HPE to leave Palo Alto headquarters as cost cutting continues

Cuts ongoing as HPE downsizes HQ

Hewlett Packard Enterprise (HPE) will leave its Palo Alto headquarters by the end of 2018, selling its current base and moving to nearby Santa Clara.

In a press release, HPE said that the company no longer needs a facility of the current size and will look to sell the property - splitting employees between three other facilities.

The move comes as HPE continues its radical $1.5bn cost-saving measures that will see thousands of employees laid off, as well as the reported closure of a facility in Roseville, California.

The Aruba offices in Santa Clara will become HPE's new global headquarters, while other employees will be split between facilities in San Jose and Milpitas.

The predecessor HP company was based in Palo Alto from its founding in 1939 until it was split in two in 2015. HP Inc is still based in the city.

HPE CEO Meg Whitman said: "Over the past two years we've made tremendous progress towards becoming a simpler, nimbler and more focused company.

"I'm excited to move our headquarters to an innovative new building that provides a next-generation digital experience for our employees, customers and partners.

"Our new building will better reflect who HPE is today and where we are heading in the future."

Despite leaving Palo Alto, HPE said it will continue to support the HP garage - the garage where Dave Hewlett and Bill Packard formed HP, now a museum - and the HP Founder's Office, which served as HP's headquarters until 1981.