back to article Mayday, mayday. Cray, you cray cray: Investor attempts to halt HPE's $1.3bn biz gobble

A cray cray Cray investor is attempting to scupper the supercomputer builder's pending $1.3bn acquisition by HPE, by proposing a class-action lawsuit. Russell Davie reckons Cray broke America's finance laws in providing a “materially incomplete and misleading” preliminary proxy statement to the Securities and Exchange …

  1. Chris G Silver badge
    Trollface

    Well, if the sale doesn't go through at least it will save the payment of court costs from HPE suing Cray to cover the fact that they (HPE) ran it into the ground for some reason

  2. mikus

    Another Casualty.

    As with most other HP acquisitions, they don't want to be another casualty. Can you blame them?

    HP has the rep to ruin/run everything they touch into the ground, so probably some pride in them not just capitulating and staging themselves for burial up front.

    Maybe HP will try to bring back the Cray Itanium Division in fabulous collaboration with Intel for planned obsolescence and go figure, upgrade to something less craptastic!

  3. seanf

    Make or Break

    Remember when HP used to make things that worked not buy things that work and break them?

    1. druck Silver badge
      Unhappy

      Re: Make or Break

      No.

      1. Duncan Macdonald Silver badge

        Re: Make or Break

        Be fair - the Laserjet 4 was a robust brick that just kept on working. Even now 24 years after the model was discontinued working printers still turn up on eBay.

        (However I doubt that any of the current HP management were involved in its development).

      2. Martin Gregorie Silver badge

        Re: Make or Break

        HP calculators were, and still are, gems even if they're unsupported now.

        I have an HP 21 that I bought in 1976 that's still in daily use, though I've had to chop its battery holder open to fit new rechargeables more than once, moving from NiCd to NiMH and now hybrids.

        I also have an HP28S, bought in 1990, that's in perfect nick and runs for years at a time on a set of three LR1 alkalines.

        I agree with what people have said about their laser printers (I have a modern Laserjet M402dne that I'm very pleased with) and would add that their pen plotters also 'just worked' - and still would if you could find new pens for them.

        1. Anonymous Coward
          Anonymous Coward

          Re: Make or Break

          IIRC a Laserjet other than the original ones that doesn't end in 00 or 50 is made by someone other than HP and badged.

    2. lglethal Silver badge
      Trollface

      Re: Make or Break

      Hey HP are just being "Disruptive" - you know that new management theory thats defined as move fast and break things...

      HP are superb at the second part...

    3. fredesmite

      Re: Make or Break

      After Carly - they stopped using "Invent" and replaced it with "Outsourced to lowest bidder"

  4. Aladdin Sane
    Terminator

    Glitch in the Matrix?

  5. Peter Gathercole Silver badge

    Hey, I recognise that image!

    That is one of the stock images that was published when the UK Met. Office installed their Cray XC40s back in 2015.

    In fact, this is not of the XC40 computer cluster itself, but of the Seagate/Xyratex storage for it, which used Dell rackmount x86 servers to control the storage, which is not so impressive, and is of the initial test system (which was a small XC30, though later upgraded) that was installed at the tail end of the evaluation phase.

    And the reason it leapt out at me? In the background is one of the IBM 9125 F2C Power7 775 supercomputer clusters that I used to provide support for when I was working there!

    1. Korev Silver badge
      Pint

      Re: Hey, I recognise that image!

      Well spotted -->

    2. Martyn F

      Re: Hey, I recognise that image!

      Peter, only you would spot this :-D

  6. fredesmite
    Mushroom

    Poor souls

    "Cray employs around 1,300 people, we're told. It has headquarters in Seattle, and assembles its machines in the US."

    Well -- by the end if next year 2/3 of them will be gone amd manufacturing will be outsourced to FoxConn

    #sad

  7. pig

    Given their history with buying companies and running them in to the ground HP should have to pay a premium if buying a business.

    If I were a shareholder I would want 4x what it is worth from HP to compensate me for future losses.

    So if a company is worth around $3billion I would demand HP offered $12billion.

    Hang on, have we discovered how the Autonomy valuation was arrived at?

  8. Korev Silver badge
    Boffin

    SGI

    I'd much rather Cray remains independent or even gets taken over by someone else. The SGI bit of HPE do sell a few systems and it'd be good to have more vendors on the market.

    1. ST Silver badge

      Re: SGI

      > I'd much rather Cray remains independent or even gets taken over by someone else.

      Agreed, but the choices for that someone else are just as bad as HPE: IBM, Oracle or Dell.

      1. Martyn F

        Re: SGI

        But hold on SGI bought Cray which then sold (the vector division of) Cray to Tera which became Cray and made non-vector machines, which was then bought by an SGI that had been swallowed by HP...

        Who owns the rights to the Fortran compiler these days?

  9. Anonymous Coward
    Anonymous Coward

    The problem with HPC

    is that there's no profit in it.

    There's plenty of revenue, but it's all volume revenue without profit revenue.

    HPE, Dell, Lenovo, IBM all cut their throats to design and sell thee HPC designs, but it's really volume revenue to help subsidise profitable business elsewhere. There are exceptions, such as when it's a government contract, or where Intel/AMD/etc are funding a large slice of the cost, but looking at the numbers from Cray, it's difficult to stand alone as an independent in a volume business space.

    1. Jc (the real one)

      Re: The problem with HPC

      A sales colleague of mine always refers to HPC as Half Price Computing

      Not too long ago I was with a customer complaining about one vendor - how their prices didn't reduce in line with Moore's Law (they had bought an HPC cluster several years before and expected to get at least twice the performance from the same $$$ outlay). With these expectations, it is hard for any hardware vendor to get rich on HPC alone

      Jc

  10. Roland6 Silver badge

    "Cray expects considerable losses in fiscal 2019."

    Do you think the (current) HPE board reads the newspapers? or are they like the version that approved the Autonomy takeover and read nothing...

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