Cloud Computing: HP Inc. and Hewlett Packard Enterprise Seek Relevance Through Spinoff
October 31, 2015
Grazed from WSJ. Author: Robert McMillan.
On Monday morning, Meg Whitman will ring the bell at the New York Stock Exchange as the brand-new company she will lead, Hewlett Packard Enterprise Co., begins trading. The company’s emergence will mark the end of the yearlong process of dividing Bill Hewlett and Dave Packard’s 76-year-old company in two.But it also will leave a more pressing challenge before Ms. Whitman and Dion Weisler, CEO of the second Hewlett-Packard Co. spinoff, HP Inc.: How to remain relevant in an industry that rapidly is leaving the old H-P behind…
For Mr. Weisler, the split means profits from his high-margin printer sales no longer will underwrite the corporate information technology sold by Ms. Whitman’s new company. He plans to use his newfound freedom to increase the percentage of revenue devoted to research and development beyond the 3.1% level that the old H-P achieved last year…
Read more from the source @ http://www.wsj.com/articles/hp-inc-and-hewlett-packard-enterprise-seek-relevance-through-spinoff-1446283801