Microsoft has officially announced that its management services division, known as PPC, will be acquired by HP.
The deal will be announced on Wednesday at the Microsoft Build conference in San Francisco, but the details of the deal have yet to be announced.
HP said that it is expected to complete the deal by the end of the year.
The acquisition of PPC marks HP’s first significant acquisition of a technology company, and will give HP access to a wide range of services and platforms, including a portfolio of Microsoft software and services.
Microsoft has been acquiring PPC-based companies for years.
The move will allow Microsoft to leverage its expertise in cloud and data center technology to offer PPC management services to customers.
HP already has several management products for its own customers, including the PPC Cloud and PPC Enterprise solutions.HP has been investing heavily in its PPC platform, with the acquisition of the company valued at $1.4 billion.
The announcement also confirms that Microsoft will be buying out HP’s parent company, Dell, which has been focused on PPC since its acquisition in 2014.
The Dell acquisition was a big deal for HP, as it would have been the biggest acquisition of its kind for HP since it purchased HP Microservers.
Microsoft was already looking for a new PPC server company to expand its cloud services portfolio, but Dell had been slow to develop a new server platform.PPC had its biggest performance gains in the last decade, when HP acquired it in 2009, but it had struggled to deliver the level of server performance HP wanted in a product that was available on virtually all of its customers.
PPC was especially hard to scale due to its proprietary hardware and software, but HP was able to develop its own server platform that it could use to produce high-performance servers.
With the acquisition, HP will now have a powerful PPC solution that is well-suited to a variety of workloads, including gaming and business applications.HP will continue to offer the company’s PPC services in its business and personal clouds, with customers able to access PPC on their own hardware, using the new HP Cloud platform.