Ovum research fellow and chief analyst Carter Lusher:

“We applaud HP CEO Meg Whitman, appointed to that position on September 22, for acting swiftly and decisively to eliminate the uncertainty surrounding HP’s intentions for the Personal Systems Group (PSG). The announcement by now former-CEO Leo Apotheker that PSG was undergoing a strategic review and could be sold or spun off was an unmitigated disaster.

“Apotheker’s August announcement about PSG was a critical blow to his credibility after announcing in a much hyped analyst event only five months earlier how important PSG’s products were to HP. In addition, Apotheker said that the decision would not be completed until well into 2012. Everything around the PSG strategic review decision sent shock waves of uncertainty through the enterprise and public sector IT executive circles as it called into doubt HP’s ability to execute a clear strategy for any product or solution. IT executives need insights into strategic vendors’ intentions in order to make multi-year commitments and HP’s actions called into doubt its stability.

“Whitman is demonstrating early that she is not hesitant about reversing Apotheker’s decisions and that she will act swiftly. These are two characteristics that IT executives welcome as it shows that Whitman might be able to stabilise HP and return it to its previous status as a strategic supplier to IT.

“Regardless of the talk of the ‘post-PC’ era, Ovum is finding that IT executives still consider PCs to be important part of the IT infrastructure. However, it is very clear that the old approach of ‘better, faster, cheaper’ PCs is not viable for enterprise and public sector organisations. Rather HP will need to make the PC more relevant to IT’s need to future proof its strategy and plans.

“For example, HP needs to embed technology in its PCs that make them better to manage using HP’s management software suite. And it is not just in the products that HP has to change to make PSG more relevant. It can increase relevancy through business model changes, for example making it easier for IT to support a BYOD (bring your own device) policy by working with retailers and channel partners come up with bundles of products and support services that employees can buy and that will fit in with IT’s directions.”

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To arrange an interview or for further details regarding this release, please contact Kelly Livesey in the Ovum press office on +44 (0)161 238 4081, or email kelly.livesey@ovum.com.

ABOUT OVUM

Ovum provides clients with independent and objective analysis that enables them to make better business and technology decisions. Our research draws upon over 400,000 interviews a year with business and technology, telecoms and sourcing decision-makers, giving Ovum and our clients unparalleled insight not only into business requirements but also the technology that organisations must support. Ovum is part of the Informa Group