Despite spin-off talk, Air Force picks HP

29.08.2011
Even though Hewlett-Packard is considering spinning off or selling its Personal Systems Group, it's still business as usual for one of its larger customers, the U.S. Air Force.

HP announced Monday that the Air Force has selected it to provide some new some new workstations, including the HP Z800, which uses Xeon processors, up to 192 GB of ECC memory and as much as 10 terabytes of storage.

The Air Force last year approved a 5-year purchase agreement with HP that could be worth up to $800 million. The agreement, announced Monday but signed July 1, allows the Air Force to purchase specific products under purchase agreement, including its latest workstations.

HP has been a to the Air Force, and says it has bought over 900,000 units of its various products in the last five years.

announced earlier this month that "a full or partial separation" of its Personal Systems Group, either through a spin-off or "other transaction." HP recently after poor sales.

The company has been speaking to customers about its plans for the Personal Systems Group, reaching out to customers "to ensure them of our commitment and support," HP spokesman Frank Bauch said. "We absolutely stand by our products and the Air Force can continue to buy with confidence."