Whitman hints that HP may launch a takeover

The new company will be leaner, more focused and ready for acquisitions, the company's CEO, Whitman Meg Whitman, said in a statement after the announcement of the October 7 morning News of Beijing time. Hewlett-Packard confirmed in Monday that it had previously been rumored to split the plan, declaring two: a spin-off of the company will be the main PC and printer business, the other is the main enterprise-specific computer servers, data storage equipment, software and services. The latter named Hewlett-Packard Corporation (has Enterprise), and Whitman will be CEO. In an interview with the Wall Street Journal, Whitman and Hewlett-Packard CFO Kessi Les Gac Cathie Lesjak that the new Hewlett-Packard Company will have the resources and the will to improve its market position through mergers and acquisitions. Any deal, they say, would give shareholders ' returns a priority. However, Whitman and Les Gac declined to discuss whether HP's Break-up would herald a merger of the data-storage giant EMC would restart. The Wall Street Journal previously reported that the two companies had planned a massive merger earlier this year. I don't think small and big are antagonistic to each other. Les Gac said in an interview. Hewlett-Packard also disclosed in a Monday conference call that the company needed to postpone a stock repurchase plan because they now have important information not yet disclosed, suggesting that the company may be considering acquisitions or sales. HP was slower than most corporate technology providers in advancing cloud computing, mobile technology and modern services, but some tech executives and analysts said in Monday that the break-up was unlikely to reverse the company's fortunes immediately. Even software and other businesses that should have grown have shrunk. However, Whitman still believes that the break-up will play a role in these areas. I believe this kind of concentration will help us develop. She said. Whitman and Les Gac say HP is compressing costs and transforming its huge but beleaguered sales strategy for its technology consulting business. They say software, which accounts for a small proportion of HP's current business, has a growing financial importance and will receive more attention within the restructured HP company. Ms. Whitman said the HP board had been discussing the spin-off plan as early as a few months ago, as part of the Board's annual strategic review. Until recently, HP and its board had focused almost all their energy on restoring the company's financial health, regaining the trust of investors and customers, and supplementing HP's pipeline with new products. Whitman was CEO of Hewlett-Packard 3 years ago, and her predecessor had made many strategic mistakes and lost the trust of investors. This is the right strategy, Whitman said in Monday, that the plan could not be implemented without the work done over the past 3 years. In fact, the world's largest group of corporate technology providers have recently been adjusting, as early subversion became the object of subversion. As the company's product line faces challenges, Ellison Larry EllISON, who resigned as CEO of Oracle last month, has been in the position for 37 years. Michael Dell also spent 25 billion dollars last fall on privatisation. Intel, Qualcomm and Microsoft have also replaced the leadership, hoping to look at the challenges in a new light. Whitman said in an interview that it was hard to say whether other veteran corporate technology providers would also seek a break-up, but acknowledged that these giants are also facing huge challenges as the way companies buy and use technology is changing. Many large market capitalisation technology companies have to face a rapidly changing environment. Whitman said.