HP touts BI services growth

The customer base of HP’s business intelligence services business grew 50% in the 2007 financial year, the company said this week.

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The customer base of HP’s business intelligence services business grew 50% in the 2007 financial year, the company said this week.

The company made the announcements nearly one year after a reorganisation within its software division, which created the current BI group.

HP also said that BI "megadeals" of over $1m (£488,000) grew by 32%. The rise follows HP's acquisition earlier this year of Knightsbridge Solutions, a 700 strong consultancy.

Terrence Ryan, information management leader at HP Services, declined to provide specific numbers but placed the total revenue for BI services in the hundreds of millions. "Our biggest challenge in services is keeping up with [our] Neoview [data warehousing] platform," Ryan said.

HP executives said that platform was ideal for operational BI, the point of which was to disseminate useful business process related information to workers on the fly, as opposed to collecting large batches of data and generating analytical reports.

"Operational BI gives nuts and bolts metrics to lots of managers [such as] 'The average person in an eight-hour shift sells this much stuff at Circuit City,'" said David O'Connell, a senior analyst at Nucleus Research. "What I like about it is companies are always trying to increase [return on investment], and the greatest way to increase ROI of an application is to get more people using it."

HP also said it had landed the New York private equity firm Arsenal Capital as a Neoview customer. It is another in a string of high-profile clients including Wal-Mart to use the product.

However, HP executives declined to say how much revenue Neoview had grossed since its launch in April, instead stressing its overall importance to the company.

"It's a major part of our IT transformation, it's a major part of our growth strategy," said Ben Barnes, general manager of HP's BI division, which launched in January. "We're highly committed to it any way you can think about it." The company had also been working to consolidate its own datacentres around Neoview, he noted.

Other business intelligence stories:

Carphone Warehouse boosts BI with faster data capture

Retailers struggle to gain from business intelligence

Business Objects takes on predictive analytics

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