HP CEO Whitman pushing for PC unit decision by end of the year

HP CEO Whitman pushing for PC unit decision by end of the year

Summary: Now that HP's new CEO, Meg Whitman, is in place, there are a lot of questions to answer -- namely with what to do about HP's PC unit.

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Hewlett-Packard's new CEO Meg Whitman has a lot of problems and unanswered questions to address right from the get-go of her tenure.

One of the biggest questions must be about HP's personal computers unit. After the fall of webOS and the HP TouchPad in August, speculation spread like wildfire that HP would spin-off its PC division, much like what happened with IBM and Lenovo.

However, we should know that an answer by the end of 2011:

"We're going to get to ground on this as fast as we can," Ms. Whitman said in an interview with CNBC, noting that she has heard from salespeople that uncertainty around the unit is hurting H-P's business.

If HP's clients and sales partners are already uneasy about the future of the PC business, the end of the year might be too long to wait. However, this decision does warrant a good deal of thought and work, and there is a chance that HP's PC unit could still turn around. Whitman is known for her past experience and skills in branding, and that could be what HP needs to attract customers and boost revenue.

Regardless, HP execs are determined to hold on to this particular business as long as possible, according to an interview with CNBC:

"We have no intention of getting out of the PC business," the company's chairman, Ray Lane, said in an interview. "Why would we get out of a $43 billion PC business that is number one (by a longer margin in profitability)?”

For a more in-depth look at the CNBC interview, check out the videos below:

Related:

Topics: Hardware, CXO, Hewlett-Packard

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6 comments
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  • RE: HP CEO Whitman pushing for PC unit decision by end of the year

    Shouldn't they revisit WebOS too? If they quietly design a new model of tablet, and get the software right, they could still get WebOS going.

    Sell out the remaining $99 specials, then bring out a new model, correcting earlier mistakes. If they just don't want to do that, why not sell WebOS?
    Hameiri
    • Well because even "IF" they do all you say it's only a

      @Hameiri ... partial solution. What they need in addition is an ecosystem for their tablet and or WebOS.

      Pagan jim
      James Quinn
  • RE: HP CEO Whitman pushing for PC unit decision by end of the year

    [ SOS ] Complaint with IBM China CSR on Centennial

    [ Review ] How Much IBM Can Get Away with is the Responsibility of the Media
    http://wp.me/p1hDC3-aL

    IBM Advised to Treat its People with Humanism in China
    http://wp.me/p1hDC3-aW

    Tragedy of Labor Rights Repression in IBM China
    http://wp.me/p1hDC3-92

    Scandal stricken IBM detained mother of ex-employee on the day of centennial
    http://wp.me/p1hDC3-8I
    larkforsure
  • RE: HP CEO Whitman pushing for PC unit decision by end of the year

    [ SOS ] Complaint with IBM China CSR on Centennial

    [ Review ] How Much IBM Can Get Away with is the Responsibility of the Media
    http://wp.me/p1hDC3-aL

    IBM Advised to Treat its People with Humanism in China
    http://wp.me/p1hDC3-aW

    Tragedy of Labor Rights Repression in IBM China
    http://wp.me/p1hDC3-92
    larkforsure
  • HP has been a bad salesman.

    There is a huge opportunity, but it would require making a cultural shift in HP's sales teams. Unless you were a MASSIVE customer there has always been an uneasy feeling coming from HP that they aren't really interested in you as a customer. You can't afford to be like that in a market where most PC purchases are by small and medium outfits. Dell by contrast have been exemplary and to them every customer is important. I think HP couldn't organise a party in a brewery and I really don't expect them to fix this, or ever to make a recovery. Let them die quietly...
    peter_erskine@...
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