Today HP announced it was buying Palm. The big question is, now what? Does HP absorb Palm into HP's operations and keep the brand around for a while or does HP let Palm run free and provide financial and marketing support, or is it somewhere in between?
Today HP announced it was buying Palm. The big question is, now what? Does HP absorb Palm into HP's operations and keep the brand around for a while or does HP let Palm run free and provide financial and marketing support, or is it somewhere in between?PreCentral.net, a site dedicated to all things Pre, was on the conference call today where HP announced that "We intend to operate it as a business unit, which is in line with the way we're structured today." This is good news for Palm employees and WebOS fans. HP has made a number of acquisitions over the years but most are integrated into the company.
This could be different though. While HP does make handhelds, they aren't a major player in the market and mobile devices isn't a significant part of HP operations. This means Palm becomes a major segment of HP's business, or a business unit in HP terms.
This is certainly good new for Palm. While some functions like accounting and human resources may be moved to HP's corporate offices, the core of Palm is likely to remain untouched. So device design, operating system development, carrier negotiations, application store management and other parts of Palm could continue to run as they are.
The really big benefit for Palm is they will no longer be public. The magnifying glass will be off of them and while they still have to do their part to contribute to HP's financial results, they will have more freedom to make decisions that have more long term benefits instead of trying to make the next quarter's numbers.
All this assumes the deal goes through. I don't expect much resistance from the FTC on this. I am sure HP has done their due diligence on the company as well. Something really big would have to be unearthed at this point to sour HP on the deal.
The question now is, can HP help turn Palm around? WebOS is not trending the right way now. Will HP+Palm yield better results for WebOS than Palm alone would? Time will tell.
InformationWeek Elite 100Our data shows these innovators using digital technology in two key areas: providing better products and cutting costs. Almost half of them expect to introduce a new IT-led product this year, and 46% are using technology to make business processes more efficient.
The UC Infrastructure TrapWorries about subpar networks tanking unified communications programs could be valid: Thirty-one percent of respondents have rolled capabilities out to less than 10% of users vs. 21% delivering UC to 76% or more. Is low uptake a result of strained infrastructures delivering poor performance?
InformationWeek Tech Digest, Nov. 10, 2014Just 30% of respondents to our new survey say their companies are very or extremely effective at identifying critical data and analyzing it to make decisions, down from 42% in 2013. What gives?