HP came close to selling both divisions during the short reign of Leo Apotheker. After the discovery of a massive over payment for Autonomy Corp. HP’s Board decided Leo had to go and PC & Printers had to stay.
Slipping to the number two position behind Lenovo, HP has decided to spin the combined organization into a separate entity under the aegis of Dion Weisler as CEO (Weisler is an exec in the PC and printer operation currently). Patricia Russo will be installed as the Enterprise company’s new Chairman (former lead independent director). Meg Whitman will remain CEO of the Enterprise company and oversee corporate guidance of the PC/Printer entity as Chairman.
What difference does this make? Reporting structures loaded with changes in culpability mostly, freeing Whitman up for minding the Enterprise store and:
- Aligns Weisler for the fall when and if the PC/Printers Division comes in under plan.
- Allows time to position the PC/Printer Group for a potential sale.
HP has been struggling in their efforts at penetrating the Cloud with their Moonshot technology – Whitman may find the ice a little thin for skating this Winter and into next Spring.
HP’s merger discussions with EMC recently ended. We’re left wondering if what we are now seeing is part of a “Plan B” by HP’s Board of Directors…,