Hewlett-Packard, a company founded in 1939, finds itself in a very tight spot in the middle of the year 82 years later. After making some pretty big announcements on August 18th, 2011, HP stock dropped the next day by more than 20 points.
HP has decided to cancel its production of tablets and cellphones. They are also planning to purchase British software company to expand its services in that sector of the market.
One of their bigger contemplated moves is one that would make a major change in the corporation. HP is considering selling off its entire laptop and desktop division. This is a move competitor IBM made six years ago.
Due to these announcements, Friday August 19th, 2011 witnessed a $12 billion USD in share value, which is an over 20% loss on an already dismal day for the New York Stock Exchange. This is in spite of a better-than-projected outcome during the fiscal third quarter.
This leaves tech-industry experts everywhere wondering what will happen to the consumer electronics giant. What will these developments mean for HP’s devoted customers?
Looking for more tech news? Check out these posts on Windows 8 and Google acquires Motorola.
