Hewlett Packard Enterprise (HPE) capped another stellar quarter with a multi-year supply win with Oracle.

The hyperscaler kept faith, having relied on Juniper Networks networking gear for more than a decade. Oracle signed on to work with Juniper’s parent, tapping its jointly infused routing and switching platforms like PTX and MX to fuel data center and Edge networks for OCI. The deal also covers the vendor’s latest QFX switches to provide high-density connectivity for AI backend networks.

HPE CEO Antonio Neri, during the vendor's third-quarter earnings call, described the Oracle deal as “an expansion of what Juniper used to do, but now we’re doing at gigawatt scale," and billed it as validation of the vendor’s consolidated networking portfolio, contending it could serve as a reference for other large deployments.

“We have a scalable set of products that deliver the performance with the AI capabilities that now everybody is looking for to drive these self-driving kind of operations,” Neri told investors. “As these gigawatts and gigawatts of infrastructure get deployed, which we think by the end of the decade will be over 270 gigawatts, you have to connect all of them. Therefore, at the end of that pipe, you need a router with that level of capabilities.”

The Oracle win was HPE’s cherry atop the cake for a quarter that saw it bring in revenues of $12.2 billion, a 35 percent Year-on-Year (YoY) increase for the same period.

Revenue from the vendor’s networking portfolio jumped 74.9 percent YoY to $2.9 billion. Campus and branch segment revenues increased 31 percent to $1.4 billion, with data center networking drawing a more impressive 112 percent YoY increase to $1.4 billion.

HPE’s routing offerings saw the biggest YoY revenue surge, jumping 270 percent to $788 million, while security grew to $281 million, up 75.6 percent from the prior-year period.

CFO Marie Myers told investors that order momentum among HPE’s data center switching and routing proved strongest, up high double-digits compared to campus and branch, which was in the low-teens. Myers added that networks for AI were driving intense demand, with related orders reaching a new high of $700 million in Q3, representing a triple-digit increase.

Revenue from HPE’s Cloud & AI division also surged more than 25 percent YoY to $9 billion. Strong server demand resulted in a 35.3 percent revenue increase to $6.8 billion, while storage posted a more modest 10 percent increase to $1.3 billion.

Neri also told investors that the vendor “booked more orders than any prior quarter in our history.”

“Orders were ahead of revenue, demonstrating the differentiation of our self-driving networks and the versatility across multiple cloud deployment models. Routing and data center switching demand accelerated in the quarter, with orders substantially ahead of revenue and our backlog at its highest ever,” Neri said. “Our backlog reflects strong customer demand from hyperscalers and neoclouds for our routers, switching, and AI-driven operation software as they continue to increase their AI cloud capex infrastructure investments.”

HPE increased its fiscal 2026 revenue growth forecast to 34 percent to 37 percent, from nine percent to 33 percent previously.

“Growth in our backlog shows strong customer demand is running ahead of available supply,” Neri added. “We expect to convert more orders into revenue in Q4, which give[s] us even greater confidence in sustaining our networking growth in fiscal 2027.”