Tuesday, May 17, 2011

HP preparing for a rough 3rd Quarter; Earnings release today

Bloomberg recently leaked a memo from Hewlett-Packard, saying that they need to "watch every penny and minimize hiring."
Q3 is going to be another tough quarter, one in which we will be driving hard for revenue and profit. We have absolutely no room for profitless revenue or any discretionary expenditures.

This may look like bad news on the surface, but will probably be good news for webOS.  They aren't selling as much consumer products -- desktops, laptops, etc.  Which is where webOS comes in.  Windows can't compete with iOS on tablets, and as we all know the iPad is taking a big chunk out of the laptop and netbook sales.  This means that HP really needs to push the Touchpad, and along with it webOS on PCs, phones, printers, everywhere applicable.


With their own operating system at their disposal, it will be easier for HP to be like Apple and differentiate in the market, rather than be like other companies having to rely on specs to differentiate because they all run Android. Again, Q2 earnings for the company will be announced later today.  Hopefully we'll hear some news about webOS then.

Source: webOSroundup, Bloomberg

15 comments:

  1. Wow hope they'll manage to pull through, their products are awesome!

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  2. I dont't think that HP will be sucsessfull because the market is so big with companys like Apple that I only see a chance if they make it completley new. btw. nice post! thanks for the information

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  3. A lot of companies have money issues sometimes..these things happen. I'm confident they'll survive, they're a quality company.

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  4. The market is very wide, it is hard to compete

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  5. Nice, we'll see how it works out I guess.

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  6. I used to have a few HP products, good luck to them.

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  7. HP makes great products for a reasonable price. And plus I'm broke XD

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  8. I really like that they are finally going to start releasing the different OS tablets. Apple always seems like it limits what you can do compared to different OS like linux and windows. Great post keep up the good news.

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  9. I'd really like to check out some tablets... That one looks pretty nice. Might look into it some time soon!

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  10. Nice post, keep up the good work!

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  11. In the end, people will buy them, at least some.

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  12. There are always some guys out there leading the way to an label ;)

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  13. Haven't heard anything from HP for a long time. I think is very hard for them, having some huge business competition.

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  14. I think your conclusions are correct. Laptop market will be shrinking due to expansion of tablets and netbooks. HP needs to invest more in their ipad-killer :)

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  15. Hopefully they push through, there needs to be more than just one (apple) tablet that is used widely. If they can make it great and price it at about or less than apple people will start to buy them I think.

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