Home » Black Swans » Hewlett-Packard Rope a Dope Trick $HPQ

Hewlett-Packard Rope a Dope Trick $HPQ

Hewlett-Packard announced that it will self amputate into two entities. HPE or Hewlett-Packard Enterprise will keep Meg Whitman so guess what part she thinks is better. The printers and personal computers will be set adrift in something else. Shareholders will need to guess at what has better prospects. Enterprise computers which sounds a lot like what IBM is trying to do or commodity products with hyper thin margins and nothing new or exciting on the horizon.

HP does have brand and it may well be that the printers and personal computers will attract a take-over offer by someone who wants to bulk up; or alternatively by someone who wants to prevent someone else from bulking up.

Either way it reminds me of a Viking’s funeral. You know where they put the olde king out onto a row-boat and set it on fire for a glorious send off. Then the new king does what he wants. That’s probably the fate of printers and personal computers.

Enterprise is hardly a new notion and has lots of contenders. What does HP or Meg Whitman have to offer. A promise of Blood, Sweat and Tears will not do it.

Meh you can do better with your money.

George Gutowski writes from a caveat emptor perspective.

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