The CEO of Hewlett Packard Enterprise says that moving its HQ to Texas doesn't mean that the company is abandoning its legendary roots in Silicon Valley
- Hewlett-Packard Enterprise announced Tuesday that it's relocating its corporate headquarters to Houston, Texas where it is building a new state-of-the-art campus.
- HPE said it is making the move as part of a plan to reduce costs and accommodate the needs of its employees. Most of the tech giant's US employees are based in Texas.
- But HPE says it will maintain a big presence in the San Francisco Bay Area, where the company, which was the product of a 2014 split of Hewlett-Packard, is considered the pioneering Silicon Valley company.
"We aren't leaving Silicon Valley, a region inextricably linked to our rich history and heritage since Bill and Dave founded Hewlett Packard," CEO Antonio Neri said in a blog post, referring to HP's founders.
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Hewlett Packard Enterprise, which spun off from the iconic tech company that once symbolized Silicon Valley, is moving to Texas.
HPE said Tuesday that it is moving its headquarters from San Jose, California to Houston, in a move meant to save costs and accommodate the needs of its US workforce.
"As we look to the future, our business needs, opportunities for cost savings, and team members' preferences about the future of work, we have made the decision to relocate HPE's headquarters to the new campus under construction in Spring, Texas, just outside of Houston," HPE CEO Antonio Neri said in a blog post.
HPE, which has around 60,000 employees globally, will continue to maintain a big presence in San Jose, which the company says will "continue to be a strategic hub" for innovation and which Neri actually helped design when he took over as CEO in 2018. HPE has 15,000 employees in the US, including 2,400 in the San Francisco Bay Area and roughly 10,000 in Texas.
But the tech giant's headquarters will transfer to a new state-of-the-art campus being built in metro Houston. The company says the change will not involve layoffs.
Details of the move have yet to be worked out, but HPE Director Adam Bauer said the company expects mostly non-technical roles in Houston.
"We are not packing up and leaving Silicon Valley," he told Business Insider. "We are reimagining the San Jose campus as a hub for tech talent and innovation."
HPE's plan to relocate its corporate HQ comes amid what's been described as an exodus of tech companies leaving Silicon Valley in the wake of the pandemic, rising housing costs and the rise of the remote workforce.
But in his blog post, Neri affirmed that HPE was not abandoning the region known as the heart of global tech. "We aren't leaving Silicon Valley, a region inextricably linked to our rich history and heritage since Bill and Dave founded Hewlett Packard."
HPE was the product of the 2014 split of Hewlett-Packard, which also led to the creation of HP, the printer and PC company, which is based in Palo Alto. Considered one of the pioneering US tech companies, Hewlett Packard was founded in 1939 by Bill Hewlett and Dave Packard in a garage in Palo Alto which has been designated the birthplace of Silicon Valley.
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