What the HPE-Veeam Strategic Partnership Means for Hybrid Cloud Resilience
Jan. 20 2026, Published 2:44 a.m. ET
The December announcement of an extended strategic partnership between Hewlett Packard Enterprise (HPE) and Veeam Software, the #1 global leader by market share in Data Resilience, revealed at HPE Discover Barcelona, arrives at a moment of significant transformation in enterprise virtualization. With more than 80% of enterprises reconsidering their workload deployment strategies amid rising costs and licensing changes, the collaboration addresses urgent market demands for simplified data resilience across increasingly complex hybrid cloud environments.
Market Context: Responding to Enterprise Infrastructure Disruption
The enterprise virtualization market has undergone significant upheaval following Broadcom’s $61 billion acquisition of VMware in November 2023. Organizations report price increases between 400% and 1,500% as Broadcom moved from perpetual licenses to subscription models. In response, 20% of VMware enterprise customers began exploring alternative platforms in 2024, according to Forrester Research, creating unprecedented demand for migration options and vendor-neutral protection strategies.
This disruption accelerated the adoption of hybrid and multi-cloud architectures, with the hybrid cloud market projected to reach $480.2 billion by 2033. But distributing workloads across multiple environments introduces new security challenges, including expanded attack surfaces, inconsistent controls, and the difficulty of safeguarding data in transit. Check Point’s 2024 Cloud Security Report shows that cloud security incidents surged from 24% to 61% of organizations in just one year.
Strategic Partnership: Building on a Decade of Collaboration
HPE and Veeam have worked together for over 10 years to protect workloads against infrastructure failures, human error, and cyber-attacks. The announcement made December 3, 2025, at HPE Discover Barcelona represents a significant expansion of this relationship, building on earlier 2025 partnership momentum with new integrated solutions designed to address modern hybrid cloud challenges.
"Trust, resilience, and availability are the new currency of business," said John Jester, Chief Revenue Officer at Veeam. "Our strengthened partnership with HPE gives customers the agility and confidence to protect, recover, and leverage their data, wherever it resides."
Patrick Osborne, SVP of Hybrid Cloud Technology Acceleration at HPE, noted that the announcement demonstrates continuous alignment between the companies in removing friction and risk from hybrid cloud and modern application environments.
Core Innovations: Integrated Solutions for Complex Environments
Protection for HPE Morpheus VM Essentials Software
Veeam introduced a new native integration plug-in, currently in beta and expected to reach general availability in early 2026, delivering hypervisor-based image-level backup for virtual machines running on VM Essentials. This integration provides secure, reliable protection for hybrid workloads while enhancing Veeam’s capabilities for containerized applications.
Additionally, HPE validated HPE Morpheus Enterprise Software container services as a Veeam-ready solution, enabling robust protection for containerized workloads. This validation extends the partnership’s reach beyond traditional virtual machines to support the growing adoption of containerized applications in enterprise environments.
The integration allows customers to benefit from multi-hypervisor protection and VM mobility while potentially reducing VM license costs by up to 90%, according to HPE’s internal analysis. For organizations exploring alternatives to traditional VMware deployments, this offers a path forward without compromising data protection.
HPE Private Cloud Business Edition with Veeam Data Platform
Enterprises can soon deploy HPE Private Cloud Business Edition alongside the Veeam Data Platform, replacing fragmented, do-it-yourself data protection with a unified solution. The integration provides data portability and resilience between VMware and VM Essentials, accelerating deployment and simplifying ongoing support.
This unified approach addresses a key challenge in hybrid cloud management: integrating security tools from multiple cloud providers while maintaining consistent policies. Rather than forcing organizations into a single closed ecosystem, the partnership enables them to assemble best-of-breed capabilities without vendor lock-in.
Storage Efficiency Improvements with HPE StoreOnce
The Veeam Data Platform now leverages the latest HPE StoreOnce Catalyst to achieve data reduction ratios up to 60:1. This integration eliminates incremental backup limits and accelerates restore speeds, directly lowering the total cost of ownership while supporting new hybrid cloud use cases.
These efficiency gains are particularly valuable in environments with rapidly growing data volumes. Organizations can protect more data within existing infrastructure, addressing both cost pressures and environmental considerations.
NVMe Support for HPE Alletra Storage MP B10000
The Veeam Data Platform now supports NVMe on HPE Alletra Storage MP B10000, along with new snapshot integrations. This enables faster backups and near-instant recovery for workloads where downtime directly affects revenue and customer experience.
The partnership also announced upcoming reference architectures delivering end-to-end immutability across the HPE Alletra Storage MP portfolio. These architectures aim to set a new standard against ransomware and data loss, giving organizations protection strategies that combine performance with security.
According to HPE’s internal analysis of industry data, these performance improvements can substantially reduce the financial impact of downtime, which remains a significant risk across industries.
Joint Services: Data Resilience by Design Framework
Beyond technology integration, HPE and Veeam launched two new joint services that leverage Veeam's Data Resiliency Maturity Model (DRMM):
Data Resilience and Security Posture Workshop: This service helps organizations assess their current cyber resilience capabilities and identify gaps in protection strategies. It recognizes that security, IT, and compliance teams cannot meet modern requirements alone and that effective protection requires collaboration across organizational boundaries.
Disaster Recovery Capability Maturity Analysis: Organizations can evaluate their disaster recovery preparedness against industry best practices, building on HPE Cybersecurity Services’ cyber resilience portfolio and reference architectures.
These services address a critical challenge highlighted in Check Point's 2024 Cloud Security Report, where employees’ lack of security training and expertise remains the most significant barrier to effective cloud security.
Why This Matters Now: Addressing Urgent Enterprise Needs
Vendor Lock-In Prevention
The partnership's vendor-agnostic approach enables organizations to maintain operational flexibility while navigating changing market conditions. Data portability between platforms helps prevent dependency on a single provider, a concern that has grown following the VMware-Broadcom acquisition.
Veeam protects over 550,000 customers worldwide, including 87% of the Fortune 500. These organizations benefit from solutions that work across cloud, virtual, and physical platforms, ensuring consistent protection regardless of infrastructure changes.
Simplified Operations in Complex Environments
Hybrid and multi-cloud environments create management complexity that can overwhelm traditional security approaches. Organizations must protect data as it moves across multiple clouds, data centers, and edge locations while maintaining consistent policy enforcement.
The HPE-Veeam integration addresses this challenge by providing unified data protection across diverse environments. Instead of managing separate backup systems for each platform, organizations benefit from a single framework that adapts to the specific requirements of every environment.
Financial Justification and ROI
Given the substantial cost increases some organizations face in virtualization licensing, the economic benefits of the partnership are significant. A potential 90% reduction in VM license costs, combined with up to 60:1 data reduction ratios, provides concrete financial justification for infrastructure modernization projects.
These savings allow organizations to redirect budgets toward other priorities, such as AI initiatives or security improvements, rather than absorbing higher licensing fees.
Compliance and Regulatory Support
As regulatory requirements become more stringent, as seen with frameworks like NIS2 in Europe, organizations need data protection solutions that support compliance objectives. The partnership’s focus on comprehensive backup, disaster recovery, and security posture assessment aligns with requirements for business continuity, incident response, and risk management.
Implementation Considerations for Enterprise IT Leaders
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Assessment and Planning
Organizations should start by evaluating their current virtualization strategy in light of recent market changes. This includes analyzing the total cost of ownership under different scenarios: staying with current platforms, migrating to alternatives, or adopting hybrid approaches.
The Data Resilience and Security Posture Workshop offers a structured framework for this assessment, helping organizations identify gaps between current capabilities and required resilience levels.
Phased Deployment Strategy
Instead of attempting a complete infrastructure overhaul, organizations can adopt HPE-Veeam solutions incrementally. Starting with specific workloads or departments allows them to validate the approach while minimizing disruption.
The integration between Veeam Data Platform and HPE Private Cloud Business Edition, expected to be available soon, offers a clear migration path for organizations ready to move beyond fragmented protection approaches.
Skills and Training
The partnership's joint services recognize that technology alone cannot solve resilience challenges. Teams require training on both the integrated solutions and broader data protection best practices. Organizations should plan for this capability building as part of implementation timelines.
Looking Ahead: The Future of Hybrid Cloud Protection
The HPE-Veeam partnership reflects the reality that the future of enterprise IT involves distributed architectures spanning multiple platforms and environments. Success requires solutions that deliver consistent protection wherever workloads reside, combined with operational simplicity that allows teams to focus on business outcomes rather than infrastructure management.
As AI workloads grow and edge computing expands, the demand for flexible, resilient data protection will only increase. The foundation established through this partnership, including vendor-agnostic protection, unified management, and integrated services, positions organizations to meet these evolving requirements.
For enterprises navigating current market disruption, the extended HPE-Veeam partnership provides a path forward that balances innovation with stability. It delivers the protection capabilities required for modern hybrid cloud environments while maintaining the operational flexibility organizations need to adapt to future changes.
