HP is going to keep PC division

According to HP, they have decided against spinning off their PSG (Personal Systems Group), better known as their PC division.

During a special webcast on October 27th, CEO Meg Whitman stated,

After reviewing the results of the analysis, the decision was actually very straightforward. HP and PSG are better together. A separation would not create incremental shareholder return or customer value. PSG is core to HP’s portfolio, and it makes strategic, financial, and operational sense for HP to retain it. Specifically, PSG benefits from HP’s global reach, scale, and innovation. It contributes significantly to HP’s supply chain efficiencies, component pricing, distribution channels, and solutions portfolio.

As we originally reported in August, HP had been considering spinning off PSG entirely.

The consumer PC market has always benefited from the healthy number of competitors out there. Having HP on board for the long term makes sense, based on the recent success of their current mobile and desktop lineup.