Saturday, August 20, 2011

HP Takes Itself Out of the PC Game

In a stunning move today, HP announced they are getting out of the PC business.  The company that, in the 90's, devoured Compac today took itself completely out of the game.
With the introduction & market penetration of tablets & iPads, HP saw a continuing drop in revenue from their market of Windows & Intel based PC's.  "The tablet effect is real," HP CEO Leo Apotheker said Thursday on a conference call with analysts. "Consumers are changing how they use PCs."
Some estimate the PC market has grown only 6% world wide & has dropped 2% in the U.S.
When a company the size of HP makes a decision like this, you'd better believe they've seen the future.  Just last year, HP purchased Palm for the possession of their Web OS software to make tablets.  When they get out of the PC business... that means something.

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