Samsung tipped to buy HP’s PC business

Last week, HP made the curious decision to announce the impending sale of its PC business without naming a buyer. It’s no surprise, then, to see the rumor mill all fired up with speculation about who that buyer might be. Basing themselves on "sources from the upstream supply chain," the folks at DigiTimes are currently pointing their fingers at Samsung.

Word is that Samsung has gotten in touch with Taiwanese contract manufacturers Quanta, Compal, and Pegatron to "evaluate the possibility of outsourcing notebook orders." Reportedly, Samsung makes notebooks at its own factories in China right now, and past negotiations with contract manufacturers didn’t bear fruit. The sudden change of heart suggests Samsung could be gearing up to expand its business—something DigiTimes’ sources believe will involve HP’s PC business:

The sources pointed that the Taiwan’s notebook OEM industry’s production efficiency and cost control is currently unmatched worldwide; therefore, if Samsung takes over HP’s PC department, HP’s over 40 million PC shipment volume will still need to depend on Taiwan OEMs. However, related suppliers of components such as panel, memory and battery may be affected as Samsung has a rather strong vertical integration supply chain.

Samsung certainly seems like a company with enough resources to snatch up the biggest PC business in the industry. On top of that, Samsung has a relatively small slice of the PC market at present, so a potential acquisition could go through without running afoul of antitrust regulations. A firm like Acer or Dell might not have the same opportunity.

Comments closed
    • LaChupacabra
    • 8 years ago

    I see two big problems with this. First off is branding. Would Samsung be allowed to sell HP branded computers? That posses massive amounts of problems for HP. Think how many people would call HP directly for support on new hardware, only to have HP say something like “No, no. You really want to talk to Samsung about HP [i<]consumder[/i<] products. We only deal in software now." Second off is would Samsung really be better off? HP never was able to get much traction with newer, up and coming technologies. You see Samsung branded MP3 players, televisoins, cellphones, tablets, stereo systems etc. etc. and people buy them like crazy. If HP ever entered into these markets (a la touchpad) it would be almost destined to fail. There is no good reason for anyone to purchase HP's PSG. However, if the patents went with it (the old Palm patents) then Samsung would be the perfect buyer.

    • tejas84
    • 8 years ago

    The Apothecary has gone insane! Poor HP

    • riviera74
    • 8 years ago

    Samsung as a buyer of HPs PSG? Hmmm, it might be a good idea. HP should consider selling it to one of their Taiwan OEMs, such as Quanta or Compal. IBM did that six years ago and IBM and Lenovo are doing just swell.

    • kamikaziechameleon
    • 8 years ago

    This just in… HP is selling or shuttering every single asset it has!

      • Corrado
      • 8 years ago

      How else will they fulfill the dream of ruining every piece of enterprise software they buy?

        • Flatland_Spider
        • 8 years ago

        Software.

    • sweatshopking
    • 8 years ago

    sounds fine to me. i like samsung. they’re pretty.

      • kamikaziechameleon
      • 8 years ago

      I’m curious as to what will actually happen with HP after this, I mean they won’t sell printers if they aren’t bundled with computers and they have tons of external competition for that.

        • JMccovery
        • 8 years ago

        They’ll mostly concentrate on Server/Workstation/Enterprise markets. Though I don’t know what will happen to the consumer printer division, maybe that is in the sale also; Samsung could maybe use a consumer inkjet/laser line.

          • kvndoom
          • 8 years ago

          I can’t see HP ever selling its printer business. They could stay afloat solely on the ripoff that is printer ink.

            • kamikaziechameleon
            • 8 years ago

            so they face no printer competition? I thought their printer devision was so successful because they bundle a printer with almost every pc they sell. If they cease to do that I could see them taking a major hit.

            • riviera74
            • 8 years ago

            Sorry, that is false. HP was successful in selling laser printers as far back as the 80s. The whole HP inkjet thing is much more recent (say 1999). Lexmark sells printers without PCs all the time. So do Epson and Canon and Kodak. Printers will be fine.

            • ludi
            • 8 years ago

            Big money for printers is found in business products. Where I work, we have several HP color lasers that can print as large as 11×17, and do 8.5×11 at 27ppm. We also have a couple DesignJet large-format plotters, one of which is about a $6k piece of hardware.

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