HP to layoff 27k

[Sysman]

They already do supply these large data centers

Yep. I came across a comment a couple or so years ago "Why can't I find a salesman to sell me some kit?" and the answer was that the salesmen were too busy selling vast quantities of gear to the likes of Amazon.

[Platypus]

They will have to shift the focus to supplying these larger data centers

They already do supply these large data centers

[Sysman]

I did a stint at HP. I blame the three 'C's for their gradual demise: Carly, Compaq and Crap marketing.

That'll be the 4 'C's then. Curly, Carly, Compaq and Crap marketing.

Curly was the accountant running Compaq at the time of HP's takeover.

I don't know how HP managed it, but they managed to upset my then clientco enough that they decided to migrate away from HP (and hang the cost).

[russell]

Even the cloud needs servers.

Think Google etc build their own cheap servers, rather than buying Dell/HP's expensive server's.

[Doggy Styles]

I did a stint at HP. I blame the three 'C's for their gradual demise: Carly, Compaq and Crap marketing.

[MarillionFan]

Even the cloud needs servers.

Virtual servers means less hardware overall.

Moving to the cloud is massive business. PaaS ,SaaS ,LaaS. HP has seen a slowdown and
will continue to do so. Seen some pretty impressive offerings so far. Blown away by new clientco's offering.

It's nice to back in the clouds. :-)

[SupremeSpod]

If Cloud does actually gain traction like many are predicting at the moment, will it not be companies like Dell and HP that will be affected ? They make a heck of a lot of money selling servers which will start slowing as more and more businesses start using the cloud rather than buying hardware.

Are you a Daily Mail reporter?

[mudskipper]

If Cloud does actually gain traction like many are predicting at the moment, will it not be companies like Dell and HP that will be affected ? They make a heck of a lot of money selling servers which will start slowing as more and more businesses start using the cloud rather than buying hardware.

Even the cloud needs servers.

[SimonMac]

If Cloud does actually gain traction like many are predicting at the moment, will it not be companies like Dell and HP that will be affected ? They make a heck of a lot of money selling servers which will start slowing as more and more businesses start using the cloud rather than buying hardware.

Who do you think the like of Amazon buy the hardware to run AWS from? They will have to shift the focus to supplying these larger data centers

[AtW]

If Cloud does actually gain traction like many are predicting at the moment, will it not be companies like Dell and HP that will be affected ? They make a heck of a lot of money selling servers which will start slowing as more and more businesses start using the cloud rather than buying hardware.

They'd very much prefer to get recurring revenues for those servers that they can oversubscribe.

[fullyautomatix]

If Cloud does actually gain traction like many are predicting at the moment, will it not be companies like Dell and HP that will be affected ? They make a heck of a lot of money selling servers which will start slowing as more and more businesses start using the cloud rather than buying hardware.

[BigTime]

Too vague a statement to make any sense of it, I know the new person in charge wants to move away from PC Production so I imagine a large chuck of the 27k will come from them

They are currently offering early retirement. Then it will be compulsory redundancy for some. Europe got a special mention as did the services business so ex-EDS stuff in the UK is for the hatchet in my view.

[SimonMac]

BBC News - Hewlett-Packard to cut 27,000 jobs by the end of 2014

I listened to the analyst call last night and the mainstream media don't seem to have gone beyond what HP announced. There was an analyst from BMO who asked what it meant for the services business and they reluctantly admitted the net headcount would be less in 2 years time and more of it offshore. They did mention Mike Lynch is to go and are probably hoping for as many limeys as possible to go too.

Too vague a statement to make any sense of it, I know the new person in charge wants to move away from PC Production so I imagine a large chuck of the 27k will come from them

[russell]

BBC News - Hewlett-Packard to cut 27,000 jobs by the end of 2014

I listened to the analyst call last night and the mainstream media don't seem to have gone beyond what HP announced. There was an analyst from BMO who asked what it meant for the services business and they reluctantly admitted the net headcount would be less in 2 years time and more of it offshore. They did mention Mike Lynch is to go and are probably hoping for as many limeys as possible to go too.

HP and Dell have failed to move with the times, you see Dell announcing annually they are moving into X where X is the latest thing, (Cloud, PaaS, Tablets, Phones etc) but they never crack it.

[BigTime]

BBC News - Hewlett-Packard to cut 27,000 jobs by the end of 2014

I listened to the analyst call last night and the mainstream media don't seem to have gone beyond what HP announced. There was an analyst from BMO who asked what it meant for the services business and they reluctantly admitted the net headcount would be less in 2 years time and more of it offshore. They did mention Mike Lynch is to go and are probably hoping for as many limeys as possible to go too.