HP+COMPAQ In search of scope and scale By Swapneel Khavare MMS Finance HISTORIC EVENT ? A merger as big and nervy as Hewlett-Packards $ 19 million acquisition of Compaq computing device in 2002 had never interpreted place before in Technology constancy. Carly Fiorina ,HPs CEO, believed it was the right on move for HP The leaders technology company in the world ? ? HP William (Bill) Hewlett and David (Dave) Packard originated a company in a service department in nearby Palo Alto,california ? 1939, Packard and Hewlett established HewlettPackard (HP) in Packards garage with an initial capital investment of US$538. ? Kickstarted the ti valley?s progress ? PREMERGER POSITION OF HP-2000 Ranked 13th in fortune 500 ? Turnover US $48.8 ? 85500 employees ? Carly fiorina: Chairman (September 22) ? befriend largest computer manufacturer ? leader in Desktop computers, Servers, Peripherals & services. ? fee infrastructure,high-end Super dome server line in Sept ember. ? HP-2001 march: a advanced business unit, HP Services, reporting in a flash to the CEO ? May: systems and services found on the new Itanium processor jointly developed by HP and Intel. ? Industry stumbled, meeting growth targets became difficult.

? HP-PRODUCT PORTFOLIO Laptops/Notebooks ? Paltops/PDA ? Printers & produce consumables ? Digicams ? Scanners ? Moniters ? Mainframes ? COMPAQ Joseph R. Canion,Jim Harris & Bill Murto in Feb 1982 ? Initial investment $1.5mn. ? Manufactured & exchange IBM compatible computers ? COMPAQ-PRODUCT PORTFOLIO effort computing group ? Mainframes servers workstations ? Internet products ne! tworking products ? commercialised desktops ? Portables ? Small and mean(a) business solutions ? HURDLES FOR HP Overall patience struggling ? Adapting to the innovations ? ambition in printing ? IPG business not gaining traction ? shrinkage margins ? WHY MERGE?? Eliminate wiz player in an oversupplied PC Market ? To compete with IBM and early(a) companies ? Reduce Costs....If you wishing to get a full essay, collection it on our website:
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