HP CEO Meg Whitman says her company will keep its PC division and not sell it as many had thought.
In her first major move since becoming CEO of Hewlett Packard, Meg Whitman says the company will keep its PC division.
The former California gubernatorial candidate took over the Palo Alto-based technology company in September and upon taking the job she immediately said one of the her first tasks would be to decide the fate of the company's PC division.
"HP objectively evaluated the strategic, financial and operational impact of spinning off PSG," Whitman said in a statement. "It’s clear after our analysis that keeping PSG within HP is right for customers and partners, right for shareholders, and right for employees. "HP is committed to PSG, and together we are stronger."
To reach her decision, Whitman had her company perform a "strategic review" that involved having experts look at the business and its functions and how it integrated with other HP ventures.
The review found that the cost to recreate some of the benefits had by keeping the PC division were too much to make selling the entity worthwhile.
HP has had some high profile flops recently that has made shareholders worry. Most famously its HP TouchPad tablet was discontinued after less than stellar sales.