HP confirms split into two separate companies

Computer giant HP will split itself into two separate listed companies, the company has confirmed. One of the two new companies focuses on business IT infrastructure; the other on computers, laptops and printers.

The split was rumored earlier on Monday, and HP has now confirmed the split. HP’s division that now makes computers and printers will continue to be known as HP, and will keep the same logo. In addition, that branch will also focus on ‘growth markets’ such as 3D printers in the future, HP promises.

HP’s business arm, which includes servers, storage systems and business IT services, will be renamed Hewlett-Packard Enterprise. That branch will be headed by Meg Whitman, who is currently still CEO of HP. Dion Weisler, already CEO of HP, will take charge of the PC and printer division. As a result of the split, another 5,000 people will lose their jobs.

HP has had few rosy years, in which the company had to lay off people several times. An enormous reorganization is currently underway, but it appears to be not producing enough results. According to a source from The Wall Street Journal, the business IT branch is doing much better than HP’s PC and printer branch. As separate companies, the divisions would be better able to concentrate on their market.