Linked by Howard Fosdick on Fri 23rd Nov 2012 14:03 UTC
In the News Hard to believe, but articles are popping up at business websites claiming that venerable Hewlett-Packard may fail. In their most recent fiasco, HP wrote off a loss of $8.8 of their $11.1 US billion acquisition of Autonomy and have alleged fraud in the deal. Revenue is down 7% from a year ago and the stock has hit a 10-year low. The company is laying off 27K employees but that may not be enough. Some speculate HP might be broken up into parts with buy-outs involved. This article from last May offers a good in-depth analysis of how all these problems came to pass.
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RE: its not the products...
by johndoe445566 on Fri 23rd Nov 2012 20:52 UTC in reply to "its not the products..."
johndoe445566
Member since:
2012-11-23

HP is not about the products you see in the shops, or even in the big business like their server. The majority of HP is about IT services.

Incorrect. Services is nowhere near a majority of HP's business, either in gross revenue or net profit.

In FY2012, services accounted for 28% of revenue and 32% of profit. PC's were 29%/13%, printers were 20%/28%, servers were 17%/17%, software was 3%/6%, and finance was 3%/3%.

Source:

http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9MTYyNzc0...

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