HP completes acquisition of Peregrine - (FAQ)

General Questions

1. Why did HP acquire Peregrine?

HP acquired Peregrine to obtain IT asset management capabilities and to enhance HP's position in IT service management, a growing part of distributed systems management.

2. Why did HP acquire Peregrine now?

Right now is an excellent time to stake a technology, thought, and market leadership position in the ITSM market. Adoption of IT Service Management, along with ITIL best practices, is rapidly increasing. Forrester Research expects that ITIL implementation levels in $1 billion plus companies will grow from 13% today to around 40% by the end of 2006.

3. What was the value and structure of the deal, and when did it become final?

The acquisition was a cash merger and closed December 19, 2005 after meeting Peregrine stockholder approval and customary closing conditions and regulatory approvals.

4. How were Peregrine employees affected?

There was minimal employee impact affecting Peregrine product development, marketing, and sales teams.

5. Who is running Peregrine now, and how is it being integrated into HP?

Peregrine is now part of HP's OpenView Business Unit within the Software Global Business Unit, led by Todd DeLaughter, and its products will be sold under the OpenView brand.

We are currently planning the integration activities for Peregrine.

6. How does this announcement relate to your acquisitions of Novadigm, Consera, Talking Blocks, SelectAccess from Baltimore Technology and Persist?

This acquisition complements the acquisitions we made in 2003 and 2004 of Novadigm, Consera, Trulogica, Talking Blocks, SelectAccess from Baltimore Technologies and Persist by further delivering upon our management strategy for the Adaptive Enterprise.

7. How exactly does this acquisition fit into HP's Adaptive Enterprise strategy?

Peregrine's asset management and service management technologies are key for managing the Adaptive Enterprise.

  • A complete asset repository is the first step on the road to managing the Adaptive Enterprise.
  • CIOs and CFOs are placing more emphasis on asset management, because without it, their ability to address their priorities and objectives will be impeded.
  • Customers have asked for an asset management offering in the HP OpenView portfolio.
  • Service management enables CIOs to envision and manage their IT resources as services, providing greater visibility into and stability for their businesses and a stronger, more dynamic link between business and IT at a reduced cost.
8. What does Peregrine's asset management solution offer? What are its capabilities?

Peregrine offers one of the industry's most comprehensive asset management solutions with:

  • Breadth in discovery, tracking and lifecycle management
  • Total asset visibility and control over all IT assets
  • Easy integration with other solutions; comprehensive APIs

Peregrine's AssetCenter capabilities include portfolio management, financial management, contract management, procurement management, chargeback and software asset management.

9. Why is asset management important?

Asset management is one of the best ways to gain infrastructure awareness and ensure compliance, which better enables CIOs to run IT as a business. It provides the financial, contractual and physical tracking of an IT asset, and influences every element of successful IT management - business management, IT service management, application management and infrastructure management.

Also, every CIO faces two imperatives - to run IT as a service delivery business and to flip the spend ratio between maintenance and innovation. Asset management equips CIOs to tackle these challenges.

  • CIOs can't change and control IT policies if they don't understand the big picture.
  • To successfully manage an IT environment as a service delivery business, a CIO must be able to answer at all times: What do I have, where is it located, and who has access to it?
  • Asset management is critical to understanding the status of the IT "business," enabling CIOs to make business decisions about where to invest and where to spend. Essentially - it helps CIOs flip the ratio.
10. How does this acquisition relate to HP's overall ITSM program?

The Peregrine acquisition strengthens HP's IT Service Management (ITSM) product and service offerings, which enable CIOs to envision and manage their IT resources as services, providing greater visibility into and stability for their businesses and a stronger link between business and IT at a reduced cost.

Peregrine's service request management capabilities complements HP's service management offerings, allowing HP to provide a closed loop service management solution, from end-customer requests to automated execution and implementation of services. Additionally, ServiceCenter customers may benefit from the broad portfolio of OpenView products to round out their existing ITSM solutions.

The powerful combination of Peregrine's asset and service management solutions and HP's depth in IT Service Management creates the industry's best and broadest solution set, and spans small to large customer segments.