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HP Lost Without A Clue?

Thu Sep 22, 2011 4:49 am

Seems so to me:

Hewlett-Packard Board Might Fire CEO Apotheker

Silicon Valley Howls With Laughter At Thought Of Meg Whitman Being CEO Of HP

This story seems to go from bad to worse.

Apotheker announces he's killing PCs, phones, and tablets, with absolutely no transition strategy in place at all.

It makes the HP board look like they've hired the village idiot.

Next we see his head is on the chopping block, but they are looking to hire someone with absolutely no ability to run a company like HP.

One must wonder what we'll see next?

It's kind of like a train wreck, one tries to cover one's eyes, but one can't help but watch.
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redflyer
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 5:34 am

I think Meg Whitman is not such a far-fetched choice if one were to consider just her background. It's actually pretty varied as she has worked in a number of diverse industries. The problem with her, IMO, is that in her current iteration she is almost universally considered arrogant. And that's another way of saying she may come in to HP with preconceived notions with absolutely no room for reconsideration or alternative solutions. Not to mention the fact that her style will create a lot of enmity among the rank and file.

What HP needs right now is a dynamic force that will look at the end-to-end organization and see how it can best thrive in a future environment. Someone that has 1/4 of the vision of a Steve Jobs would turn this ship around.
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 5:45 am

Quoting redflyer (Reply 1):
The problem with her, IMO, is that in her current iteration she is almost universally considered arrogant. And that's another way of saying she may come in to HP with preconceived notions with absolutely no room for reconsideration or alternative solutions. Not to mention the fact that her style will create a lot of enmity among the rank and file.

Very different from Mark Hurd, who came from NCR relatively unhearlded.

Quoting redflyer (Reply 1):
What HP needs right now is a dynamic force that will look at the end-to-end organization and see how it can best thrive in a future environment. Someone that has 1/4 of the vision of a Steve Jobs would turn this ship around.

Problem is that Hurd was primarily a cost-cutter. All the the "innovation" you see from HP these days is bought from the Foxconns of the world, with very little coming from in-house, and that which is left in-house is deeply depressed. If you are hoping for a Jobs-ian reversal, you better hope the latter-day Jobs brings a lot of smart people along with him, much like Jobs did from NeXT and Pixar.
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 5:45 am

Quoting Revelation (Thread starter):
but they are looking to hire someone with absolutely no ability to run a company like HP.

Why do you say so?

Frankly I believe Meg Whitman would be quite good.

She's certainly has hell of an educational background (both Princeton & Harvard), she's a talented entrepreneur, she has strong executive leadership experience having headed multiple large US corporations, and she already has intimate knowledge of HP being on member of its board.

I believe she would actually be some fresh air for HP which has seemingly been lost the last couple years.
At the very least should could help foster and be the incubator to re-energize HP ranks and maybe put it back it on a more defined path forward.
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 6:01 am

Quoting LAXintl (Reply 3):
Why do you say so?

Because from what I've read, she's an arrogant eBay billionaire that will have little patience for keeping HP afloat while she tries to architect it's rebirth. One who has spent her career in running an auction website will have little understanding or patience for a company that actually manufactures things, IMHO. If you read the above 2nd link, others are far more scathing than I am.
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 6:44 am

She's done a lot more than eBay.

She was at Procter & Gamble, Hasbro and also with Dream Works Entertainment here in LA.

Her time at eBay gets the most attention as the took a struggling shoe-string 30-person company and turned into a 15,000 employee $8 billion corporation in a matter of years.

There has to be some strong acumen there whether people like her politics or not -- which is actually more the reason I can see the silicon hippie crowd not be to enthused to work under her.
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 12:04 pm

Quoting redflyer (Reply 1):
The problem with her, IMO, is that in her current iteration she is almost universally considered arrogant. And that's another way of saying she may come in to HP with preconceived notions with absolutely no room for reconsideration or alternative solutions.

ly familiar with her

Agreed. She'll do a lot more harm than good. I really do NOT like the direction HP has taken, but she is hardly the person to fix things. I think if anything, she'll merely accelerate the path they've already taken.

Quoting LAXintl (Reply 5):

There has to be some strong acumen there whether people like her politics or not -- which is actually more the reason I can see the silicon hippie crowd not be to enthused to work under her.

I'm passingly familiar with her politics, and while that's certainly not her best attribute, that's not the issue with her. As much board cred as she may have, she also has a brilliant history of not working well with others, so to speak. This is as much a part of leadership as any other "skill", and with her it's simply not there. They pick her, and I will likely finish divesting what little stock of theirs I have left.

I think if they can bring over Moore from Cisco that would be their best bet, but it seems like a long shot, IMHO of course.
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 6:35 pm

Quoting LAXintl (Reply 3):
I believe she would actually be some fresh air for HP which has seemingly been lost the last couple years.

Actually, I think she will do the opposite, which is NOT bring some fresh air. That's just my impression, though. I think another problem with her is that she's already made her bones to the tune of billions. What's her incentive for turning this lumbering giant around? Given her hankering for politics, my guess is she's got her eyeballs on a bigger prize. I think in her self-aggrandizing mind she will use an opportunity as CEO to spring board back into politics. Which is to say she won't have HP's best interests in mind. If I were on the board, I would vote to keep her out of the front office. She would have too much of a polarizing effect. JMO.
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 8:53 pm

Looks like it's official. Meg Whitman has been appointed CEO according to breaking news.

And the downward spiral continues...
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 9:13 pm

This was a person who blew something like over $80 Million+ of her own money in a failed CA governor campaign and now she is the CEO of HP?   
 
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 9:17 pm

Quoting ltbewr (Reply 9):
This was a person who blew something like over $80 Million+ of her own money in a failed CA governor campaign and now she is the CEO of HP?

Wrong. This was a person who blew something like over $130 million of her own money in a failed CA governor campaign.

Seriously, I think that doesn't mean anything other than how badly she wanted the job of Governor. Inasmuch as I don't care if people use their own money for a political campaign, I've always felt if they spent more than "seed" money then they were just fueling their own egos.
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 9:30 pm

Quoting LAXintl (Reply 5):
silicon hippie crowd

LOL. Does that area vote strongly democratic? It seemed like the most conservative place I've ever lived. By a long shot.
 
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 10:42 pm

Quoting redflyer (Reply 8):
Looks like it's official. Meg Whitman has been appointed CEO according to breaking news.

  

http://www.bloomberg.com/news/2011-0...-apotheker-as-chief-executive.html

Quoting redflyer (Reply 8):
And the downward spiral continues...

Seems the stockholders need to oust the current board or else.
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 10:56 pm

Quoting redflyer (Reply 10):
This was a person who blew something like over $130 million of her own money in a failed CA governor campaign.

For a governor's salary of around $200,000 per year.    Anyway, she'll probably recoup the $130 million after a few years at HP


Maybe the governorship comes with a free nanny...

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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 11:02 pm

Quoting LAXintl (Reply 3):
Frankly I believe Meg Whitman would be quite good.

Considering HP's recent history we will see if Whitman makes it in 12 to 18 months.

The HP board has taken a brutal attack today from an industry that is actually laughing at them. Even non-industry media (CNN) asks "Is HP's board the worst ever?". (http://money.cnn.com/2011/09/22/technology/hp_board/index.htm?hpt=hp_c1).

What is so sad is the incredible history of HP, and all their achievements. All we are seeing now is dumb (and expensive) acquisitions instead of internal achievements. Ironically HP gave a young kid named Steve Jobs a summer job many years ago. The company can be one of those "influential impacts" on the man considered the best CEO of the decade while they can't find one worth two bits themselves.

With this new CEO about the only good thing I can see is HP getting a new distribution outlet with eBay.
 
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RE: HP Lost Without A Clue?

Thu Sep 22, 2011 11:18 pm

Quoting Revelation (Reply 12):

http://www.bloomberg.com/news/2011-0....html

From that same article:

Quote:
To explain why the board picked an outsider, Lane said on a conference call that internal managers “were not ready” to become CEO.

I can't imagine that they couldn't find any internal managers that would be a better option than Ms. Whitman, let alone finding someone else outside of the business who has more experience hardware-wise. It just doesn't make sense. This decision seems so forced. I was ready to see Apotheker go, but this???
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RE: HP Lost Without A Clue?

Fri Sep 23, 2011 12:44 am

The board hired the last CEO without most of them even meeting him! Shareholders should oust this entire board but it's probably too late. Whitman is probably there only while they sell of chunks of the corpse of HP.
 
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RE: HP Lost Without A Clue?

Fri Sep 23, 2011 4:22 pm

Quoting Ken777 (Reply 14):

What is so sad is the incredible history of HP, and all their achievements. All we are seeing now is dumb (and expensive) acquisitions instead of internal achievements.

Folks I know at HP tell me that things started going downhill when Carly was CEO, and totally accelerated when Mark Hurd came in. He was 100% a bean counter. He outsourced way too much. Stockholders loved it but he totally wrecked the corporate culture. As I said, these days their innovation comes from Foxconn not from in-house talent. They have gutted their technical ranks and it's hard to see how they can change it now.

So, clearly this is not the HP of the 70s when Steve Jobs was an intern. Carly took over early in the 2000s and it's all been downhill since. It's hard to make up for missing one generation of product transitions (ask Palm aka WebOS), it's impossible if you've missed a decade of them.

Apotheker has been a disaster. As one analyst said, "it's as if McDonalds announced they were going to stop selling hamburgs".

Quoting StuckInCA (Reply 16):
The board hired the last CEO without most of them even meeting him! Shareholders should oust this entire board but it's probably too late.

  
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RE: HP Lost Without A Clue?

Fri Sep 23, 2011 6:05 pm

Apparently, Ms. Whitman has confirmed Apotheker's previously stated strategy, which included spinning off the PC side of the house and purchasing Autonomy. The question I have: If the prior CEO's strategy is confirmed, why did they whack him to begin with? I don't think any of this bodes well for HP. And the news is reporting a lot of grumblings. I would not be surprised if there is another major shake up in store for HP in the near future. This story is just now being written.
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RE: HP Lost Without A Clue?

Fri Sep 23, 2011 6:41 pm

Quoting Revelation (Reply 17):
Folks I know at HP tell me that things started going downhill when Carly was CEO,

Not at all surprised. IIRC she was the one that blew a fortune on Compaq, providing HP with yet more commodity products. Then she walks away (with a bit of a push) holding how many millions?

Quoting Revelation (Reply 17):
Stockholders loved it but he totally wrecked the corporate culture.

That's the sad part. If someone wants to have a dumb commodity product company start another Dell. Companies like HP & Apple don't come along every day and it is a shame to see one of them fall apart.
 
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RE: HP Lost Without A Clue?

Fri Sep 23, 2011 7:51 pm

Quoting Ken777 (Reply 19):
Not at all surprised. IIRC she was the one that blew a fortune on Compaq, providing HP with yet more commodity products.

I don't think acquiring CPQ was a terrible deal. HP got a lot of x86 server technology in the deal that is quite profitable (and still is) and was not commodity (at the time, but now is, more or less) and rebranded a lot of its low-end stuff as CPQ which at the time was better known in the computer space. It also got their feet in the door of many enterprise accounts that CPQ had acquired via DEC, and of course it eliminated CPQ/DEC as competitors.

At the time (2002) they wanted to be a large computer company, and they got what they wanted. It does seem they haven't moved fast enough to make that business remain profitable over the years. In the enterprise space they've remained wedded to Itanium even though it's been clear for years that the current Nahalems would outclass them (and Sandy Bridge / Ivy Bridge even more so), and what Apotheker just did in the PC space (announcing they were going to spin it off before they had a buyer, or even a plan) is just plain and simple incompetence, which has cost him his job.

Quoting Ken777 (Reply 19):
Companies like HP & Apple don't come along every day and it is a shame to see one of them fall apart.

Agree. Actually DEC was once one of those companies, and so was CPQ too.
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RE: HP Lost Without A Clue?

Fri Sep 23, 2011 8:57 pm

Quoting redflyer (Reply 18):
The question I have: If the prior CEO's strategy is confirmed, why did they whack him to begin with?

They've rented a hatchet man for doing a specific job, which he did.

And now they're getting someone else with less blood on her hands for the long(er?) haul.

As a tactic that would not be entirely unprecedented, even if it's far from certain to be successful in the end.

Getting rid of the PC business can still be the right choice if it just generated revenue (and associated risks!) but wasn't really profitable. Of course such an analysis would need to look at secondary effects as well. One can only hope they did their due diligence before making that decision.

Of course, it's also quite possible that they (the board) simply don't know what they're doing. The somehwat clumsy orchestration of it all and the associated decline of the stock seems to point into that direction, unfortunately.
 
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RE: HP Lost Without A Clue?

Fri Sep 23, 2011 11:09 pm

Quoting Klaus (Reply 21):
Getting rid of the PC business can still be the right choice if it just generated revenue (and associated risks!) but wasn't really profitable. Of course such an analysis would need to look at secondary effects as well.

That secondary effect is key. Selling a commodity can be a good thing if it is a segue into secondary - and more profitable - revenue streams. Given the size of their PC line, I can't imagine they could not leverage it. On the other hand, perhaps it was worth more spinning it off to an up-and-coming industrial region, such as China (a la IBM).
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RE: HP Lost Without A Clue?

Fri Sep 23, 2011 11:20 pm

Quoting redflyer (Reply 22):
That secondary effect is key.

It may be, but that wasn't enough for IBM either...
 
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RE: HP Lost Without A Clue?

Sat Sep 24, 2011 5:12 am

Quoting Klaus (Reply 21):
They've rented a hatchet man for doing a specific job, which he did.

That's not really where the evidence is leading.

It seems the faction of the board that was in favor of bringing in Apotheker was indeed in favor of moving the company away from the PC business and into the enterprise consulting business, but of course no one expected him to be so incompetent at spinning off the PC business as he proved to be, and thus his firing.

Carly and Mark were very good hatcheteers.

If they wanted more of the same, it wasn't too hard to find more.

Good luck to whomever follows Meg, probably 12 to 18 months from now, or less.
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RE: HP Lost Without A Clue?

Sat Sep 24, 2011 5:31 am

Quoting LAXintl (Reply 5):
She's done a lot more than eBay.

She was at Procter & Gamble, Hasbro and also with Dream Works Entertainment here in LA.

A named passed around from company to company to get rid of her. No proven track record. A monkey could have run eBay - a pioneering company. How did that political career work out for her?

Quoting Confuscius (Reply 13):
fter a few years at HP

She won't last two years.
 
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RE: HP Lost Without A Clue?

Sat Sep 24, 2011 6:34 am

Quoting LAXintl (Reply 5):
Her time at eBay gets the most attention as the took a struggling shoe-string 30-person company and turned into a 15,000 employee $8 billion corporation in a matter of years.

That had more to do with being in the right place at the right time, than anything else. eBay - and e-commerce - wasn't just a brand new product, it was a brand new genre in the nascently networked 1990's.

The challenge HP is facing today is to find its way in a depressingly oversaturated market.

When I was a kid, the only thing I knew about Hewlett-Packard was that they made pen plotters - remember those? Those were awesome.

I think all companies should make pen plotters.
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RE: HP Lost Without A Clue?

Sat Sep 24, 2011 3:39 pm

Quoting Airstud (Reply 26):
When I was a kid, the only thing I knew about Hewlett-Packard was that they made pen plotters - remember those? Those were awesome.

I think all companies should make pen plotters.

LOL!

A plotter got me my first computer job, but it was a Calcomp, not an HP. A big part of my job was to run programs on a computer that produced plots. The thing was that the plotter wasn't very good mechanically, some times the pens would drag when they should be up or they would be up when they should be down. So my job was to use white-out to erase the lines that shouldn't be there, or to draw in the ones that should, or if the plotter was really messing up, to take it apart and clean the parts with alcohol. I still wonder why they didn't just get a new plotter, but for whatever reason back then it was cheaper to just hire a high school kid like me.

A few years later I worked for Calcomp, but not at the division that made plotters. Instead it was the division that made graphics display units for IBM mainframes. Calcomp made the devices but IBM put their name on them. These devices were used by big aerospace firms driven by programs like CATIA. For instance, Boeing did the 777 design on mainframes running CATIA and used thousands of our devices.

The first HP products I encountered were their calculators in the 70s. Way more money than I could afford! Some people really got into programming those calculators using its RPN system. HP also made great lab equipment and minicomputers back then, but it too was very expensive stuff so I never got my hands on any of it.
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redflyer
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RE: HP Lost Without A Clue?

Fri Sep 30, 2011 3:38 pm

Apparently, Ms. Whitman is taking an annual salary of $1.00. And although there are stock options and bonuses involved that could earn her upwards of $6 million, it pales in comparison to her overall net worth.

I think, conceptually, this deal stinks since it appears she has no vested interest in HP and that she's in it for the show, not for the go. I smell aspirations for another possible run for political office or a political appointment in a future presidential administration.

Details to her compensation and Apotheker's golden parachute in the link.

http://www.mercurynews.com/nation-world/ci_19007131
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Klaus
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RE: HP Lost Without A Clue?

Fri Sep 30, 2011 5:29 pm

Quoting redflyer (Reply 28):
Apparently, Ms. Whitman is taking an annual salary of $1.00. And although there are stock options and bonuses involved that could earn her upwards of $6 million, it pales in comparison to her overall net worth.

I think, conceptually, this deal stinks since it appears she has no vested interest in HP and that she's in it for the show, not for the go. I smell aspirations for another possible run for political office or a political appointment in a future presidential administration.

I wouldn't say that that is an impossibility, but Steve Jobs got pretty much the same kind of deal when he returned to Apple, which turned out not too badly for the company, so this is not a bad deal per se.

Meanwhile on the stage next door, Oracle has started a sideshow which is entertaining for outside spectators, but maybe not so much for the HP board:

Oracle Issues Statement

Quoting Oracle:
"After HP agreed to acquire Autonomy for over $11.7 billion dollars, Oracle commented that Autonomy had been ‘shopped’ to Oracle as well, but Oracle wasn’t interested because the price was way too high. Mike Lynch, Autonomy CEO, then publically denied that his company had been shopped to Oracle. Specifically, Mr. Lynch said, “If some bank happened to come with us on a list, that is nothing to do with us.” Mr. Lynch then accused of Oracle of being ‘inaccurate’. Either Mr. Lynch has a very poor memory or he’s lying. ‘Some bank’ did not just happen to come to Oracle with Autonomy ‘on a list.’ The truth is that Mr. Lynch came to Oracle, along with his investment banker, Frank Quattrone, and met with Oracle’s head of M&A, Douglas Kehring and Oracle President Mark Hurd at 11 am on April 1, 2011. After listening to Mr. Lynch’s PowerPoint slide sales pitch to sell Autonomy to Oracle, Mr. Kehring and Mr. Hurd told Mr. Lynch that with a current market value of $6 billion, Autonomy was already extremely over-priced. The Lynch shopping visit to Oracle is easy to verify. We still have his PowerPoint slides.”

Oracle's Larry Ellison is infamous for his temper, but official corporate statements like that are still remarkable. One needs to remember that HP's ousted CEO Mark Hurd has found a new home in his friend Larry Ellison's Oracle, and beyond that in the above-reported meeting warned Oracle of Autonomy being overpriced.

They also posted a follow-up, apparently in response to Lynch's attempts of a defense:

Another Whopper from Autonomy CEO Mike Lynch (yes, that is the actual title of Oracle's statement!)

Autonomy again tried to defend themselves:

Autonomy's reaction to Oracle's statement | Business | guardian.co.uk

Sole comment by Daring Fireball's John Gruber: "Popcorn."   

Apart from the entertaining aspects of it all, Oracle raises the possibility that HP seriously overpaid for the Autonomy acquisition, which would indeed be trouble HP can ill afford right now...

[Edited 2011-09-30 10:31:57]
 
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RE: HP Lost Without A Clue?

Fri Sep 30, 2011 5:54 pm

Quoting Klaus (Reply 29):
I wouldn't say that that is an impossibility, but Steve Jobs got pretty much the same kind of deal when he returned to Apple, which turned out not too badly for the company, so this is not a bad deal per se.

Yes but to SJ's credit, he understood Apple, he knew the DNA of the company, he knew what changed in the company that drove him away, he had a profound understanding of what he needed to do on his return.

I, as a an alumni of HP from the '80s am not convinced, far from it, that Ms Whitman has anything like the remotest clue how to save HP from the carnage of recent years!
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RE: HP Lost Without A Clue?

Fri Sep 30, 2011 5:56 pm

Quoting Klaus (Reply 29):
Sole comment by Daring Fireball's John Gruber: "Popcorn."

Popcorn, indeed.

And for others, handkerchiefs.

I still have a few friends that work for HP, and many others who once worked there, and hopefully were smart enough to diversify their portfolio once the left.
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The heart has its seasons, its evenings and songs of its own
 
Klaus
Posts: 21506
Joined: Wed Jul 11, 2001 7:41 am

RE: HP Lost Without A Clue?

Fri Sep 30, 2011 6:19 pm

Quoting stealthz (Reply 30):
Yes but to SJ's credit, he understood Apple, he knew the DNA of the company, he knew what changed in the company that drove him away, he had a profound understanding of what he needed to do on his return.

Sure, I'm not saying that she will definitely work out as well as Jobs did (her resumé is not all that promising), just that the payment model is not necessarily a bad one.

One can only hope that she will be able to put HP on a constructive course; HP as one of the once-great contributors to the computing age certainly doesn't deserve to crash and burn, even if today they're a long way removed from what once made them great.
 
Ken777
Posts: 9995
Joined: Thu Mar 11, 2004 5:39 am

RE: HP Lost Without A Clue?

Sat Oct 01, 2011 1:39 am

Quoting Revelation (Reply 20):
HP got a lot of x86 server technology in the deal that is quite profitable (and still is) and was not commodity

And how much did that cost them?

Quoting Revelation (Reply 20):
At the time (2002) they wanted to be a large computer company, and they got what they wanted.

Buying a PC company when they were one of the top tech companies around - at the time.

Quoting Revelation (Reply 20):
Actually DEC was once one of those companies,

I actually liked DEC. Used them in college and learned a little bit of programming (BASIC & FORTRAN) on them in the 70s. At the time there were several interesting computer companies around that we no longer hear about. When was the last time Wang was mentioned? In terms of computers, that is.

Quoting Revelation (Reply 20):
and so was CPQ too.

CPQ had one great idea and then became just another expensive PC company. A commodity waiting to happen.

I have to admit that HP wasn't screwing up in those days. XEROX developed the early stages of a GUI, but couldn't make any money off of it outside of what they made from Apple. IBM had the System 38 and the Big Iron Guys ensured that it stayed a mini. So a brilliant computer system is left in the dust.

Actually, when you look at it, Apple is the only computer company from those days that is still going really strong in their 80's area of expertise. They had to bring back Steve Jobs to return to that level, but they are performing.
 
Airstud
Posts: 4867
Joined: Wed Nov 29, 2000 11:57 am

RE: HP Lost Without A Clue?

Sat Oct 01, 2011 2:02 am

Quoting Klaus (Reply 29):
Mark Hurd has found a new home in his friend Larry Ellison's Oracle, and beyond that in the above-reported meeting warned Oracle of Autonomy being overpriced

Ousted by HP as he was, I wonder if he knew that HP was going to make a grab for Autonomy, and he made these very public comments about its inflated price just to make HP look stupid when their acquisition finally went through.

Quoting Klaus (Reply 32):
HP as one of the once-great contributors to the computing age certainly doesn't deserve to crash and burn, even if today they're a long way removed from what once made them great.

Which, was pen plotters.

  
Pancakes are delicious.
 
Klaus
Posts: 21506
Joined: Wed Jul 11, 2001 7:41 am

RE: HP Lost Without A Clue?

Sat Oct 01, 2011 2:35 am

Quoting Airstud (Reply 34):
Ousted by HP as he was, I wonder if he knew that HP was going to make a grab for Autonomy, and he made these very public comments about its inflated price just to make HP look stupid when their acquisition finally went through.

Given Ellison's and Hurd's involvement I would be surprised if there wasn't a strong element of that in the mix, but the fireworks are still exquisite as it is...!   

Quoting Airstud (Reply 34):
Which, was pen plotters.

One of many. They also pioneered scientific calculators, were strong in lab equipment and later had several interesting computing systems – before embarking on becoming just yet another commodity manufacturer under the rule of Microsoft which was the perfect starting point to ruin themselves through mindless cost-cutting as a substitute for having actual ideas (with Mark Hurd being one of the worst perpetrators from what we know). Question is if there's still some original, creative juice left in the company.

[Edited 2011-09-30 19:35:46]
 
jcs17
Posts: 7376
Joined: Mon Jun 18, 2001 11:13 am

RE: HP Lost Without A Clue?

Sat Oct 01, 2011 3:07 am

The problem is that HP never really diversified into capital goods and that simply isn't sustainable in the home Windows/PC era we live in. HP was a great investment when a laptop cost $2000, now I can go to Best Buy and purchase one for less than $400. Aside from a few select brands, for a few select users, the Windows PC, and the home printer market has become a commodity. Case-in-point, I bought a decent new Canon four-in-one for my apartment yesterday for a grand total of $79.99. Razor thin margins of profit, even on the corporate side of things. I think even the receptionist at my office has a company-issued Dell laptop.

In the early 2000s, at its peak, HP should've bought as many copier manufacturers (old school technology, but you still find them in every office worldwide), server manufacturers, tech consultancies, and companies that produce high-end business technology. They bought Compaq... which HP has become.

HP cellular phones and tablets. Great. It's a product no one has interest in. The iPhone is the class leader and so is the iPad. Companies buy Blackberrys because RIM (who is also rightfully struggling) gives them away. Since laptops have become so prevalent and anyone can afford them, the tablet simply becomes a luxury item. Who purchases that luxury item? People who own Apple products.
America's chickens are coming home to rooooost!

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