The recent revelations from the reports of The Wall Street Journal indicate the break up of Hewlett-Packard business sectors. The business would be segmented into two, one focusing on PCs and Printers and the other on corporate products and services.The new HP PC and Printers division include PCs, tablets, printers and other accessories.
HP, the world’s-second largest PC vendor after Lenovo, has taken this decision and the move would be announced as early as this Monday according to the sources of the Journal who are ‘familiar with this matter’. This split would help HP to regain the top spot in its business segments and to increase the value of the company.
The split of the HP into two sectors has been the most contemplating issue for HP and its investors, and there has been put a lot of effort and thinking in making this decision, says the Journal.
CEO Meg Whitman said “We are gradually shaping HP into a mor nimble, lower-cost, more customer-and partner-centric company that can successfully compete across a rapidly changing IT landscape” after the company’s second quarter earnings were released in May. This was an indication for the split up.
Mr.Whitman would be the chairman of the new PC and printer business and chief executive of the separate “enterprise company,” while the board member Paticia Russo will be chairman of the enterprise company. Don Weisler, the current executive vice president of HP’s printing and personal systems group will step in a s CEO of the PC and printer business, according to the Journal.
This move wasn’t the first time HP has attempted to jettison its PC business. Earlier attempts where rejected by the investors and Whitman reversed the decision and began a “multiyear journey” to revive HP.