HP may not spin-off PSG division after all
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With a new CEO at hand, HP may be thinking twice about separating from its Personal Systems Group division.
As reported by Electronista, sources close to WSJ claim that the costs associated with the breakup procedure are estimated to be much more than the savings HP would experience. It is the PSG unit that allows HP to produce hardware at competitive prices in the first place, the sources say. A final decision is still expected before the end of the year or even this month.
HP’s failed webOS platform continues to be up in the air for grabs. While no takers have officially come forth, there have been rumblings of a possible acquisition from Amazon.
HP is currently the world’s largest computer manufacturer at an estimated 15 million PC shipments during Q2 2011. Its announcement mid-August of dropping webOS and possibly selling off the PC division took many by surprise. The recent confusion surrounding the future of both divisions implies that HP is at odds with how to best handle its current assets and resources.
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