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HP and IBM: Two paths, one future: The two giants have very different philosophies.
Fortune ^ | 09/20/2012 | By Kevin Kelleher

Posted on 09/20/2012 3:08:04 PM PDT by SeekAndFind

On the face of it, Hewlett-Packard and IBM have a lot in common. Both are storied brands with rich legacies that shaped high-tech. Both are working with companies large and small to help manage their technology. Both are angling for a piece of the markets -- like cloud computing and big data -- that promise years of growth.

And both have new chief executive officers: Meg Whitman moved into HP's (HPQ) CEO office a year ago; Virginia Rometty took the reins at IBM (IBM) in January. Both companies share a similar vision for success. And both face similar challenges to get there, like a sluggish global economy and the rise of disruptive new technologies.

Despite this bedrock sameness, HP and IBM are pushing forward on different paths. HP is in the midst of a multi-year turnaround, while IBM is building on a long-term plan outlined years ago. Neither company's path was charted in large part by its current leader. Why? First, their views on the role of hardware versus software in the future of IT; and second, their approach to mergers and acquisitions.

IBM's last decade has been marked by steady leadership pursuing a long-term course. To move forward from its recent history as a maker of big computers, the company famously pushed into IT-consulting services and software, taking a step away from hardware in 2004 by selling the PC division to Lenovo for $1.75 billion.

Like IBM, HP saw years ago that the future of big tech was not in selling big computers to companies, but in taking on the increasingly complex tasks of managing them and all the antecedent technologies. But unlike IBM, HP maintained that hardware would continue to play a key role in its tech outsourcing business

(Excerpt) Read more at tech.fortune.cnn.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: hewlettpackard; hp; ibm

1 posted on 09/20/2012 3:08:11 PM PDT by SeekAndFind
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To: SeekAndFind

Obviously written by someone who has never worked for either company, and probably not as an IT professional.

Both companies are doing OK because they are the WAL-MART and Target of IT.

IBM is Wal-Mart

Lots of low-cost employees, who can’t count over 10 without removing their shoes.

HP i Target.

Trying to be cool, but meanwhile just selling lots of high cost lock in gear and ink.


2 posted on 09/20/2012 3:30:10 PM PDT by BereanBrain
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To: SeekAndFind

This article misses a big part of IBM’s success over the last decade. They have experienced a resurgence in the sale of big iron - by using Virtualization and Linux! The two have sold a whole bunch of big iron over the last 10 years.


3 posted on 09/20/2012 3:30:56 PM PDT by fremont_steve
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To: BereanBrain

Well, your first sentence is at least somewhat accurate


4 posted on 09/20/2012 3:32:46 PM PDT by bigbob
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To: SeekAndFind
IBM mostly learns from it's mistakes where hp seems not to with meg whitless as the proof
5 posted on 09/20/2012 4:14:35 PM PDT by Chode (American Hedonist - *DTOM* -ww- NO Pity for the LAZY)
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To: SeekAndFind
Who'd have thought that IBM, after being hounded by the Feds for a decade or so and giving up the P.C. market, would have rebounded as it has? HP, on the other hand, seemed to have the world as its oyster and blew it.

Creative destruction and non-creative destruction.

6 posted on 09/20/2012 4:32:47 PM PDT by BfloGuy (Without economic freedom, no other form of freedom can have material meaning.)
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To: bigbob

I have worked for both, as well as other companies in IT.

If you don’t believe someone who’s worked there, then just take a quick tour of linked in, and observe the employment history of folks at IBM for 5+ years or HP for 5+ years. They are NOT IT Professionals. Typically first job was in the military, or some non-tech job. They then go on at IBM/HP, and have worked there since. Their degrees are typically NOT in IT.

Why would a 22 year old CS grad work at IBM/HP vs a REAL high tech growth company? They have a hard time getting new talent, that’s for sure. But on the other hand, it’s a great plac to retire.

Most IBMrs I know have SECOND JOBs. Why? Because their primary job is a joke. They pretend to pay going rate, and the employees continue to pretend to work. Their expense/travel guidelines are also the worst in the industry.


7 posted on 09/20/2012 5:05:31 PM PDT by BereanBrain
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To: bigbob

http://www.cringely.com/2012/04/not-your-fathers-IBM/


8 posted on 09/20/2012 5:17:23 PM PDT by BereanBrain
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To: SeekAndFind

HP is doing good work with memristors, so I am not going to count them out, but I would favor IBM over HP for the future, as IBM has a seriously disruptive technology in Watson. Distruptive as in it will change nearly the entire workforce of America disruptive.


9 posted on 09/20/2012 9:39:32 PM PDT by Vince Ferrer
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To: BereanBrain

Brother..ive been in it 30+ years..ive been an hp contractor the last year at a 3ed party site and quiting because they are so f’ up...and may be going to ibm at same site


10 posted on 09/20/2012 10:06:38 PM PDT by tophat9000 (American is Barack Oaken)
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To: BereanBrain

Brother..ive been in it 30+ years..ive been an hp contractor the last year at a 3ed party site and quiting because they are so f’ up...and may be going to ibm at same site


11 posted on 09/20/2012 10:06:39 PM PDT by tophat9000 (American is Barack Oaken)
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To: BereanBrain

Brother..ive been in it 30+ years..ive been an hp contractor the last year at a 3ed party site and quiting because they are so f’ up...and may be going to ibm at same site


12 posted on 09/20/2012 10:06:39 PM PDT by tophat9000 (American is Barack Oaken)
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