Nutanix Transforming to Software-based Business Model
Leading enterprise solution provider Nutanix (NTNX) is gradually shifting to software-centric business by slowly eliminating its hardware business. The software business, which contributes ~50% of its total revenue, has maintained stable growth, driven by contract wins, increased customer spending, a strong product portfolio, and the integration of servers, virtualization, storage, and networking into one solution. Its one-touch software solution, which enhances clients’ performance and saves time, may drive Nutanix’s gross margin as its hardware sales decline.