This Just In: HP Staying In The Personal PC Business
Meg Whitman, HP president and chief executive officer, offered the following comments: "HP objectively evaluated the strategic, financial and operational impact of spinning off PSG. It’s clear after our analysis that keeping PSG within HP is right for customers and partners, right for shareholders, and right for employees. HP is committed to PSG, and together we are stronger."
Those are bold words. Words that will no doubt be attributed to her for years to come. This marks a monumental day in the direction of HP. After evaluation, HP found that the cost to recreate these in a standalone company outweighed any benefits of separation. It is the No. 1 manufacturer of personal computers in the world with revenues totaling $40.7 billion for fiscal year 2010, so one may wonder why they ever considered busting it out in the first place.
Not like it matters now. Todd Bradley, executive vice president, Personal Systems Group, HP, offered the following: "As part of HP, PSG will continue to give customers and partners the advantages of product innovation and global scale across the industry’s broadest portfolio of PCs, workstations and more. We intend to make the leading PC business in the world even better."
Looks like HP better get those supply channels cranking in the lead-up to the holiday sales season. If they're in, they might as well be in it to win it.