The Risk Is Too Great: HP Terminates Its PC and Consumer Electronics Business

HP’s Q3 earnings call last week was, in a word, a doozy.  CEO Leo Apotheker announced that HP–the largest PC manufacturer in the world–would essentially exit the PC and consumer electronics markets, and focus its efforts on high-margin data analytics services (an announcement that’s more than vaguely reminiscent of IBM’s 2004 decision to sell off its PC division).   Specifically, HP plans on divesting itself of its PC division within the next 12-18 months, and has announced plans to acquire datacenter analytics firm Autonomy Corporation for $11 billion.  While HP’s Personal Systems Group (the company’s internal name for its PC and CE operations) will live on in some form or another, it appears that HP’s WebOS experiment has officially drawn to a close, as Apotheker explains that they “have decided to shut down operations around webOS devices and [will] be exploring strategic alternatives to optimize the value of the software platform and development capability.” Read More