After previously announcing a spin-off of their PC division, HP has now decided to keep it after a strategic review led by new company CEO Meg Whitman. The data-driven evaluation revealed the depth of the integration that has occurred across key operations such as supply chain, IT and procurement. It also detailed the significant extent to which PCs contributes to HP's solutions portfolio and overall brand value. Finally, it also showed that the cost to recreate these in a standalone company outweighed any benefits of separation.
HP now believes it can deliver higher value, lasting relationships with consumers, small- and medium-sized businesses and enterprise customers. The HP board of directors is confident its PC business can drive profitable growth as part of the larger entity and accelerate solutions from other parts of HP's business.
HP's webOS tablet (TouchPad) and smartphone (Palm Pre) businesses will remain shutdown after disappointing sales. Though, HP does plan to release another tablet running Windows 8. Still in limbo is what HP's plans are for the webOS software platform.