Investing.com -- Elliott Investment Management has taken a stake of more than $1.5 billion in Hewlett Packard Enterprise Co (NYSE: HPE ). and plans to engage with the software and networking company to help it boost value, Bloomberg reported, citing people familiar with the matter. Shares of HPE jumped 7% in early trading.

The investment makes Elliott one of the top five shareholders in the software and networking firm, according to Bloomberg report.

HPE has struggled to capitalize on surging demand for AI-related hardware, trailing peers such as Dell Technologies (NYSE: DELL ). Dell’s shares have jumped almost 300% since its return to public trading in 2018.

Elliott was also a longtime investor in Dell, one of HPE’s major competitors. Elliott has a long track record in tech activism, having previously pushed for changes at Salesforce (NYSE: CRM ), SAP, and Citrix. Its involvement has usually led to leadership changes, strategic shifts, or major transactions.

In March, the company issued a weak profit forecast, citing tariff headwinds, margin pressure in its server business, and internal execution challenges. It also announced plans to cut about 3,000 jobs.

The hedge fund’s investment comes amid a July trial tied to HPE’s $14 billion acquisition of Juniper Networks (NYSE: JNPR ), which has been challenged by U.S. antitrust regulators.

The deal is the company’s largest to date and marks a continuation of HPE’s history of acquisitions, including Nimble Storage and Cray Inc.