HP will keep their PC business; WebOS and TouchPad?

Interesting announcements from HP today. The WSJ reported that “In U-Turn, H-P Will Hold On to PCs” and its Personal Systems Group (PSG). The HP Press Release quotes Meg Whitman, HP president and CEO saying ““HP objectively evaluated the strategic, financial and operational impact of spinning off PSG. It’s clear after our analysis that keeping PSG within HP is right for customers and partners, right for shareholders, and right for employees. HP is committed to PSG, and together we are stronger.”

ComputerWorld surmised that HP tacitly made three decisions with this move.

First, HP doesn’t want to be like IBM and focus on data center hardware, and high margin services and software.

Second, HP doesn’t want to be tone deaf like NetFlix and make a decision that could cost it customers and good will.

Third, HP wants to move on. This is a company that wants to put the turbulence of yet-another-CEO ouster behind it and let Whitman, one month on the job, get her footing without major distractions.

Reuters reported Whitman also commenting on the future of WebOS. “The question now before us is what do we do with WebOS software and do we come back to market with WebOS devices. It obviously will not be the same device but it will be version 2.0.”

Elsewhere TouchPad rumors are afoot… Clayton Morris of the Fox News Channel reported “Sources at HP tell me the hardware team has been busy doing proof of concept work testing Windows 8 Preview Edition on the fire sale devices. Internally there’s been discussion about reviving the defunct tablets or building new devices with Windows 8 in mind”.

H-P shares rose 4.8% to $26.99.

 

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