Say what? Yes it’s true…HP is saying “¡Adiós!” to their WebOS. This means they will no longer support the HP Touchpad and their WebOS Phones. So if you bought a Touchpad…no comment. Also, HP has reported that it will “spin off” it’s computer units.
HP is really following the IBM model of becoming a services business and selling off your PC
So what’s the reason for the WebOS exit? It’s basically sales. Although signs of sales for the OS were low, it was a big surprise for the complete shutdown of the OS. Also, shares were low according to CNET. They said that the price was $1.23 a share. Also, quarterly sales were going down. The HP CEO said:
Transformation can involve difficult decisions, but we take these steps to better position for the future. These challenges and the transformation we are undertaking will take several quarters to fully resolve. I don’t take this action lightly. I know our investors don’t like being in this position and neither do I. I feel that as CEO I believe in transparency about what we are facing and be clear under the size of things we are doing now about it. To conclude, I’m taking ownership for these decisions and investments with a focus on driving actions that deliver value for shareholders as we shape the new HP.
Also, HP is buying Autonomy, a UK company. HP said that it will acquire Autonomy for $42 a share in cash, or $10 billion.
So HP is dropping the WebOS like a hot potato. It came as a shock, but it would be hard to keep up with the iPad. According to Apple sales, the iPad and their accessories in the 3rd quarter sold 2166 million. That’s hard to keep up with…