HPE compute software VP Justin McGarry on why Compute Ops Management is a business growth platform for MSPs

ROBERT DUTT: This episode of In The Channel is brought to you by HPE Discover 2026. Check out our full coverage of the event at ChannelBuzz.ca. You’ll find our HPE Discover 2026 news hub in the menu bar right at the top of the page.

Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last 16 years. I’m Robert Dutt, editor of ChannelBuzz.ca and your host for the show.

This week I’m at HPE Discover 2026 in Las Vegas, and over the course of the show I’ve been sitting down with HPE executives and partners for a series of conversations that I’ll be releasing over the next few days.

Today’s guest is Justin McGarry, vice president of product management for compute software at HPE. Now, when HPE says compute, they mean their server business anchored by the ProLiant line, but Justin’s specific domain is the software that wraps around that hardware. The centerpiece of that is Compute Ops Management, which is HPE’s cloud-native platform for securing, automating and managing ProLiant estates. It’s built on top of iLO, HPE’s embedded server intelligence technology, and over the past few years it’s evolved into something that Justin argues is less a management tool and more a business growth engine for MSPs.

Justin came to HPE a couple years ago from VMware, where he ran global services portfolio and the go-to-market strategy, so he brings an interesting outside perspective to where HPE’s story fits in the broader enterprise infrastructure picture.

We talked about the MSP opportunity, sustainability forecasting, where Compute Copilot, the conversational AI layer for server management, actually stands today, and where HPE thinks agentic capabilities take all of this.

Let’s get right into it. My chat with Justin McGarry.

Justin, thanks for taking the time. I appreciate it.

JUSTIN MCGARRY: Yeah, happy to be here, Rob. Thanks for giving me the opportunity to chat with you today. I’m sure it’s a busy week, this kind of show almost always is.

ROBERT DUTT: Absolutely. To start with, you guys have been calling the business unit Compute rather than servers for a while now. When you’re talking to partners, how do you describe what Compute is today versus maybe what it was five years ago, what it all kind of entails?

JUSTIN MCGARRY: Yeah, I mean, I’ll give you my perspective. So I joined the company about two and a half years ago now. And when I think about what we do in Compute, the foundation of that is ProLiant. So from a hardware perspective, the servers that we ship day in and day out to our customers. The other piece, from my perspective, and maybe I’m being a little selfish here, is all the software and solutions that wrap around that. So from a software perspective, I own what we call Compute Ops Management. So that is our cloud-native management platform for securing and automating those ProLiant estates. We actually do third-party monitoring as well. So other server OEMs that you have in the environment, we’ll monitor that as well. And then we have our on-premise solution for air-gapped and sovereign environments. That’s OneView. We’ve had OneView out in the market for many years now. And then, of course, the foundation of everything we do from a software perspective is with iLO, integrated lights-out. That has been out in the market now for a few decades. We continue to innovate and evolve on that. And so all of that intelligence, the data, the telemetry, that’s all foundation to what we do in our management platforms with our subscription-based cloud-native Compute Ops Management, and our sovereign air-gapped solution with OneView.

ROBERT DUTT: Okay. A couple questions around things that you guys have announced recently. You guys just highlighted a 20% energy efficiency gain with the Gen 12 platform on Xeon. So for a reseller or MSP helping a mid-market customer justify the server refresh right now, how do you see energy efficiency playing in actually closing deals? Or is it still just sort of a nice-to-have thing on the spec sheet?

JUSTIN MCGARRY: Yeah, I think customers are still really focused on sustainability. Again, if I think back to what we do from a software perspective with Compute Ops Management, one of the key assets or capabilities that we have there is what we call AI insights. And with those AI insights, we can actually help customers from a sustainability perspective be able to predict and forecast future carbon emissions. So I was at Discover in Barcelona late last year. We had a customer Booking.com on stage and Booking.com has a massive distributed environment all ProLiant-based. How are they managing, securing, automating that? They’re using Compute Ops Management. One of their key goals at a company level is they want to be net-zero by 2030. How are they going to get there? They got to make sure that they’re running an efficient, sustainable operation, certainly from a data center perspective. ProLiant is in that picture. And then how they’re managing, monitoring that, predicting their future forecasts or their carbon emissions to help them derive when they’re going to go do their refreshes. They’re using Compute Ops Management for that. So sustainability is still very much top of mind. Globally, I would say even more important in EMEA with some of those board-level sustainability targets that customers have with their ESG board-level goals that they’ve got to go and achieve.

ROBERT DUTT: Do you see that catching up at all in the North American market?

JUSTIN MCGARRY: You know, I do. I mean, I’m hearing it more in customer conversations. If I think about when I was in Discover Barcelona, a lot of the discussion there was around sovereign and sustainability. Early into the week here at Discover, I haven’t had a lot of customer meetings yet, but I’m going to kind of predict that I think some of the sustainability pieces are going to come into play, especially when you think about AI, you think about inferencing in particular out at the edge. You think about all the energy required to go in and not just do the training, but now thinking about the inferencing and workloads and use cases around GenAI. I think that’s just going to continue to become more important. And so that’s why we prioritized it in our roadmap to continue to evolve on what we’re doing from a sustainability perspective.

ROBERT DUTT: Let’s get a little bit more into Compute Ops Management. You came from VMware, which has its own management tooling story. What does COM do that’s genuinely different and what does it mean for an MSP managing, say, 100 ProLiant servers across 20 customers or whatever that profile looks like?

JUSTIN MCGARRY: Yeah, yeah. So I think what really differentiates HPE, I think, generally in the market is that we have the Compute Ops Management capability. So this was a build from the ground up, cloud-native subscription-based management tool that we brought to market a few years ago now. I think it has been very transformational in the customer conversations that we’ve been having because at the end of the day, it’s not just the hardware. It’s how you secure that, how you automate it. I think the unique differentiation that we have with Compute Ops Management is specifically with all the telemetry data and intelligence that we have at the iLO level. That is in every single ProLiant that we ship out the door. And because we have that chip in each of those ProLiants that goes out, it gives us a lot of capability to secure, automate, manage, orchestrate that environment for the customer. So I think that’s the unique value that we have in Compute Ops Management that may be a little bit different than what else you see out on the market and you reference VMware. Certainly a lot of great management capabilities there when it came to the workload level, the virtualization level. This is down at the hardware level, at the ProLiant level, helping customers manage and automate and secure that environment. When it comes to what’s in it for managed service providers, so we have a lot of success stories there that we’re continuing to build on where COM really enables multi-tenant compute management for those MSPs. They can do it from a single, secure, cloud console. They can proactively manage and monitor their customers’ environments. We have this MSP actually who will be on stage with me later today, Nitec, and the managing director there that runs that business. He started working with our team a few years ago now as we were starting to really kind of build some foundational capabilities into Compute Ops Management. He helped us with developing the concept around our MSP capability where we can manage different workspaces across an environment and have all of that visibility roll up to a single level. I think the key benefit for these partners, and of course there’s all the IT benefits and capabilities that they get. I think when I consider what Nitec has done and some of the other MSPs from a business perspective, what used to take a lot more resources for them to manage those customer environments, now they’re able to do that much more efficiently and effectively. They’re seeing a larger margin profile on these value-added services that they’re delivering to these customers as a result. And so, Compute Ops Management, you ask the folks at Nitec, that has been foundational to them being able to deliver these services effectively and at a much higher margin than they have been able to do in the past. So the story, Rob, honestly, is a very similar story to what customers achieve with using Compute Ops Management. We’ve got a study we did a little while back across about 300 ProLiant customers, up to 75% less downtime in their environment, a lot more, up to 150,000 or so in travel and resource costs saved. So just like we’re helping our customers effectively manage their environments with less resources and less cost at those distributed edge locations, we’re doing the same thing with our MSP partners. So we have a lot of opportunity there. It’s exciting to see, I would say, COM is not just a management tool, it’s a business growth platform for these MSPs who really lean into it and partner with us.

ROBERT DUTT: Obviously, you’ve got folks like Nitec who are well along the curve, it sounds like, maybe even leading the way in many ways. Where are you at in terms of reaching the long tail of the MSP channel and kind of getting that, how fully realized is the opportunity for COM in the community today?

JUSTIN MCGARRY: I think, Rob, we still have a ton of opportunity to get the message out there around Compute Ops Management. I find myself, when I am presenting to the various partner communities, there’s still a lot of opportunity to bring them up to speed on the capabilities that we have there, the benefits they can derive, and in particular, what’s in it for them. How can they go in and repeat what Nitec has done? I think if you ask Nitec, what is the one thing that they would recommend for partners to go do who are looking to scale their MSP businesses on top of a management capability like Compute Ops Management? It is getting a single kind of advocate champion in the organization to really understand what not only the product can provide to the end customer, but what are the benefits that the managed service provider can get out of using this type of capability in their environment to manage those end customers?

ROBERT DUTT: You guys just recently launched or added Copilot, an integrated conversational AI layer for server management in COM. Interesting concept. Where is that at today? Is it sort of in the “this is what the future might look like” kind of phase, or is there aspects that it’s kind of going to be genuinely useful to an MSP today?

JUSTIN MCGARRY: Yeah, I think it is very early stages with Compute Copilot. Today, it is very much a conversational AI assistant. So if I think about in my daily life how I’m using tools like Claude and my just kind of conversational interaction back and forth, Compute Copilot is very much that today. So hey, Compute Copilot, tell me about the servers I have in the environment and their health, or hey, Compute Copilot, tell me where I’m at on achieving, as I talked about the Booking.com story earlier, where am I at on my path to sustainability and meeting some of those targets? Those are some of the questions that you can ask of it today. If you asked Nitec, they would say, “Hey, all the manual effort and looking through all the manuals and documentation that HPE provides around the ProLiant infrastructure, we no longer have to go in, dig that all up and navigate our way through that.” We can ask the conversational assistant with Compute Copilot to do that. That’s the beginning. I think the future is really around agentic. So how can I interact with that Compute Copilot to say, “Hey, notice that this issue is happening in my environment. Provide me some recommendations on what I can do next.” It provides me those recommendations. And then I can say, “Hey, Compute Copilot, go and enact those recommendations.” And so I think about back to that study with those ProLiant customers and all that time and resource and effort saved, I just can’t imagine how much we can multiply that for our MSPs and for our customers once we start to get some of those agentic capabilities in place. What are the announcements we have this week, Rob, as we start to head down that agentic path is with security advisories. So security advisories, you think about the past, “Okay, I got to understand that there’s a security advisory out there. I then got to go and act on it and figure out what I need to go do in the environment to rectify that issue.” Now we’re heading down the path of, “Okay, I can get some intelligence to tell me, ‘Hey, this is happening in the environment. We can go and provide recommendations on where you need to go and implement this and then go and implement that.'” And so, yeah, I’m really excited about the opportunity that we have with agentic. I think back to your question, we’re just very much at the beginnings of where we can take capabilities like Compute Copilot.

ROBERT DUTT: Especially as that kind of stuff starts to fit into the mix, it strikes me that it’s even more important that, as you mentioned, it’s a multi-vendor kind of environment that I as an MSP, if I have customers or existing infrastructure that’s running someone else, it’s, you know, it can be covered under this as well.

JUSTIN MCGARRY: Yeah, yeah. So the third-party monitoring capability we have today is very much monitoring. So other OEM servers that you have in your environment, you can get visibility into those. And so we provide this capability today. I think we announced that about a year or so ago. I would say that is opening a lot more doors for our, certainly the conversations with the MSPs. You know, we can’t kid ourselves that at MSPs they only have one type of OEM in the environment. They might have multiple. It’s a hybrid environment. And the same can be said for our customers out there as well. And so having this third-party monitoring capability in place where I can go to that single console and not just have visibility into my ProLiant estate, but if an issue occurs, I want to be able to see that across the entire estate. The third-party monitoring capability gives us the ability to do that, Rob. And, you know, one other thing I’d add real quick, and this is something that a lot of our partners and even, I’d say, our customers, we still have some awareness-building to do around Secure Gateway. So one of the challenges that customers, when I first joined, time and time again, I have discussions with customers about cloud manageability. And the first question they say is, well, Justin, where is this all hosted? And, you know, do I really want my environment talking to the cloud? And one of the things that we developed over time is this capability called Secure Gateway. It’s a virtual appliance that can be deployed in the environment. And what that does is it actually aggregates all of the iLO traffic to that Secure Gateway. That’s then one egress connection out to the cloud instead of all of those iLOs connecting and talking to the cloud. Nine times out of ten in customer conversations I have, whether it’s financial, it’s some other regulated industry, healthcare, insurance, what have you, we are now able to overcome that hurdle with cloud management capability because we have the Secure Gateway virtual appliance that we can deploy for customers. So that’s another great capability. Combined with third-party monitoring, you deploy that virtual appliance and that’s how we’re able to have that visibility across the entire estate.

ROBERT DUTT: We touched a little bit on sustainability earlier. Back home in Canada, we have particular sensitivities around energy costs, carbon reporting, especially for public sector and anyone under provincial ESG oversight. What is the sustainability dashboard in COM? Does that move the needle here? Is it a checkbox feature? What can it kind of add to an MSP who’s trying to make sure that their customers are informed and in the right place?

JUSTIN MCGARRY: Yeah, I would say it’s a fundamental feature that we have in Compute Ops Management today. I think what really takes it to the next level is the AI insights that I mentioned. So we worked with an open-source forecasting engine model out there that we leverage to develop and engineer that capability. And what that allows you to do is be able to forecast out to the future. Hey, this is how we’ve been trending today. This is where we will end up in the future based on some of that intelligence that we have in the AI-driven insights capability. So I would say sustainability dashboard in Compute Ops Management is a very kind of foundational fundamental capability. How you take that to the next level is then being able to leverage the AI-driven insights that we have for sustainability, be able to predict what the future is going to look like from a carbon emissions, energy cost perspective, and then be able to proactively take some measures to make sure that you’re going to be able to meet or exceed those targets. And so some customers are actually looking at that and saying, okay, I’m not necessarily ready to refresh now, but based on how I’m predicting out to the future, yes, I need to make that next step from Gen 10 or even prior to that in my environment to the new Gen 12 and the cost associated with doing so. I can predict and forecast out into the future that based on my energy costs, I may be able to cover, I mean, not all of that expense to do the refresh, but certainly a part of it. And so that’s something else that I know we have had a lot of success with our customers here recently. Again, it comes back to not just having that fundamental sustainability dashboard in place, but also being able to look out into the future to a certain extent with that forecasting model that we have to predict where you’re going to go with carbon emissions, energy costs.

ROBERT DUTT: Last one for me. What do you think is the biggest untapped or under-realized opportunity in the compute software sphere for you guys right now? What’s basically the one thing that you’d want a Canadian reseller walking away from Discover this week understanding about this business that maybe they didn’t come in with?

JUSTIN MCGARRY: Yeah, I think that back to what we talked about a little bit ago, there’s still, I think, an opportunity with partners. Partners have heard maybe a little bit about Compute Ops Management, but haven’t yet gotten to the place where they fully understand the capabilities that we have there, where we have delivered on some of the things like Secure Gateway, third-party monitoring, the sustainability, AI-driven insights and the forecasting model there, where we’re going with agentic. What’s in it for them at the end of the day? What are they going to benefit from getting their customers up to speed on Compute Ops Management, using it to manage, orchestrate, secure, automate those environments? I think there’s a tremendous opportunity there to continue to, and this is on me. It’s on our teams at HPE to continue to work with our partners to bring them up to speed there. And then I think back to looking at what Nitec and others have done: really get that champion within your organization to understand not just what the customer benefits are and the outcomes that can be derived, not just from an IT perspective, but with the Booking.com story, that real business-critical impact that this software is driving. I think that’s a unique differentiator that HPE has out in the market from a ProLiant perspective with Compute Ops Management. And then the other piece for MSPs is, hey, I can go in and deliver higher-margin value-added services just by leveraging this management tool in the environment and learning from Nitec and others on how they’re doing that. So I think I feel like it’s very early stages, Rob, with the partner ecosystem. I think we have a ton of opportunity there to help them understand that COM isn’t just a management tool. It is a business growth driver for them, and helping them understand that and realize that outcome is certainly where I’m focused and where the team is focused going forward.

ROBERT DUTT: Between that runway and I think the potential for agentic getting its hooks even deeper into this and making it increasingly actionable, I think you’re right. There’s a lot still to come.

JUSTIN MCGARRY: Yeah, absolutely. Yeah, it’s exciting. I think there’s a tremendous opportunity with the partner ecosystem and I think, genuinely, I think we’re just getting started.

ROBERT DUTT: All right. Look forward to seeing how it evolves. Awesome. Well, I appreciate you taking the time with me, Rob. Thank you. Thank you.

ROBERT DUTT: There you have it. Justin McGarry from HPE. I’d like to thank Justin for carving out some time during what is a genuinely hectic week here at Discover. I really appreciate it. And thank you for listening. If you’d like to follow or subscribe to the podcast, you can find us on Apple Podcasts, Spotify, YouTube, most podcast directories. Ratings and reviews are always appreciated if you have a moment.

A few things I take away from this conversation. First, Compute Ops Management is a more interesting story than the name might suggest. When you’ve got an MSP like Nitec that helped co-develop the platform’s multi-tenant capability and is now managing distributed customer environments at significantly higher margins with fewer resources, that’s a real signal worth paying attention to. Justin’s framing of COM as a business growth platform rather than a management tool is the right way to think about it.

Second, the sustainability forecasting piece is genuinely differentiated for the Canadian market. The ability to project future carbon emissions and energy costs and use that forecast to build a board-level business case for a server refresh is practical and timely, especially for customers with ESG reporting obligations.

And third, Compute Copilot is early, and Justin was honest about that. The near-term step, moving from conversational Q&A to actual agentic action on security advisories, is the right direction. It’s worth revisiting this conversation in a year to see how far that’s come.

Until next time, I’m Robert Dutt for ChannelBuzz.ca, and I’ll see you in the channel.