HPE sees weaker quarterly revenue on AI server sales delay
Hewlett Packard Enterprise forecast first-quarter revenue below Wall Street estimates on Thursday, as it sees a fall in AI server income due to customers shifting their orders to the second half of the year.
Shares of HPE, which provides AI-optimized servers that run on high-end Nvidia processors, fell over 9% in extended trading.
“In cloud and AI, we continue to see the impact of lumpiness and AI server revenue and expect a sequential decline in the AI server revenue with the majority of AI deals shipping in the latter half of the year,” CFO Marie Myers said on a post-earnings call.
