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.

Sponsored Content: Collaboration has become the new movement in IT. Servers will become an integral part of this industry transition. Click here to learn more.

Join the ARN newsletter!

Error: Please check your email address.

Tags HPDellbuyout

More about DellHewlett PackardHewlett-Packard AustraliaHPLenovo

ARN Directory | Distributors relevant to this article

ARN Directory | Vendors relevant to this article

 
Computerworld
CIO
Techworld
CMO

Latest News

12:58PM
Staples says hack may have compromised 1 million-plus payment cards
10:46AM
Judge questions evidence on whether NSA spying is too broad
08:29AM
Twitter parody of North Korea's mouthpiece not afraid to crow over Sony's capitu...
08:19AM
Three ways enterprise software is changing
More News
05 May
CeBIT Australia 2015
27 May
World Business Forum Sydney
View all events