Hewlett-Packard has regarded its proposed acquisition of Compaq Computer as a bold move to build a portfolio of computing systems and services to take on IBM and Dell Computer. It has argued that the $ 24 billion deal would strengthen the company’s sales of personal computers, data-serving computers and technology consulting.
46) But behind the deal is another Hewlett-Packard ambition: to extend the reach of its dominant printing and imaging division, which registered $ 20 billion in sales this year, 43 percent of the company’s revenue.
In the last two decades, Hewlett-Packard built itself into the world’s largest vendor of desktop printers. It had done so under th6 command of Richard A. Hackbom, now a Hewlett-Packard board member and a leading advocate of the merger. 47)Today, the company tests so many printers, inks and papers that if one could stack up all the test sheets printed during an average month, the pile would reach 6,000 fe
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