggest HP Labs project in 20 years is being called The Machine.

Why do we call it The Machine? When we first started developing it, we wanted to be very careful not to call it a server, workstation, PC, device or phone, because it actually encompasses all of those things. So as we were waiting for Marketing to come up with a cool code name for the project, we started calling it The Machine—and the name stuck.

HP talks about a centralized learning engine. So that's another physical reference, one that will be powered by The Machine. "With The Machine, we have the opportunity to rethink security, data governance, data placement and data sovereignty from ground up and embed them into all of our products. This revolutionary project is on its way to changing the industry—and the way we compute."

The promise, really just a dream, is that a "a doctor could compare your symptoms and genomics with every other patient around the world to improve your health outcomes, instantly, without language barriers or privacy breaches."

That magic will still require real iron somewhere, managed by an IT pro. Iron, a box, or a virtual array of compute engines, they'll all an un-changing part of the way our industry computes. That's why the revolution of a virtual HP 3000 server still needs a ProLiant computer to emulate the old PA-RISC MPE system. That's why even at HP, tomorrow's data dream is called The Machine.


HP to spin its R&D future with The Machine

Big SpiralCalling it a mission HP must accomplish because it has no other choice, HP Labs director Martin Fink is announcing a new computer architecture Hewlett-Packard will release within two years or bust. Fink, who was chief of the company's Business Critical Systems unit before being handed the Labs job in 2012, is devoting 75 percent of HP's Labs resources to creating a computer architecture, the first since the company built the Itanium chip family design with Intel during the 1990s.

A BusinessWeek article by Ashlee Vance says the product will utilitize HP breakthroughs in memory (memsistors) and a process to pass data using light, rather than the nanoscopic copper traces employed in today's chips. Fink came to CEO Meg Whitman with the ideal, then convinced her to increase his budget.

Fink and his colleagues decided to pitch Whitman on the idea of assembling all this technology to form the Machine. During a two-hour presentation held a year and a half ago, they laid out how the computer might work, its benefits, and the expectation that about 75 percent of HP Labs personnel would be dedicated to this one project. “At the end, Meg turned to [Chief Financial Officer] Cathie Lesjak and said, ‘Find them more money,’” says John Sontag, the vice president of systems research at HP, who attended the meeting and is in charge of bringing the Machine to life. "People in Labs see this as a once-in-a-lifetime opportunity."

Fast, cheap, persistent memory is at the heart of what HP hopes to change about computing. In the effort to build The Machine, however, the vendor harks back to days when computer makers created their own technology in R&D organizations as a competitive advantage. Commodity engineering can't cross the Big Data gap created by the Internet of Things, HP said at Discover today. The first RISC designs for HP computers, launched in a project called Spectrum, were the last such creation that touched HP's MPE servers.

Itanium never made it to MPE capability. Or perhaps put another way, the environment that drives the 3000-using business never got the renovation which it deserved to use the Intel-HP created architecture. Since The Machine is coming from HP's Labs, it's likely to have little to do with MPE, an OS the vendor walked away from in 2010. The Machine might have an impact on migration targets, but HP wants to change the way computing is considered, away from OS-based strategies. But even that dream is tempered by the reality that The Machine is going to need operating systems -- ones that HP is building.

SpiralOS compatibility was one reason that Itanium project didn't pan out the way HP and Intel hoped, of course. By the end of the last decade, Itanium had carved out a place as a specialized product for HP's own environments, as well as an architecture subsidized by Fink's plans to pay Intel to keep developing it. The Machine seems to be reaching for the same kind of "change the world's computing" impact that HP and Intel dreamed about with what it once called the Tahoe project. In a 74-year timeline of HP innovation alongside the BusinessWeek article, those dreams have been revised toward reality.

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Security patches afloat for UX, for a price

If an IT manager had the same budget for patches they employed while administering an HP 3000, today they'd have no patches at all for HP's Unix replacement system. That became even more plain when the latest Distributed Denial of Service (DDoS) alert showed up in my email. You never needed a budget to apply any patches while HP 3000s were for sale from the vendor. Now HP's current policy will be having an impact on the value of used systems -- if they're Unix-based, or Windows ProLiant replacements for a 3000. Any system's going to require a support contract for patches.

For more than 15 years, HP's been able to notify customers when any security breach puts its enterprise products at risk. For more than five years, one DDoS exploit after another has triggered these emails. But over the past year, Hewlett-Packard has insisted that a security hole is a good reason to pay for a support contract with the vendor.

The HP 3000 manager has better luck in this regard than HP's Unix system owners. Patches for the MPE/iX environment, even in their state of advancing age, are distributed without charge. A manager needs to call HP and be deliberate to get a patch. The magic incantation when dealing with the Response Center folks is to use transfer code 798. That’ll get you to an MPE person. And there's not an easy way for an independent support company to help in the distribution, either. HP insisted on that during a legal action last spring.

In that matter, a support company -- one that is deep enough to be hiring experts away from HP's support team -- was sued for illegal distribution of HP server patches. HP charged copyright infringement because the service company had downloaded patches -- and HP claimed those patches were redistributed to the company's clients. 

The patch policy is something to budget for while planning a migration. Some HP 3000 managers haven't had an HP support contract since the turn of this century. Moving to HP-UX will demand one, even if a more-competent indie firm is available to service HP-UX or even Windows on a ProLiant system. See, even the firmware patches aren't free anymore. Windows security patches continue to be free -- that is, they don't require a separate contract. Not even for Windows XP, although that environment has been obsoleted by Microsoft.

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A World Where Amazon Trumps Big Blue

It almost sounds like grandpa-talk to say "things have changed so much." Life is built from changes, and since our industry runs at a pace faster than almost every other, our rate of change is exemplary. There are long-held rules that are giving way, too.

TrumpCardMost of the HP 3000 managers remember the saying that "nobody ever got fired for buying IBM." It was an unfair advantage. Big Blue was the default IT choice for most of the 3000's lifespan as an HP product. But during the decade-plus since MPE started to vanish from Hewlett-Packard's mindscape, IT hosting and computing resource defaults have been reset. The changes are serious enough that Amazon trumped IBM on a $600 million project to build a compute center for the CIA.

Unlike the NSA (No Such Agency), the CIA exists and processes countless pieces of information. A story in BusinessWeek reported that the CIA wanted to build its own private cloud computing system. This is the type of IT project that would've been handled on the ground, not in the cloud, while HP was selling 3000s. A type of project IBM would've been a finalist in. Indeed, IBM finished in the top two. But IT pros now live in a world where buying compute power with a credit card is a valid strategy. The stakes were high for the winner. 

For the bidders, more was at stake than a piece of the lucrative federal IT market. Whoever won the 10-year, $600 million contract could boast that its technology met the highest standards, with the tightest security, at the most competitive prices, at a time when customers of all kinds were beginning to spend more on data and analytics.

The CIA awarded the contract to Amazon.com. The e-commerce company had persuaded the spymasters that its public cloud could be replicated within the CIA’s walls. Amazon had been bleeding IBM for years—its rent-a-server-with-your-credit-card model was a direct threat to IBM’s IT outsourcing business—but this was different. Amazon beat IBM for a plum contract on something like its home turf, and it hadn’t done so simply by undercutting IBM on price. IBM learned that its bid was more than a third cheaper than Amazon’s and officially protested the CIA decision.

The 3000 community lives in a world where cloud computing is being selected for large-scale projects -- and it's being chosen from companies like Amazon who don't have the ballast to carry you'll see from HP, IBM, Dell or others. The servers, and the expertise to make them sparkle, work elsewhere. HP's got a cloud offering, as does IBM. But Amazon Web Services is way ahead of these classic server providers. IBM's gotten so far off the server sales strategy that it sold its low-end servers group to Lenovo.

To put it another way, IBM's selling as many small servers this year as HP is selling 3000s.

In the BusinessWeek story, the demise of IBM being fireproof got exploded. At least while going up against Amazon.

A federal judge agreed, ruling in October that with the “overall inferiority of its proposal,” IBM “lacked any chance of winning” the contract. The corporate cliché of the 1970s and ’80s, that no one ever got fired for buying IBM, had never seemed less true. IBM withdrew its challenge.


They knew what they had before it was gone

In the classic Joni Mitchell song, she asks, "Don't it always seem to go, you don't know what you got 'till it's gone?" However, in the HP 3000 world, the advocates, fans and users know the special place the 3000 held in their lives -- and long before it was really gone.

Redwoods PicnicAt the now-defunct Boyle Engineering, the last in a long line of HP 3000s was sold for scrap this month, according to Harlan Lassiter. When Boyle was purchased in 2008, the site that housed the 3000 was closed down. Equipment was left behind, but Lassiter -- who worked at Boyle 27 years -- kept track of an abandoned 3000 Series 928. He reported he was sad to see it go. One last boot-up was all that Lassiter wanted at Boyle, whose services were engaged to plan, design, and construct infrastructure projects.

Last time I was in the building, in the corner of the raised floor computer room, was our HP 3000 928 system, console monitor and LPQ1200 printer. Yesterday it was gone. Apparently it was picked up late last week as scrap. Also picked up and sold for scrap from the room were about 50 Dell LCD monitors (some new, still in bubble wrap) and perhaps 30 Dell desktop computers, APC battery backup systems, server arrays, and other assorted computer equipment. Much of the equipment could have been donated to organizations that could use a computer system, even though it would not be the most current.  

That 928 was the last in a series of HP 3000 systems for the company, having begun with a Series II when I first started with Boyle in 1979 . We came a long way. I started as a programmer and left as the system manager. The system ran all of the company in-house accounting, finance, payroll and project tracking reports and engineering software.  All software was developed in-house and was written in FORTRAN. As FORTRAN evolved through the years, so did the software. Files were converted from serial (flat) files to KSAM and eventually to IMAGE databases. What used to take overnight to process took less than an hour in later days.

It was a great learning experience. I guess I was hoping to fire the system up one more time just for nostalgia's sake, since I am the only one left that would be able to do such a thing. 

Another piece of HP history, a living one that served both the 3000 and HP-UX systems, has been bulldozed, right off the ground of the old Hewlett-Packard Cupertino campus.

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Does cleaning out HP desks lift its futures?

Migration sites in the 3000 community have a stake in the fortunes of Hewlett-Packard. We're not just talking about the companies that already have made their transition away from MPE and the 3000. The customers who know they're not going to end this decade with a 3000 are watching the vendor's transformation this year, and over the next, too.

Clean-Out-Your-DeskIt's a period when a company that got bloated to more that 340,000 companies will see its workforce cut to below 300,000 when all of the desks are cleaned out. The HP CEO noted that the vendor has been through massive change in the period while HP was cleaning out its HP 3000 desks. During the last decade, Meg Whitman pointed out last week, Compaq, EDS, Automomy, Mercury Interactive, Palm -- all became Hewlett-Packard properties. Whitman isn't divesting these companies, but the company will be shucking off 50 percent more jobs than first planned.

Some rewards arrived in the confidence of the shareholders since the announcement of 16,000 extra layoffs. HP stock is now trading at a 52-week high. It's actually priced at about the same value as the days after Mark Hurd was served walking papers in 2010. Whitman's had to do yeoman work in cost-cutting to keep the balance sheet from bleeding, because there's been no measureable sales growth since all 3000 operations ceased. It's a coincidence, yes, but that's also a marker the 3000 customer can recall easily.

When you're cutting out 50,000 jobs -- the grand total HP will lay off by the end of fiscal 2015 in October of next year -- there's no assured way of retaining key talent. Whitman said during the analyst conference call that everybody in HP has the same experience during these cuts. "Everyone understands the turnaround we're in," she said, "and everyone understands the market realities. I don't think anyone likes this."

These are professionals working for one of the largest computer companies in the world. They know how to keep their heads down in the trenches. But if you're in a position to make a change in your career, a shift away from a company like HP that's producing black ink on its ledger through cuts, you want to engage in work you like -- by moving toward security. In the near term, HP shareholders are betting that security will be attained by the prospect of a $128 billion company becoming nimble, as Whitman vowed last week.

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HP's migration servers stand ground in Q2

ESG HP Q2

The decline of HP's 3000 replacement products has halted
(click on graphic for details)

CEO Meg Whitman's 10th quarterly report today promised "HP's turnaround remains on track." So long as that turnaround simply must maintain sales levels, she's talking truth to investors. During a one-hour conference call, the vendor reported that its company-wide earnings before taxes had actually climbed by $240 million versus last year's second quarter. The Q2 2014 numbers also show that the quarter-to-quarter bleeding of the Business Critical Systems products has stopped.

But despite that numerical proof, Whitman and HP have already categorized BCS, home of the Linux and HP-UX replacement systems for 3000, as a shrinking business. The $230 million in Q2 sales from BCS represent "an expected decline." And with that, the CEO added that Hewlett-Packard believes its strategy for enterprise servers "has put this business on the right path."

The increased overall earnings for the quarter can be traced to a robust period for HP printers and PCs. Enterprise businesses -- the support and systems groups that engage with current or former 3000 users -- saw profits drop by more than 10 percent. HP BCS sales also fell, by 14 percent versus last year's Q2. But for the first time in years, the numbers hadn't dropped below the previous quarter's report.

The decline of enterprise server profits and sales isn't a new aspect of the HP picture. But the vendor also announced an new round of an extra 10,000-15,000 job eliminations. "We have to make HP a more nimble company," Whitman said. CFO Cathie Lesjack added that competing requires "lean organizations with a focus on strong performance management." The company started cutting jobs in 2012, and what it calls restructuring will eliminate up to 50,000 jobs before it's over in 2015.

Enterprise business remains at the heart of Hewlett-Packard's plans. It's true enough that the vendor noted the Enterprise Systems Group "revenue was lower than expected" even before the announcement of $27.3 billion overall Q2 revenues. The ESG disappointments appeared to be used to explain stalled HP sales growth.

But those stalled results are remarkable when considered against what Whitman inherited more than two years ago. Within a year, HP bottomed out its stock price at under $12 a share. It was fighting with an acquired Autonomy about how much the purchased company was worth, and was shucking off a purchase of Palm that would have put the vendor into the mobile systems derby.

If nothing else, Whitman's tenure as CEO -- now already half as long as Mark Hurd's -- contains none of the hubris and allegations of the Hurd mentality. After 32 months on the job, Whitman has faced what analysts are starting to call the glass cliff -- a desperate job leading a company working its way back from the brink, offered to a woman.

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Who's SUSAN, and what's her CPUNAME?

The MPE operating system, first booted for genuine use some 40 years ago, is a most unique creature of the computer ecosystem. This is software that does not have its own license, specifically. According to HP, the ownership of any MPE/iX version is determined by owning an Hewlett-Packard 3000 server, one built to boot up MPE/iX.

SusanWe reached out for clarity about this when a very large aircraft maker tipped us off -- once again, it will examine replacing HP's 3000 iron with CHARON licenses on Intel systems. After the MPE/iX software is turned off on any replaced 3000 hardware, does its hardware-based license then expire? The operating system license, according to HP's MPE Technical Consultant Cathlene Mc Rae, is related to the HPSUSAN of the original HP hardware.

So wait a minute. Are these HPSUSAN numbers of 3000s considered de-licensed, even if they're going to be used on the CHARON emulator? Mc Rae explained.

The HPSUSAN number is different from the MPE/iX license, although there is a relation between the two. The ability to use MPE/iX on the emulator is a result of completing a Software License Transfer. The original MPE/iX license on the HP e3000 would then no longer exist. 

In the hardware world of HP 3000s, HPSUSAN takes the original serial and model numbers on the system. It remains the same, as long as the customer owns the system. This combination was used to ID the hardware and enable diagnostics for the correct system.

However, that transferred license for the MPE/iX installation on the CHARON emulator -- available via a $432 Software License Transfer Fee -- won't be getting a new HPSUSAN number during the process. HPSUSAN gets re-used, and so it leads us to see what HPSUSAN stands for, and how the HPCPUNAME is a key in emulator installations.

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HP bets "Hey! You'll, get onto your cloud!"

TalltorideHewlett-Packard announced that it will spend $1 billion over the next two years to help its customers build private cloud computing. Private clouds will need security, and they'll begin to behave more like the HP 3000 world everybody knows: management of internal resources. The difference will reside in a standard open source stack, OpenStack. It's not aimed at midsize or smaller firms. But aiding OpenStack might help open some minds about why clouds can be simple to build, as well as feature-rich.

This is an idea that still needs to lift off. Among the 3000 managers we talk with — who've been in computing since the 1980s — they are inclined to think of clouds much differently than time-sharing, or apps over the Internet. Clouds are still things in Rolling Stones or Judy Collins choruses.

The 3000 community that's moving still isn't embracing any ideal of running clouds in a serious way. Once vendor who's teeing up cloud computing as the next big hit is Kenandy. That's the company built around the IT experience and expertise of the creators of MANMAN. They've called their software social ERP, in part because it embraces the information exchange that happens on that social network level.

But from the viewpoint of Terry Floyd, founder of the manufacturing services firm The Support Group, Kenandy's still waiting for somebody from the 3000 world to hit that teed-up ball. Kenandy was on hand at the Computer History Museum for the last HP3000 Reunion. That gathering of companies now looks like the wrong size of ball to hit the Kenandy cloud ERP ball.

"Since we saw them at the Computer History Museum meeting, Kenandy seems to have has re-focused on large Fortune 1000 companies," Floyd said. There are scores of HP 3000 sites running MANMAN. But very few are measuring up as F1000 enterprises. Kenandy looks like it believes the typical 3000 site is not big enough to benefit from riding a cloud. There are many migrated companies who'd fit into that Fortune 1000 field. But then, they've already chosen their replacements.

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Here it is: another beginning in an ending

Today's the day that Microsoft gives up its Windows XP business, but just like the HP 3000 exit at Hewlett-Packard, the vendor is conflicted. No more patches for security holes, say the Redmond wizards. But you can still get support, now for a fee, if you're a certain kind of Windows XP user.

New BeginningsIt all recalls the situation of January 2009, when the support caliber for MPE/iX was supposed to become marginal. That might have been true for the typical kind of customer who, like the average business XP user, won't be paying anything to Microsoft for Service Packs that used to be free. But in 2009 the other, bigger sort of user was still paying HP to take 3000 support calls, fix problems, and even engineer patches if needed. 

A lot of those bigger companies would've done better buying support from smaller sources. Yesterday we took note of a problem with MPE/iX and its PAUSE function in jobstreams, uncovered by Tracy Johnson at Measurement Specialties. In less than a day, a patch that seemed to be as missing as that free XP support of April 8 became available -- from an independent support vendor. What's likely to happen for XP users is the same kind of after-market service the 3000 homesteader has enjoyed.

Johnson even pointed us to a view of the XP situation and how closely it seems to mirror the MPE "end of life," as Hewlett-Packard liked to call the end of 2010. "Just substitute HP for Microsoft," Johnson said about a comparison with makers of copiers and makers of operating systems.

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MPE patches still available, just customized

Last week a 3000 manager was probing for the cause of a Command Interface CI error on a jobstream. In the course of the quest, an MPE expert made an important point: Patches to repair such MPE/iX bugs are still available. Especially from the seven companies which licensed HP's source code for the HP 3000s.

PatchworkThis mention of MPE bug repair was a reminder, actually, that Hewlett-Packard set the internals knowledge of MPE free back in 2010. Read-only rights to the operating system source code went out to seven companies worldwide, including some support providers such as Pivital Solutions and Allegro Consultants.

The latter's Stan Sieler was watching a 3000 newsgroup thread about the error winding up. Tracy Johnson, the curator of the 3000 that hosts the EMPIRE game and a former secretary to OpenMPE, had pointed out that his 3000 sometimes waits longer than expected after a PAUSE in a jobstream.

I nearly always put a CONTINUE statement before a PAUSE in any job.  Over the years I have discovered that sometimes the CPU waits "longer" than the specified pause and fails with an error.

A lively newsgroup discussion of 28 messages ensued. It was by far the biggest exchange of tech advice on the newsgroup in 2014, so far. Sieler took note of what's likely to be broken in MPE/iX 7.5, after an HP engineer had made his analysis of might need a workaround. Patches and workarounds are a continuing part of the 3000 manager's life, even here in the second decade of the 3000's Afterlife. You can get 'em if you want 'em.

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Shadows of IT Leaders, at HP and Apple

JacksonEarlier this week, the Reverend Jesse Jackson made an appearance at Hewlett-Packard's annual shareholder meeting. He used the occasion of a $128 billion company's face-up to stockholders to complain about racial bias. In specific, Jackson complained that the HP board, by now, should have at least one African American serving on it.

HP's CEO Meg Whitman took respectful note of Jackson's observation, which is true. After 75 years of corporate history that have seen the US eliminate Jim Crow, and the world shun apartheid, HP's board is still a collection of white faces (10 of 12). Hewlett-Packard always had a board of directors, but it didn't become a company with a board in public until it first offered shares in 1958. We might give the company a pass on its first 20 years, striving to become stable and powerful. But from the '60s onward, the chances and good people might have been out there. Just not on HP's board, as Jackson pointed out.

But that story about the vendor who created your HP 3000s, MPE, IMAGE and then the systems to replace all, is incomplete. It's just one view of what Hewlett-Packard has become. In spite of Jackson's accurate census, it overlooks another reality about the company's leadership. HP has become woman-led, in some of its most powerful positions. Whitman had the restraint to not to point to that. But she's the second woman over those 75 years to be HP CEO.

Companies with potent histories like HP will always be in the line of fire of misunderstanding. The same sort of thing happed to Apple this week. This rival to HP's laptop and desktop and mobile space was inked over as a company still run by the ghost of its founder Steve Jobs. Like the Jackson measurement of HP's racial diversity at the top, the Ghostly Jobs Apple story needs some revisions. HP's got diversity through all of its ranks right up until you get to the director level. Given what a miserable job the board's done during the last 10 years, it might be a good resume item to say "Not a Member of Hewlett-Packard's Board."

HauntedempireipadRegarding Apple, the misunderstanding is being promoted in the book Haunted Empire. The book that's been roundly panned in reviews might sell as well as the Steve Jobs biography by Walter Issacson, but for the opposite reasons. Jobs' biography was considered a hagiography by anybody who disliked the ideal of Apple and "Computing for the Rest of Us." He indeed acted like a saint in the eyes of many of his customers, and now that very sainthood is being devolved into a boat anchor by the writer of  Haunted Empire. It doesn't turn out to be true, if you measure anything except whether there's been a game-changer like a tablet in the past four years.

BillanddavecoverSimilar things happened to Bill Hewlett and Dave Packard after Hewlett died in 2001, leaving HP with just the "HP Way" and no living founders. Whatever didn't happen, or did, was something the founders would've fought for, or wouldn't have tolerated. The Way was so ingrained into the timber of HP that the CEO who preceded Whitman, Leo Apotheker, imagined there might be a Way 2.0. Tying today to yesterday can be a complicated story. There was an HP Way 0.5, according to Michael Malone's history of HP, Bill and Dave.

And the term "Bill and Dave" is invoked to this day by people as disappointed in 2014's Hewlett-Packard as Jackson is impatient with its diversity. Like the Ghostly Apple story, WWBDD -- What Would Bill and Dave Do -- can be told with missing information. Accepting such missing data is a good way to show you know the genuine HP Way. Or if you care, the correct state of the Apple Empire.

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