Several months ago, HP announced its intention to split its company into two entities. One entity would be HP Enterprise, which, you guessed it, focuses on enterprise technology and another faction called HP Inc, which deals with desktop computing technology such as PCs and printers.
While many companies are teaming up, such Dell and EMC, HP is taking a different approach. HP is segmenting itself in order to help the company focus on what it does best. Give HP Enterprise credit. Before the launch of the new HPE.com website, HP seemed to have its hands in all sorts of different enterprise offerings. Just a few weeks ago, HP announced that it was effectively shutting down its public cloud computing platform.
HP’s intention of splitting into two factions will help the company streamline its internal operations while helping it focus on the top revenue generators for the company. For HP Inc.’s future endeavors, HP Inc will need to focus on the cutting edge of desktop computing. Many experts expect the next big thing in desktop computing to be 3D printing. Could HP Inc help make the 3D printer become a household item?
HP Enterprise’s new motto will be “Defied business as usual” and the services will focus on automation and innovation. Several questions still loom about HP’s split into two companies. How will customers react to the new split? Will there be any confusion in terms of getting support for the HP products that you already currently own?
How can HP justify a breakaway strategy when so many organizations are merging and getting larger? How does HPE gain a foothold in the cloud computing market? HP is a leader in server hardware sales, how can HP translate that into cloud services leads? HP Inc and HPE have a lot of questions to answer if HP wants to make its turnaround a success.