PALO ALTO, Calif. (AP) — Hewlett-Packard Co. said Tuesday that its enterprise services unit has received a contract from the Army for cloud computing services that could be worth up to $249 million.
Cloud computing allows workers to fetch computer programs and key documents stored remotely on any device with an Internet connection.
The contract is for one year, with four one-year options. The Army wants to use cloud computing services to help it consolidate data centers and cut costs.
Hewlett-Packard, the world's No. 1 maker of personal computers, is trying to invest in growing areas. It said last month that it would combine its printer and PC divisions to streamline the business and save money for that growth.
Shares of the Palo Alto, Calif. company shed 35 cents, or 1.5 percent, to $23.53 in afternoon trading.