HP Gets $400M Cloud Contract With Centrica

PALO ALTO, Calif. (AP) — Computer maker Hewlett-Packard Co. said Monday that it will provide data center services to Centrica PLC, a U.K.-based energy company, in a $400 million, seven-year agreement.

HP said its subsidiary, HP Enterprise Services UK Ltd., will deliver services to help Centrica move to "cloud computing," a system of pay-as-you-go access to servers, storage and other computing resources. Instead of Centrica having to operate its own data centers, HP will run the machines on Centrica's behalf in the U.K It will also provide support from HP centers in India, Malaysia and the Philippines, and project and applications services from HP.

The switch will help Centrica "respond to market changes to supply gas and electricity to homes and businesses more efficiently," said Dave Bickerton, Centrica's group chief information officer, in a statement.

Shares of HP gained $1.07 cents, or 2.6 percent, to $43.75 in late trading Monday.