HP selling off PC business, going the way of IBM


After dropping webOS like a hot potato, it seems that  HP is selling off its PC division. According to the report from Yahoo Finance, HP has now put up its personal computer division up for sale, and has all the intentions of trying to be like IBM – which similarly got rid of its PC division six years ago, and was then gobbled up by Lenovo. A lot of people are shocked, since HP is currently the world leader in PC sales.

There will be three parts to HP’s PC exit according to Yahoo. These are:

  • HP will stop making tablet computers and smartphones by October.
  • It will try to spin off or sell its PC business, the world’s largest. By the end of next year, HP computers could be sold under another company’s name.
  • The company plans to buy business software maker Autonomy Corp. for about $10 billion in one of the biggest takeovers in HP’s 72-year history.

While the PC business has been making money for HP, it’s apparently not enough – according to a report in Arstechnica, HP CEO Leo Apotheker said “continuing to execute in this market is no longer in the interest of HP and its shareholders.” The next obvious question is: who has enough cash to pony up for HP’s computer division?

Source: Arstechnica, Yahoo Finance