HP's Meg Whitman reveals thinking after split announcement

Enlarge Photo

Jacob Kepler

HP CEO Meg Whitman said the company's split-up will allow it to do more M&A and research.

15 photos

Home of the Day

Sponsor Listing

Hewlett-Packard Co. CEO Meg Whitman said the company's forthcoming split will position it to make more investments in research, development, mergers and acquisitions.

Whitman shared long-term strategy details in an interview with CRN saying that the breakup allow the business side of HP to consider more investments in security and cloud storage, and strengthen its relationships with some of its most prominent partners, such as Microsoft Corp. and SAP Inc.

"We'll probably have more than $7 billion in cash for Hewlett-Packard Enterprise," said Whitman.

"We will be in a financial position to do M&A, to make more investments in R&D as we streamline our costs even further in ways that I think will help the company."

Whitman also seeks to increase the market share of HP's storage and networking business, which directly competes against China's Lenovo Group, the world's largest seller of personal computers.

"Our networking business every year gains a little bit more share," said Whitman. "What I want to do is I want to increase the share gain of our storage and networking business under Hewlett-Packard Enterprise."

People familiar with HP's plans told Re/code Tuesday that the company will demonstrate Sprout, a new computing product, in New York Oct. 29. The touch-enabled work surface and overhead projector is reportedly in development under the leadership of Eric Monsef, an ex-Apple executive.