Hewlett Packard Enterprise (HPE.US) announced Wednesday that it has won a $1.2 billion order from cloud infrastructure company Vultr to supply Helios AI racks powered by AMD (AMD.US) chips.
The Zhitong Finance app has learned that,$Hewlett Packard Enterprise (HPE.US)$On Wednesday, it was announced that Hewlett Packard Enterprise has won a $1.2 billion order from cloud infrastructure company Vultr to supply Helios AI racks equipped with AMD chips. Meanwhile, Hewlett Packard Enterprise raised its outlook for fiscal year 2027 and beyond, citing growth in its networking business. Shares of Hewlett Packard Enterprise rose more than 6% at the open today.
Secures a $1.2 billion AI rack server contract with Vultr
Hewlett Packard Enterprise will supply AMD Helios AI racks to Vultr, with deployment at Vultr's data center in the United States. This marks Hewlett Packard Enterprise's first order for AMD Helios systems.
Vultr is a cloud service provider headquartered in West Palm Beach, Florida. The company has partnered with Juniper Networks for three years, and Juniper Networks was acquired by Hewlett Packard Enterprise in 2025. In addition, Vultr has also received support from AMD.
Antonio Neri, President and CEO of Hewlett Packard Enterprise, stated: "AI is driving the largest infrastructure build in history. We are partnering with AMD and Vultr to build an open infrastructure that will accelerate the next phase of AI development. The AMD Helios solution showcases Hewlett Packard Enterprise's unique engineering capabilities, enabling the creation of a complete AI architecture—including rack-level computing, scale-up networking, and direct liquid cooling—all supported by our global services."
The AMD Helios AI rack includes Hewlett Packard Enterprise's network scale-out switches and software, configured with 72 AMD Instinct MI455X GPUs, as well as AMD EPYC CPUs, AMD Pensando Vulcano AI NICs, and AMD ROCm software.
Raised the fiscal 2027 outlook.
Hewlett Packard Enterprise also revised its outlook for fiscal year 2027 and beyond on Wednesday. The company now expects its networking business to achieve a growth rate of around 20% in fiscal year 2027, as its market share in the data center networking segment continues to expand. By fiscal year 2029, revenue from the data center networking business is projected to grow at a compound annual growth rate of over 50%.
In addition, Hewlett Packard Enterprise has raised its synergy targets related to the acquisition of Juniper Networks. The company now expects to achieve $800 million in annualized cost savings by the end of fiscal year 2028, up from the previously announced target of at least $600 million. The company will host an investor day event on Wednesday.
As one of the world's largest manufacturers of computing equipment, Hewlett Packard Enterprise has become a key beneficiary of the demand for hardware needed to develop and deploy AI. Driven by the promising prospects of AI, the company's stock price has more than doubled this year.
As of press time, Hewlett Packard Enterprise was up more than 6% in pre-market trading, while AMD was up 0.5%.