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The decision-making process for acquiring Opsware by HP was meticulously outlined based on strategic alignment, market analysis, and integration considerations. HP's strategy focused on acquiring Opsware due to its market leadership position and potential for strategic expansion into the data center automation suite. The rationale included Opsware's suite advantage, market leadership, channel fit, and the consolidation of the market, indicating a clear preference for Opsware over competing solutions like Blade Logic.
The cultural integration between HP and Opsware presented challenges and friction, evident in operational hurdles and conflicting IT standards during the integration phase. Cultural differences surfaced in areas such as source control standards and approved applications, highlighting the need for alignment and collaboration to navigate through these organizational disparities. However, leveraging similar cultural values between the teams and effective liaison roles facilitated smoother integration processes.
Post-integration, the focus on market share growth and organizational realignment became prominent, leading to significant sales advancements and alignment of engineering and product functions within HP. The integration process involved breaking up original teams, realigning sales structures, and adapting software and engineering domains to enhance operational efficiency and market competitiveness.
Integrating acquired companies' expertise into the sales organization poses significant challenges, particularly with transitioning sales teams to sell a new product lineup. The process involves turning acquired sales teams into overlays that work with existing sales personnel to enhance overall sales effectiveness. This transformative process aims to fully absorb the acquired expertise, ensuring a smooth transition while adapting to new sales dynamics.
The podcast delves into the critical role of timing in technology, highlighting how influential it is in determining the success of products and companies. Moreover, the importance of top-tier talent, especially in leadership roles, is emphasized for driving innovation and adapting to market disruptions. Additionally, the podcast stresses the need for courage and foresight in making strategic decisions before clear data emerges, underscoring the challenges big companies face in fostering a culture conducive to innovation and staying ahead of evolving technology landscapes.
Acquired dives into the legendary acquisition of Ben Horowitz & Marc Andreessen’s “second act” software company Opsware, from a perspective never before heard—HP’s side of the story! Our heroes are joined by Michel Feaster, who led both the acquisition for HP and then the Opsware product as part of the integrated company afterward under Ben Horowitz. Today the tables have turned: Michel is the Co-Founder and CEO of Seattle-based startup Usermind, and Ben Horowitz sits on her board on behalf of A16Z. This episode is not one to miss!
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Anrok: https://bit.ly/anrokacquired
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Statsig: https://bit.ly/acquiredstatsig24
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