HP on “Shaky” Ground?

HP’s recent announcement that they are considering selling off their PC division is causing quite a stir among stock holders and other related investors.  With shares dropping 20% on Friday HP has now dropped over 43% for the year. They have decided to relinquish the TouchPad tablets and the mobile phones division already.

What does this mean? Well first of all they are basically handing off the market share to Apple in a pretty pink box with a big ribbon on it. Apple’s tablet division alone will be strengthened quite a bit.  Other competitors such as Dell, Lenovo, Acer and Asus are also vying for the PC market share before it is even officially up for grabs.  Sales representatives from all competitors are hot on HPs’ customers’ tails to seize the unstable business relationships at the onset of this announcement. 

Analysts are predicting that this will not affect HP supplies in the short term but that with so much action occurring at once the costs could drop significantly in an effort to sell off the products. Many rumors are emerging about the future of HP and even more speculations are flooding the IT world.  All in all I doubt HP is anywhere near performing a disappearing act altogether but they have certainly generated quite the ear perking buzz lately.