HP calls Dell’s go-private strategy a “tough road ahead”

Claims Dell's ability to invest in new products and services will be extremely limited

In the wake of Dell's announcement to be taken private by Michael Dell and Silver Lake for $US 24.4 billion, rival PC maker Hewlett Packard (HP) issued a statement claiming the move will not prove good for its customers.

"Dell has a very tough road ahead. The company faces an extended period of uncertainty and transition that will not be good for its customers. And with a significant debt load, Dell's ability to invest in new products and services will be extremely limited,” HP said in a statement.

“Leveraged buyouts tend to leave existing customers and innovation at the curb. We believe Dell's customers will now be eager to explore alternatives, and HP plans to take full advantage of that opportunity."

Hewlett-Packard recently regained its top position in the worldwide PC market, displacing rival Lenovo.

HP has also faced declines in its PC business and has previously said it will be paring down its PC business and refocusing on tablets.

FILL IN THE SURVEY - AND YOU COULD BE A WINNER: ARN wants to hear from YOU. Tell us how you run a successful business and you could win an adrenaline-fuelled adventure of your choice. COMPLETE THE ARN SURVEY.

Tags HPDellbuyout

More about DellHewlett PackardHewlett-Packard AustraliaHPLenovo

ARN Directory | Distributors relevant to this article

ARN Directory | Vendors relevant to this article

Comments

Comments are now closed

 
Computerworld
CIO
Techworld
CMO

Latest News

02:20AM
China orders Microsoft to explain Windows, Office practices within 20 days
04:34PM
Is drawing next for Livescribe?
04:17PM
Bill shock measures extended to all telcos
02:52PM
Australians are aware, educated about Big Data: MapR
More News
08 Sep
ITIL Foundation (incl. Exam)
10 Sep
CPX 2014
10 Sep
IT Leaders Lunch
16 Sep
Ingram Micro SMB Favourites Roadshow
View all events