HP keeping PC division, hopefully webOS, too
So, it seems that RIM isn't the only company that can't come up with a truthful thing to say. Today, HP announced that it has decided to keep the PSG (Personal Systems Group.) The group includes HP's PC business, as well as all its other consumer ventures.
Meg Whitman, the recently-appointed CEO of HP, said that keeping the PSG and the products that come with it made the company "stronger" than it would've been if it had spun the group off. That's mostly due to the one-time expenses HP would've faced to spin-off the PSG: $1.5 billion for hiring new support, building new IT systems, and creating new sales channels. It would also eliminate joint opportunities such as branding and procurement that would've cost the company over $1 billion annually.
It definitely makes sense for HP to keep its PC and general consumer products divison; just think about a world without HP computers. Even with a huge amount of advertising for this new company, consumers simply wouldn't trust this new brand and both HP and the PSG would've lost insane amounts of money.
One thing that isn't clear about HP's decision, though, is if webOS will be supported by it for any longer. I certainly hope so, but only if the company can produce high-quality products.[Reuters]