HP to discontinue webOS devices, may spin off PC

[Tilted]

In releasing its third quarter earnings this afternoon, HP announced that it will discontinue operations for webOS devices, including the HP TouchPad and webOS phones. On Tuesday, AllThingsD reported that Best Buy was having such a hard time selling TouchPads that it wanted HP to take back its unsold TouchPads and that it was unwilling to pay for them. Reportedly, it ordered 270,000 of them and has only been able to sell 25,000. Frankly, it doesn't surprise me that HP has decided to give up on its first tablet endeavor. I'd guess that it won't be the last maker to do so. Only a few tablet manufacturers are having any success with them.

HP also announced that it may spin off its PC business. The consumer PC business in general has stumbled of late, as evidenced by Dell's earnings report from a couple of days ago and such reports from other big players in the tech industry (e.g. Intel, Microsoft). It's starting to see some canibalization from tablets and smartphones, though still not a huge amount. Other aspects of the computer business (e.g. enterprise) seem to have faired better over the last couple of quarters.

 

[Katt]

I've always bought HP computers! I'm not happy about this.

 

[GWguy]

I am, and I'm not.

HP is our primary supplier for desktops and laptops, all of our techs are HP certified. Going to be a pain to learn a whole new platform, repairs, tools, software, recertify........

BUT, I was never thrilled with HP for our corp environment anyway. Used to have IBM, before they became Lenovo, and I thought they were terrific. I have a strange suspicion Dell will be our next platform. :eh:

 

[Tilted]

I've always bought HP computers! I'm not happy about this.

I've always bought HP (or Compaq) desktops also.

Just to be clear though, the HP PC business isn't going away. It's just (possibly) being spun off, or perhaps even sold. That part of the business will be separate from the rest of HP, which it seems will be focused on commercial equipment and services. If the PC part of the business is acquired by someone else, the name may or may not change and other things about how the business operates may change some also. There would likely still be a great deal of product continuity though.

It's just the webOS mobile devices that are being discontinued.

 

[jrt_ms1995]

What about the important stuff!? The oscilloscopes and data analyzers!

Oh, god, am I really that old?

 

[EmptyTimCup]

Corp buys nothing but HP ... SVP forwarded a letter from the HP Rep ....

.... we are not getting out of the PC Business

we got 175 New AP 5000's .... takes 3 weeks to get a replacement screen, with an 8/24 next business day care pak


2 w/bad LCD's out of the Box, 1 no post (bad Mobo) .....

9 PSU have gone out since the season started ...... (april)

2 bad HD - SSD's [that part is nice]

8 bad printers (ok HP just slaps their name on A794's but really)


HP has issues

 

[preselector]

What about the important stuff!? The oscilloscopes and data analyzers!

Oh, god, am I really that old?

Yes you are! (so am I)

HP spun test equipment to a company called Agilent in 1999.
Hewlett-Packard - Wikipedia, the free encyclopedia

I loved HP test equipment and never understood why they'd discard their greatest symbol of quality.

 

[bobbyr1229]

and because of all of this best buy has discounted all hp touchpads pick up your 16GB version for 100 bucks and the 32GB version is 150 bucks

 

[puggymom]

and because of all of this best buy has discounted all hp touchpads pick up your 16GB version for 100 bucks and the 32GB version is 150 bucks

Sold out online...wondering if I should bother driving? to the store

 

[puggymom]

I may have one. HP's website had some and when I clicked submit order I got a "out of memory" message so I was not sure if it submitted and then it was sold out. I have no record of an order number nor any e-mail from HP confirming it. My only silver of hope is getting a CC alert from Visa that there was a charge over my specified amount from HP. I have a feeling I will end up getting a refund though

 

[GWguy]

HP: More discounted TouchPads coming, $75 smartphones in Europe - CNN.com

(CNN) -- As Hewlett-Packard manages a tectonic shift in its business, thrifty consumers can expect to shake down more deals on gadgets.

HP is set to replenish the supply of TouchPad tablets this week, spokeswoman Bryna Corcoran said in a statement on Sunday. The company began selling TouchPads for $99 and $149 last week in order to quickly shed inventory.

 

[ylexot]

What about the important stuff!? The oscilloscopes and data analyzers!

Oh, god, am I really that old?

Don't forget calculators. I actually have an HP48GX app on my phone and on my computers. I can't use normal calculators any more.

 

[awpitt]

Was anyone able to snag a discounted TouchPad? I was hoping to get one and put Honeycomb on it.

 

[puggymom]

Was anyone able to snag a discounted TouchPad? I was hoping to get one and put Honeycomb on it.

I had two orders pending on Sunday. One, from an Amazon Marketplace seller, just got canceled, about 10 minutes ago actually, due to item being 'out of stock'
The other is directly from HP (who claim they will be getting more in soon) but it has not been shipped nor do I know when it will be. I had my CC charged and called Monday and they confirmed they had my order so hopefully it will be soon.

 

[BOP]

I am, and I'm not.

HP is our primary supplier for desktops and laptops, all of our techs are HP certified. Going to be a pain to learn a whole new platform, repairs, tools, software, recertify........

BUT, I was never thrilled with HP for our corp environment anyway. Used to have IBM, before they became Lenovo, and I thought they were terrific. I have a strange suspicion Dell will be our next platform. :eh:

We've moved away from buying HPs. My wife's last business machine was a Dell, and I'm going to pick up a Lenovo for myself.

 

[Tilted]

AllThingsD is reporting that Meg Whitman, former eBay CEO, is likely to be named the new CEO of HP today. That seems like a good decision to me - somebody has to get that company under control, it's been a bit of a train wreck (from a management perspective) of late.

Exclusive: Whitman Expected to Get HP CEO Nod After Markets Close (and Not for the Interim Either) - Kara Swisher - News - AllThingsD

 

[EmptyTimCup]

that story has been floating around for 2-3 days



can you imagine your job being talked about like that in the trade papers ......


'it looks like Tillted is going to be replaced at xyz company'

 

[Tilted]

I'm listening to a replay of HP's Q4 conference call from yesterday afternoon. New CEO Meg Whitman is handling most of the initial comments.

Of note, it seems pretty clear that they've decided (read: she's decided) not to spin off the consumer PC business as they had indicated a few months ago they might. I haven't gotten to any comments about plans for the webOS business yet.

 

[EmptyTimCup]

Of note, it seems pretty clear that they've decided (read: she's decided) not to spin off the consumer PC business as they had indicated a few months ago they might.

according to my sources, she would be lying ....

.... a close friend is a tech for HP in the local area, we were discussing this topic over the weekend, he was pretty adamant about HP selling it's PC Division ...... but then he said Dell was going to do the same thing .......

but what do I know ......

 

[Tilted]

according to my sources, she would be lying ....

.... a close friend is a tech for HP in the local area, we were discussing this topic over the weekend, he was pretty adamant about HP selling it's PC Division ...... but then he said Dell was going to do the same thing .......

but what do I know ......

Perhaps. She could just be protecting the enterprise until a final decision is made or executed on. I suppose the uncertainty about it being spun off could affect some consumer purchase decisions, though it isn't clear to me that it should.

The problem with the consumer PC business is that it is relatively low margin. The manufacturers are having to compete mostly on price, with the average consumer not seeing a lot else that differentiates them. The Personal Systems Group accounts for quite a bit of HP's revenue, but it accounts for a considerably smaller portion of its profits. Then, there's the issue that the consumer PC business doesn't appear to be a growth industry anymore. Based on what I'm seeing and hearing from various companies' earnings presentations and conference calls, it is largely flat now if not, at least for some, declining.