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HP and Microsoft announce three year IT deal

Microsoft and HP both announced a joint deal today that will see the software and hardware giants collaborate on future engineering road maps to eliminate the complexities of IT management.

Microsoft CEO Steve Ballmer, HP chairman and CEO Mark Hurd, held a joint teleconference call this morning to announce the agreement. According to Ballmer the agreement, that spans both hardware, software and services, "will transform the way large enterprises deliver services to their customers, and help smaller organizations adopt IT to grow their businesses." Microsoft and HP believe a combined effort will offer a lower total cost of ownership for business customers.

Microsoft is using the tag line "simplify technology environments for businesses of all sizes" to describe the new deal. In short it appears Microsoft and HP will share ideas and technologies based on Microsoft's Cloud infrastructure and virtualization efforts. The deal isn't cheap and 250 million incremental dollars will be invested into the initiative. The two companies will also partner on some support solutions and marketing campaigns. During the joint teleconference call Ballmer stated "we're able to build on our incredible 25 year partnership of the two companies put together to drive things forward."

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