In a flurry of announcements yesterday, HP also said it is -- specifically the TouchPad and its webOS phones -- and planning to purchase analytics software vendor Autonomy for $10 billion in cash.
News that HP may get out of the PC business wasn't a surprise to some analysts, especially given the decreasing focus by consumers, and even enterprises, on desktops and laptops. The , particularly Apple's iPad, is not good for companies that have invested billions of dollars in building and selling PCs.
"Right now, we're just speculating about HP's motives, but, to me, I think that they see the writing on the wall with PCs," said Dan Olds, an analyst with The Gabriel Consulting Group. "It's a low-growth and very low-margin business these days and that's not likely to change in the future."
According to HP, its Personal Systems Group (PSG) is worth $40 billion in annual revenues. The PSG includes personal computers, technical workstations, WebOS-powered tablets and smart phones, as well as personal storage solutions.
In the second quarter of this year, HP, which has long been the , accounted for 17.4% of global shipments, according to industry analyst firm Gartner.