HP announced that it has decided its Personal Systems Group (PSG) unit
will remain part of the company.
The HP board of directors is confident that PSG can drive profitable
growth as part of the larger entity and accelerate solutions from other parts
of HP’s business.
PSG has a history of innovation and technological leadership as well as
an established record of industry-leading profitability. It is the No. 1
manufacturer of personal computers in the world with revenues totaling $40.7
billion for fiscal year 2010.
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,”
said Meg Whitman, president and chief executive officer of HP.
The strategic review involved subject matter experts from across the
businesses and functions. The data-driven evaluation revealed the depth of the
integration that has occurred across key operations such as supply chain, IT
and procurement.
It also detailed the significant extent to which PSG contributes to HP’s
solutions portfolio and overall brand value. Finally, it also showed that the
cost to recreate these in a standalone company outweighed any benefits of
separation.
The outcome of this exercise reaffirms HP’s model and the value for its
customers and shareholders. PSG is a key component of HP’s strategy to deliver
higher value, lasting relationships with consumers.
“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,” said Todd Bradley, executive
vice president, Personal Systems Group, HP.
By Telecomlead.com Team
editor@telecomlead.com
