Symantec to split too
Symantec has followed HP's lead in announcing it too will split, forming two independent, publicly traded companies, one focused on security and the other focused on information management.
Michael Brown, Symantec CEO and president, says as the security and storage industries continue to change at an accelerating pace, Symantec's security and information management (IM) businesses each face unique market opportunities.
“It has become clear that winning in both security and information management requires distinct strategies, focused investments and go-to-market innovation.
“Separating Symantec into two, independent publicly traded companies will provide each business the flexibility and focus to drive growth and enhance shareholder value.”
The spinoff is expected to be completed by the end of December 2015.
The company's security business generated revenue of US$4.2 billion in fiscal 2014, while the IM business, which includes backup and recovery, archiving, eDiscovery, storage management and information availability solutions, pulled in US$2.5 billion.
Brown will be the president and CEO of Symantec, with John Gannon, previously president and COO of Quantum, taking the role of general manager of the new, as yet apparently unnamed, IM business.
Symantec says the decision to split follows 'an extensive business review' of the company's strategy and structure.
“Taking this decisive step will enable each business to maximise its potential,” Brown says. “Both businesses will have substantial operational and financial scale to thrive.”