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Samsung denies it wants HP's PC business

updated 12:45 pm EDT, Wed August 24, 2011

Samsung hushes rumor of HP PC deal

Samsung on Wednesday issued a brief statement shooting down talk that it might buy HP's PC business. While not overtly denying the possibility of talks, it said that the claims it had locked in a deal were "not true." Taiwan-based sources had claimed on Monday that Samsung was talking to extra contractors to expand its business, with sources claiming that there were signs it was preparing itself to handle HP's computer group.

HP revealed that it might sell off or spin out its PC business last week after claiming that the iPad was making PCs unsustainable. Samsung has unofficially been identified as a prime target as one of the few Windows PC designers still growing rapidly and yet large enough to swallow the costs of taking on the world's biggest PC vendor. One estimate has put the worth of HP's PC group at $8 billion.

At the time of the rumor, the same sources had warned that Samsung's main obstacle would be coping with the much larger, existing contracts that HP already has. Samsung is expecting to make 10 million PCs a year, but HP would add at least 40 million more.

HP faces a difficult time to try and break out its PC technology. Most Windows PC designers are seeing either near-flat growth or are shrinking and would mostly just be buying into contracting market. Much of the American company's expertise is in conventional, low-margin PCs and wouldn't give a buyer an advantage over tablets or over premium computers.

By Electronista Staff
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  1. SockRolid

    Forum Regular

    Joined: Jan 2010



    I wonder if Lenovo would be a better fit than Samsung for HP's ex-PC division. Lenovo's factories are in China, HP's ex-PC division's factories are also in China. No need to "outsource."

  1. facebook_Rick

    Via Facebook

    Joined: Aug 2011


    The HP brand is damaged right now.

    No enterprise buyer in their right mind would make an order for any HP product now, and nobody buying one now should expect much from software updates or support.

    The HP brand is damaged right now. Thanks goodness I sold HP as soon as the new CEO Leo Apotheker took over. SAP experience and HP are not compatible at all.

    Would you, as business owner, trust any consulting advice or service coming out of HP?

    What was and is the HP board smoking?

    The Company is in liquidation right now. A Federal investigation is now in order.

  1. BigMac2

    Forum Regular

    Joined: Dec 2000


    Let's it spin off

    and call it Compaq

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