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The deal is an expansion of an already long and close partnership between the two companies on many levels. The two are investing "$250m in incremental dollars" into the programme to align their engineering and services teams who will work on the new joint solutions, said HP CEO Mark Hurd.
The solution - which as yet has no set launch date - will be pre-made, tested and shipped with Microsoft applications such as SQL Server or Exchange. Microsoft has committed to integrate HP's Insight Software and Business Technology Optimization software portfolio with Microsoft's System Center suite, for virtual service management.
This is the latest example in the trend of companies pushing to provide as full an enterprise IT solution as possible: a similar announcement was made by Cisco and EMC in November, when the two companies said they would provide a pre-made solution combining Cisco's Unified Computing System with EMC's storage hardware and VMware's virtualisation platform.