back to article HP biz split latest: 'I'm excited!' says CEO as investors exchange nervous looks

HP performed about as well as the analysts expected for the fourth quarter of its fiscal 2014, which is to say it was another difficult quarter that put the cap on what has been a trying year for the tarnished tech titan. Revenues for the quarter were down 2.5 per cent from the year-ago period, at $28.4bn. That sum missed Wall …

  1. Mark 85 Silver badge

    Meg's excited?

    I'm very surprised. I figured she would take charge of the one in the best shape unless she knows something we and the finance world don't. The data may be deceiving but it looks like she might get to ride the bomb in ala Slim Pickens style. Yee-haaaaaa!!!!!!!

  2. Anonymous Coward
    Anonymous Coward

    Hewlett and Packard have got to be spinning in their respective graves over what these twats have to done to a once proud company.

  3. Anonymous Coward
    Anonymous Coward

    It's What You Don't See

    The reporting here may be factually accurate, but it misses out on the essence of what has been happening at HP over the last 10-15 years. By the time that the company became established, the political in-fighting and internal scraps had become more important than customers to those who ran the company. There were a few moments of insight into this when we learned about the spying, the monitoring of journalists and the board-room antics a few years ago.

    But the scary thing here - at least, if you are an HP shareholder - is the way that the company throws away market-leading technology. For example, 5 years ago they had a range of large-format photo-quality printers (A3+ and up) that were the best that money could buy. HP have quit that segment and are no longer producing that technology... The trail of wreckage is much longer, but if you've used the technology and/or worked closely with the company, you will know that it wasn't their R&D, or Product Development - they had cutting-edge technology - it was the in-fighting that held them back.

    Then, of course, they got on the profit-at-any-cost bandwagon, threw away their morals, and here we are. So today you can go to Amazon in the UK and buy an HP OfficeJet Pro 8100 printer [A4, duplexer, good page rate] for £69. It has discrete ink cartridges - four of them - which if purchased as a set of 4 costs £75 - more in fact than a printer that comes with ink to start with... HP pull their profit from consumers by charging well in excess of £4000 [over £4700, in fact] for a gallon of ink...

    The latest announcements may be a dangerous reflection of that profiteering mind-set. By splitting the company as described, Whitman seems to be indicating that she sees the enterprise business as being a potential drag/drain on the product side. Of course, with the profit margins that you can get from charging £4000 for a gallon of ink, you can see how the consumer/product side might appear lucrative...

    The interesting/sad thing is that through these games HP appear to have lost one of their most important constituent parts - the one that produced cutting edge, premium quality technology [for a price] that helped drive innovation forwards.

    Building cheap consumer tat for the lowest possible price [and then selling a replacement when it breaks] is a race to the bottom, and always has been... [ Sadly, there are prizes for all races, which is why it's still attracting players].

    1. asdf

      Re: It's What You Don't See

      >worked closely with the company, you will know that it wasn't their R&D, or Product Development - they had cutting-edge technology - it was the in-fighting that held them back.

      Funny sounds like Microsoft as well (their research labs actually do make cool stuff that usually never sees the light of day). Microsoft also like HP had management that lacked any kind of imagination or vision for the longest time (perhaps even now we will see).

  4. This post has been deleted by its author

  5. asdf

    stock tips are for suckers but

    Granted I am no analyst but if had actually any money (other than index funds) riding on HP I would probably take the company selling ink. HP has always been the world's highest tech ink maker and even their inept management hasn't screwed that up completely.

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