HP to spin off PC business to focus on enterprise software

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  • Reply 61 of 253
    quadra 610quadra 610 Posts: 6,744member
    This was coming. But to this degree? Wow. Apple really did change everything.



    Post-PC era for sure, folks. But it's almost comical the way we're heading into it.



    I feel sorry for the suckers who actually bought the whole WebOS baloney. It was already dead when Palm killed it.
  • Reply 62 of 253
    Here's HP's track record of big deals:



    Quote:

    FACTBOX-HP's ten largest deals since 2000



    NEW YORK, Aug 18 (Reuters) - Hewlett-Packard Co <HPQ.N> is

    close to a deal to buy British software company Autonomy

    <AUTN.L> for $10 billion, according to two sources familiar

    with the company's plans. [ID:nN1E77H131]

    A $10 billion deal would be HP's third-largest deal since

    2000, according to Thomson Reuters data.

    The following are HP's 10 largest deals during that

    period.



    SIZE

    COMPANY ($ MLN) DATE

    ------------------------------------------------------

    Compaq Computer Corp 23,518.4 09/04/01

    Electronic Data Systems Corp 13,031.0 05/13/08

    Mercury Interactive Corp 4,193.5 07/25/06

    3Com Corp 2,716.8 11/11/09

    3PAR Inc 1,961.0 08/23/10

    Opsware Inc 1,613.5 07/23/07

    Palm Inc 1,544.4 04/28/10

    Indigo NV 1,449.3 09/07/01

    ArcSight Inc 1,418.8 09/13/10

    Triaton GmbH 427.1 02/23/04

    ------------------------------------------------------

    SOURCE: Thomson Reuters Deals Intelligence



    (Compiled by Michael Erman. Editing by Robert MacMillan)

    ((Reuters Messaging: [email protected]; +1

    646 223 6021))

    Keywords: HP AUTONOMY/





    When HP merged with Compaq, both stocks went down!
  • Reply 63 of 253
    Quote:
    Originally Posted by island hermit View Post


    Web OS is being kept alive but HP will no longer make devices for it. In other words it is at the mercy of other manufacturers who may or may not want to use WebOS.



    As many of us predicted, HP fucked up WebOS. HP isn't a software company and had no idea what to do with it. Bummer too because if it gone to the right company it could have given Apple a run for their money. Oh well...
  • Reply 64 of 253
    Quote:
    Originally Posted by Psych_guy View Post


    As many of us predicted, HP fucked up WebOS. HP isn't a software company and had no idea what to do with it. Bummer too because if it gone to the right company it could have given Apple a run for their money. Oh well...



    Give it time... Google will make an offer to HP for WebOS.
  • Reply 65 of 253
    MacProMacPro Posts: 18,347member
    Quote:
    Originally Posted by island hermit View Post


    All the publications are not reporting that it is dead. Read what they are saying. HP is keeping WebOS alive but they are killing all devices that use it. (... and, yes, in any sane person's mind that is just as good as dead, but it is not what HP is saying... WebOS lives...).



    I get a mental image of a disembodied brain in a large glass dome ....
  • Reply 66 of 253
    gctwnlgctwnl Posts: 277member
    Quote:
    Originally Posted by yuusharo View Post


    Hold on a second. Where did AppleInsider get the idea that HP was killing off WebOS? No other outlet is reporting that, and those claims aren't answered or sourced here.



    Jumping the gun much, AI?



    Nope. Directly from HP's web site:

    Quote:
    Originally Posted by HP Press Statement


    In addition, HP reported that it plans to announce that it will discontinue operations for webOS devices, specifically the TouchPad and webOS phones. HP will continue to explore options to optimize the value of webOS software going forward.



    OTOH, HP did not say exactly that they will spin off the PC business. Officially, it is only an option. So a better headline would have been "HP kills TouchPad and WebOS phones"



    DED was right though in predicting HP would completely botch the WebOS initiative. I think he predicted that when HP bought Palm.
  • Reply 67 of 253
    MacProMacPro Posts: 18,347member
    Quote:
    Originally Posted by island hermit View Post


    Give it time... Google will make an offer to HP for WebOS.



    My money is on Mattel.
  • Reply 68 of 253
    tenobelltenobell Posts: 7,014member
    Yeah I bet they aren't too happy with that.



    Quote:
    Originally Posted by Granmastak View Post


    Well I suppose best buy will be stuck with them webOS tablets after all!



  • Reply 69 of 253
    irnchrizirnchriz Posts: 1,590member
    Do you think there is a queue of HP top execs lining up to kick the shit out of Jon Rubenstein for selling them a White elephant?



    1.2 billion for a printer OS, giggle!!
  • Reply 70 of 253
    Quote:
    Originally Posted by island hermit View Post


    All the publications are not reporting that it is dead. Read what they are saying. HP is keeping WebOS alive but they are killing all devices that use it. (... and, yes, in any sane person's mind that is just as good as dead, but it is not what HP is saying... WebOS lives...).



    ZDnet



    {Summary: HP drops a bombshell?as well as the TouchPad and WebOS.



    HP said Thursday that it will discontinue its WebOS operations as the company cut its outlook for the next two quarters.



    The company said it *?will discontinue operations for webOS devices?, specifically the TouchPad and webOS phones. And that WebOS unit will cost HP some dough to discontinue. HP will also spin off its PC unit.}



    Unless I have a comprehension problem, which is quite possible, I read that that webOS is dead, only it will take some dough to completely kill it.
  • Reply 71 of 253
    Quote:
    Originally Posted by jragosta View Post


    The answers you've gotten are incomplete. A spin-off is a mechanistic action. Focusing on the results (is it like agilent? Is it like Lenovo?) only confuses the issue.



    Specifically, a spin-off occurs when a company restructures operations in such a way that a new entity is created which has its own shares. Specifically, Company A has a subsidiary or division (call it Company B). Company B is wholly part of Company A and the results are reported as part of Company A's results.



    Now, Company A spins off Company B. That means that there are now shares in Company B which are tied directly to company B. So, when Company A reports their operating results, Company B is not included.



    This can be for any number of reasons. Often, it is done before selling Company B (Lenovo). Or, it can be done to shelter Company A from liability for some reason. Or because Company A thinks that their relationship is holding Company B back from achieving its full potential. Or any number of other reasons.



    It becomes more complex than that. When Company A spins off Company B, Company A can sell all of the stock, some of the stock, or none of the stock. So it is entirely possible for Company B to now be an independent company, but still fully owned by Company A (different than a subsidiary because a subsidiary does not have its own stock). The difference is that if Company A owns Company B's stock, the results would now typically (although not always) be reported as investment income rather than operating income.







    Not at all. See above. There are plenty of examples where subsidiaries or divisions are spun off without selling the company.



    The only thing I'd add is that sometimes the reason for the spin-off is to allow either a) or b) (or both) to go private.
  • Reply 72 of 253
    gctwnlgctwnl Posts: 277member
    Quote:
    Originally Posted by RichL View Post


    A friend of mine works for Autonomy. They're a very smart group of people. I wonder what advantages they get from being bought by HP.



    Just ask the Palm people
  • Reply 73 of 253
    MacProMacPro Posts: 18,347member
    Quote:
    Originally Posted by Granmastak View Post


    ZDnet



    {Summary: HP drops a bombshell?as well as the TouchPad and WebOS.



    HP said Thursday that it will discontinue its WebOS operations as the company cut its outlook for the next two quarters.



    The company said it *?will discontinue operations for webOS devices?, specifically the TouchPad and webOS phones. And that WebOS unit will cost HP some dough to discontinue. HP will also spin off its PC unit.}



    Unless I have a comprehension problem, which is quite possible, I read that that webOS is dead, only it will take some dough to completely kill it.



    You've got to wonder if there is something about WebOS not being said as of yet such as a major patent problem that HP don't want to fight.
  • Reply 74 of 253
    quinneyquinney Posts: 2,526member
    Quote:
    Originally Posted by digitalclips View Post


    I get a mental image of a disembodied brain in a large glass dome ....



    Jan in the pan

  • Reply 75 of 253
    MacProMacPro Posts: 18,347member
    Quote:
    Originally Posted by gctwnl View Post


    Just ask the Palm people



    Ouch!
  • Reply 76 of 253
    Quote:
    Originally Posted by digitalclips View Post


    You've got to wonder if there is something about WebOS not being said as of yet such as a major patent problem that HP don't want to fight.



    It's probably worth something and they may just sell it at a bargain price. Maybe Samsung or HTC since their Android champagne dreams have turned in to nightmares.
  • Reply 77 of 253
    guch20guch20 Posts: 173member
    Wow! I mean, just wow! I don't think anyone saw this coming. Sure, maybe some day, but this soon?! Even God is sitting on his cloud, mouth agape, rubbing his eyes.



    Man, if I was one of the nine people who bought a TouchPad, I'd be SO pissed!



    Maybe RIM will follow suit in the tablet space?
  • Reply 78 of 253
    MacProMacPro Posts: 18,347member
    Quote:
    Originally Posted by Dick Applebaum View Post


    The only thing I'd add is that sometimes the reason for the spin-off is to allow either a) or b) (or both) to go private.



    It's maybe simply that with PCs HP have decided flogging dead horses isn't a good business model and I suspect webOS has some serious patent liabilities they recently discovered. Someone at HP has big balls to be this decisive. My hat off to them though, they will be around years from now due to this surgical amputation unlike some other companies in the PC business.
  • Reply 79 of 253
    Quote:
    Originally Posted by Granmastak View Post


    ZDnet



    {Summary: HP drops a bombshell—as well as the TouchPad and WebOS.



    HP said Thursday that it will discontinue its WebOS operations as the company cut its outlook for the next two quarters.



    The company said it *”will discontinue operations for webOS devices”, specifically the TouchPad and webOS phones. And that WebOS unit will cost HP some dough to discontinue. HP will also spin off its PC unit.}



    Unless I have a comprehension problem, which is quite possible, I read that that webOS is dead, only it will take some dough to completely kill it.



    Here... the WSJ article says it best (essentially saying the same thing as ZDnet... just clearer):



    "As part of Hewlett-Packard's planned spinoff of its PC business, it will keep the webOS software business but let go of the hardware, meaning H-P is shutting down its tablets business, people familiar with the matter said."



    http://online.wsj.com/article/SB1000...053718850.html



    * ... and the ZDnet article left out the word "hardware" when they were discussing about the cost of shutting down the WebOS (hardware) unit.
  • Reply 80 of 253
    aaronjaaronj Posts: 1,595member
    Quote:
    Originally Posted by rbryanh View Post


    Watching the giants fall is unnerving, if only because the last one standing will inevitably become a monster. Power and corruption are two aspects of the same phenomenon. Within the next 5 years, Apple's and Google's abuses will make the worst of Microsoft look like Reagan did when compared to W.



    Except that HP wasn't really competing in the consumer space, were they? Sure, they moved a ton of units. But they weren't really giving Apple, for instance, a fight in similar spaces.



    When was the last time that someone looked at an HP feature, and thought: Wow! Everyone's going to want this soon!
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