So what's changed since the beginning of this week, when I posted in this blog, virtually crowing about the fact that printer results, could be front and center this time, even if in a potentially negative way? (See "A little pressure on HP (NYSE HPQ) printer results".) Well, later that same day (Monday the 12th), the word came that HP was considered an 11-figure deal to acquire Ross Perot's old company, EDS, and ever since, no one has been thinking about printers at all, it would seem.
That's not quite true, actually (i.e. the 'no one thinking about printers' point). In a quick search of the Web this morning, PC World has a provocatively title piece, "Surprise! What HP's Multibillion Dollar Bid to Buy EDS Means for You" by Stephanie Overby of CIO. The piece contains this paragraph (my italics added) that's surely toungue-and-cheek, given IPG's profit margins, but still, what a difference a few days and a nearly $14 Billion deal makes!
Bulking up the services side would better HP's position against its bigger IT services brethren like IBM and Accenture . It could even enable HP to shed that darn printer business once and for all.