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Maxims applied . . . HP's acquisition of EDS: a bad mix of strategy & tactics

Posted on: 23-Sep-2008

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Summary

HPs acquisition of EDS a month ago reflected a clear and cohesive strategy: take the number 1 plate from rival IBM in the IT services business. HP combined with EDS, it moved them up to a quick second place with $40B in revenue against IBMs $54B. HP is a good decade behind IBM IT services strategy, which Lou Gerstner used to turn the company around. HP first followed IBM under Carly Fiorina and so far the company has not proven a serious challenge. Now the strategy makes sense, but the announced tactics go against this strategy. Hes already downsizing the company he just bought for $13.9B. Find out more by following this link.

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About weQuest:
weQuest's are written by G Dan Hutcheson, his career spans more than thirty years, in which he became a well-known as a visionary for helping companies make businesses out of technology. This includes hundreds of successful programs involving product development, positioning, and launch in Semiconductor, Technology, Medicine, Energy, Business, High Tech, Enviorntment, Electronics, healthcare and Business devisions.

Short URL: https://www.wesrch.com/electronics/weqEL191TP

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