Shares of Hewlett Packard Enterprise (HPE) are soaring after reporting second quarter results that topped Street estimates and issuing better-than-expected Q3 and full-year guidance.
CEO Antonio Neri is not surprised by the reaction to the earnings, saying "the market is finally waking up to the idea that HPE has a big role to play in AI." Neri argues that "HPE is uniquely positioned to capture the AI inflection point that we see continue to drive the momentum in hybrid cloud."
Neri says HPE has an AI order book of $4.6 billion, adding that "in that number, we converted more than $900 million in revenues. But what is important to realize is that that revenue had solid gross margins, operating margins."
AI systems use a lot of energy. On that front, Neri says energy supply is still "constrained." That’s why he says HPE is "unique" because it offers "100% direct liquid cooling," which is more energy efficient.
Watch the video above to hear why Neri says Nvidia (NVDA) and its CEO, Jensen Huang, are "changing the world."
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