• Welcome to BGO! We know you will have questions as you become familiar with the software. Please take a moment to read our New BGO User Guide which will give you a great start. If you have questions, post them in the Feedback and Tech Support Forum, or feel free to message any available Staff Member.

HP Not Making Computers Anymore

Happy hour starts in 5 minutes

Goaldeje

The Legend
Staff member
BGO Ownership Group
Joined
Feb 1, 2010
Messages
18,409
Reaction score
60
Points
328
Location
Waynesboro, VA

James Madison


Anyone else see this? They are moving more towards software, which I guess is more profitable. Intersting read here:

A MARINE geologist would have no problem grasping one of the main mechanisms of the information technology (IT) industry: after new technology is introduced, it sinks, often quite quickly, to the bottom of the IT ocean and becomes part of its sediment—commodities that are well understood, easily copied and hence not very profitable. This is why IT firms are always trying to move “up the stack”, reducing their dependence on hardware and pushing up into software and services, where margins are higher.

These opposing movements help to understand why Hewlett-Packard, the world’s biggest computer-maker, announced on Thursday, August 18th, that it plans to sell its personal computer business, stop making smartphones and computing tablets based on the firm’s webOS operating system and buy Autonomy, Britain’s biggest software firm, for $10.3 billion.

PCs are still HP’s biggest business, with $9.6 billion in revenues in the past quarter. No other firm sells more desktop and laptop computers—about 64m last year, 18.5% of the global market. But with an operating margn of 5.9% it is only half as profitable as HP’s other businesses. And this is unlikely to change. “The tablet effect is real”, Léo Apotheker, the firm’s boss, said in a conference call, referring to the fact that consumers are increasingly buying tablets instead of PCs. HP’s board has thus asked him to “examine all possible options” for what to do with the “personal systems group”, which sells mainly PCs. This essentially means that HP has put up a “for sale” sign over it.
http://www.economist.com/blogs/schumpeter/2011/08/hewlett-packard’s-overhaul
 

Nobody

Super Bowl MVP
Joined
Apr 1, 2011
Messages
9,474
Reaction score
0
Points
0
Location
Virginia Beach, VA

Army

Horrible news. Their products are the only ones that I could buy over the years with full confidence I was getting what I paid for. Top notch stuff, it will be missed.
 

Goaldeje

The Legend
Staff member
BGO Ownership Group
Joined
Feb 1, 2010
Messages
18,409
Reaction score
60
Points
328
Location
Waynesboro, VA

James Madison

For a photographer, that's some scary stuff there Serv. Nice read though.
 

Users Who Are Viewing This Thread (Total: 1, Members: 0, Guests: 1)

Private conversations
Help Users
    Top