Story image

All go for HP split as board gives final approval

02 Oct 15

HP’s board of directors have given final approval for the separation of the company into two separate entities.

The split is expected to be completed on November 01, with Hewlett Packard Enterprise (HPE) beginning trading on the New York Stock Exchange the following day.

HP Inc, which will operate the printing and personal systems business, will continue trading under the current Hewlett-Packard Company ticker symbol. Hewlett Packard Enterprise, as the name suggests, will provide technology solutions to enterprises and will include HP’s enterprise group, enterprise services and financial services businesses.

Meg Whitman, HP chairman, president and chief executive, says the separation will enable the companies ‘to accelerate the turnaround we began four years ago’.

“As two independent, industry-leading companies, Hewlett Packard Enterprise and HP Inc can drive more focused business strategies, innovation roadmaps and go-to-market models,” Whitman says.

HP stockholders will receive one share of HPE common stock for each share of HP common stock held.

HP announced the split in October 2014 following several torrid years both locally and globally. The company struggled globally with declining sales lead by the contracting and highly competitive PC market, and declining printer sales.

The need for increased agility was among the reasons cited at the time of the announcement.

The split follows a well-worn path for IT companies, with the likes of IBM also spinning out its PC business from enterprise. However, unlike IBM, HP clearly still sees value in consumer IT, including PCs, laptops and printers, choosing to spin that division out into its own company, rather than selling it off completely. 

InternetNZ welcomes Govt's 99.8% broadband coverage plan
The additional coverage will roll out over the next four years as part of the Rural Broadband Initiative phase two/Mobile Black Spots Fund (RBI2/MBSF) programme expansion.
Dr Ryan Ko steps down as head of Cybersecurity Researchers of Waikato
Dr Ko is off to Australia to become the University of Queensland’s UQ Cyber Security chair and director.
Radware joins Chillisoft’s expanding portfolio
The cloud DDoS prevention, app delivery controller, and web app firewall expert is another step toward a total enterprise security portfolio.
Commerce Commission report shows fibre is hot on the heels of copper
The report shows that as of 30 September 2018 there were 668,850 households and businesses connected to fibre, an increase of 45% from 2017.
Wearables market flourishing - fuelled by smartwatches
A market that has stuttered in the past now has a bright forecast as adoption of wearable technology continues to thrive.
The tech that helped the first woman to sail around Australia
Lisa Blair used devices from supplied by Pivotel to aid her in becoming the first woman to circumnavigate Australia non-stop.
Why there will be a battle for the cloud in 2019
Cloud providers such as AWS, Azure, and Google will likely find themselves in a mad scramble to gain additional enterprise customers.
WLAN market picks up thanks to high-end products
Dell’Oro Group have released a report showing that the WLAN market picked up in 2Q18 as 802.11ax saw its first shipments.