Hewlett-Packard

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Coordinates:

37.413579N 122.14508W

Hewlett-Packard Company

HP headquarters in Palo Alto, California

Type

Public

Traded as

NYSE: HPQ
S&P 500 Component

Industry

Computer hardware
Computer software
IT services
IT consulting

Founded

January 1, 1939

Founder

Bill Hewlett, Dave Packard

Headquarters

Palo Alto, California,United States

Area served

Worldwide

Key people

Meg Whitman
(Chairman, President and CEO)

Products

See list of HP products.

Revenue

US$ 111.454 billion (2014)[1]

Operating income

US$ 7.185 billion (2014)[1]

Net income

US$ 5.013 billion (2014)[1]

Total assets

US$ 103.206 billion (2014)[1]

Total equity

US$ 26.731 billion (2014)[1]

Number of employees

317,500 (2014)[1]

Divisions

Financing, Hardware, Services, Software

Subsidiaries

List of subsidiaries

Website

HP.com

Hewlett-Packard Company or HP (styled as hp) is an American multinational information

technology corporation headquartered inPalo Alto, California, United States. It provides hardware,
software and services to consumers, small- and medium-sized businesses (SMBs) and large
enterprises, including customers in the government, health and education sectors.
The company was founded in a one-car garage in Palo Alto by William "Bill" Redington
Hewlett and David "Dave" Packard starting with a line of electronic test equipment. HP was the
world's leading PC manufacturer from 2007 to Q2 2013, after which Lenovoremained ranked ahead
of HP.[2][3][4] It specializes in developing and manufacturing computing, data storage, and networking
hardware, designing software and delivering services. Major product lines include personal
computing devices, enterprise and industry standard servers, related storage devices, networking
products, software and a diverse range of printers and other imaging products. HP markets its
products to households, small- to medium-sized businesses and enterprises directly as well as via
online distribution, consumer-electronics and office-supply retailers, software partners and major

technology vendors. HP also has services and consulting business around its products and partner
products.
Hewlett-Packard company events have included the spin-off of its electronic and bio-analytical
measurement instruments part of its business as Agilent Technologies in 1999,
its merger with Compaq in 2002, the sponsor of Mission: Space in 2003, and the acquisition
of EDS in 2008, which led to combined revenues of $118.4 billion in 2008 and a Fortune 500 ranking
of 9 in 2009. In November 2009, HP announced the acquisition of 3Com,[5] with the deal closing on
April 12, 2010.[6] On April 28, 2010, HP announced the buyout of Palm, Inc. for $1.2 billion.[7] On
September 2, 2010, HP won its bidding war for 3PAR with a $33 a share offer ($2.07 billion),
which Dell declined to match.[8]
On October 6, 2014, Hewlett-Packard announced plans to split the PC and printers business from its
enterprise products and services business. The split is expected to close by October 2015 and will
result in two publicly traded companies: Hewlett-Packard Enterprise and HP, Inc. [9]
Contents
[hide]

1 History
o

1.1 Founding

1.2 Early years

1.3 1960s

1.4 1970s

1.5 1980s

1.6 1990s

1.7 2000s

1.8 2010s

2 Facilities

3 Products and organizational structure

4 Culture

5 Corporate social responsibility

6 Brand

7 HP Discover customer event

8 Controversies

8.1 Restatement

8.2 Spying scandal

8.3 Hardware

8.4 Lawsuit against Oracle

8.5 Takeover of Autonomy

8.6 Bribery

8.7 Divestment from HP regarding involvement in Israeli occupation and blockade of

Palestinian territories

9 Notable people

10 See also

11 References

12 External links

History[edit]
Further information: List of Hewlett-Packard executive leadership

Founding[edit]

The garage in Palo Alto where Hewlett and Packard began their company

Bill Hewlett [10] and Dave Packard graduated with degrees in electrical engineering from Stanford
University in 1935. The company originated in a garage in nearby Palo Alto during a fellowship they
had with a past professor, Frederick Terman at Stanford during theGreat Depression. Terman was
considered a mentor to them in forming Hewlett-Packard. [11] In 1939, Packard and Hewlett
established Hewlett-Packard (HP) in Packard's garage with an initial capital investment of US$538.
[12]
Hewlett and Packard tossed a coin to decide whether the company they founded would be called
Hewlett-Packard or Packard-Hewlett.[13] HP incorporated on August 18, 1947, and went public on
November 6, 1957.
Of the many projects they worked on, their very first financially successful product was a precision
audio oscillator, the Model HP200A. Their innovation was the use of a small incandescent light
bulb (known as a "pilot light") as a temperature dependent resistor in a critical portion of the circuit,

the negative feedback loop which stabilized the amplitude of the output sinusoidal waveform. This
allowed them to sell the Model 200A for $54.40 when competitors were selling less stable oscillators
for over $200. The Model 200 series of generators continued until at least 1972 as the 200AB, still
tube-based but improved in design through the years.
One of the company's earliest customers was Walt Disney Productions which bought eight Model
200B oscillators (at $71.50 each) for use in certifying the Fantasound surround sound systems
installed in theaters for the movie Fantasia.

Early years[edit]

1954 Hewlett-Packard logo

They worked on counter-radar technology and artillery shell fuses during World War II, which
allowed Packard (but not Hewlett) to be exempt from the draft. [14]

1960s[edit]
HP is recognized as the symbolic founder of Silicon Valley, although it did not actively investigate
semiconductor devices until a few years after the "traitorous eight" had abandoned William
Shockley to create Fairchild Semiconductor in 1957. Hewlett-Packard's HP Associates division,
established around 1960, developed semiconductor devices primarily for internal use. Instruments
and calculators were some of the products using these devices.
HP partnered in the 1960s with Sony and the Yokogawa Electric companies in Japan to develop
several high-quality products. The products were not a huge success, as there were high costs in
building HP-looking products in Japan. HP and Yokogawa formed a joint venture (YokogawaHewlett-Packard) in 1963 to market HP products in Japan. [15] HP bought Yokogawa Electric's share of
Hewlett-Packard Japan in 1999.[16]
HP spun off a small company, Dynac, to specialize in digital equipment. The name was picked so
that the HP logo "hp" could be turned upside down to be a reverse reflect image of the logo "dy" of
the new company. Eventually Dynac changed to Dymec, then was folded back into HP in 1959. [17] HP
experimented with using Digital Equipment Corporation(DEC) minicomputers with its instruments,
but after deciding that it would be easier to build another small design team than deal with DEC, HP
entered the computer market in 1966 with the HP 2100 / HP 1000 series of minicomputers. These
had a simple accumulator-based design, with registers arranged somewhat similarly to the Intel
x86architecture still used today. The series was produced for 20 years, in spite of several attempts to
replace it, and was a forerunner of the HP 9800 and HP 250 series of desktop and business
computers.

1970s[edit]

Hewlett-Packard logo, mid-1970s

The HP 3000 was an advanced stack-based design for a business computing server, later
redesigned with RISC technology. The HP 2640 series of smart and intelligent terminals introduced
forms-based interfaces to ASCII terminals, and also introduced screen labeled function keys, now
commonly used on gas pumps and bank ATMs. The HP 2640 series included one of the first bit
mapped graphics displays that when combined with the HP 2100 21MX F-Series microcoded
Scientific Instruction Set[18] enabled the first commercialWYSIWYG Presentation
Program, BRUNO that later became the program HP-Draw on the HP 3000. Although scoffed at in
the formative days of computing, HP would eventually surpass even IBM as the world's largest
technology vendor, in terms of sales.[19]

"The new Hewlett-Packard 9100Apersonal computer is ready, willing, and able ... to relieve you of waiting to get
on the big computer."

Although Programma 101 was the first commercial "desktop computer", HP is identified
by Wired magazine as the producer of the world's first device to be called a personal computer,
the Hewlett-Packard 9100A, introduced in 1968.[20] HP called it a desktop calculator, because, as Bill
Hewlett said, "If we had called it a computer, it would have been rejected by our customers'
computer gurus because it didn't look like an IBM. We therefore decided to call it a calculator, and all
such nonsense disappeared." An engineering triumph at the time, the logic circuit was produced
without any integrated circuits; the assembly of the CPU having been entirely executed in discrete
components. With CRT display, magnetic-card storage, and printer, the price was around $5,000.
The machine's keyboard was a cross between that of a scientific calculator and an adding machine.
There was no alphabetic keyboard.
Steve Wozniak, co-founder of Apple, originally designed the Apple I computer while working at HP
and offered it to them under their right of first refusal to his work, but they did not take it up as the
company wanted to stay in scientific, business, and industrial markets. Wozniak said that HP "turned
him down 5 times." Wozniak said his loyalty to HP made him hesitant to start Apple with Steve Jobs.
[21]

The company earned global respect for a variety of products. They introduced the world's
first handheld scientific electronic calculator in 1972 (the HP-35), the first handheld programmable in
1974 (the HP-65), the first alphanumeric, programmable, expandable in 1979 (theHP-41C), and the
first symbolic and graphing calculator, the HP-28C. Like their scientific and business calculators,
their oscilloscopes, logic analyzers, and other measurement instruments have a reputation for
sturdiness and usability (the latter products are now part of spin-off Agilent's product line). The
company's design philosophy in this period was summarized as "design for the guy at the next
bench".[citation needed]
The 98x5 series of technical desktop computers started in 1975 with the 9815, and the cheaper 80
series, again of technical computers, started in 1979 with the 85.[22] These machines used a version
of the BASIC programming language which was available immediately after they were switched on,
and used a proprietary magnetic tape for storage. HP computers were similar in capabilities to the

much later IBM Personal Computer, although the limitations of available technology forced prices to
be high.[citation needed]

1980s[edit]
In 1984, HP introduced both inkjet and laser printers for the desktop. Along with its scanner product
line, these have later been developed into successful multifunction products, the most significant
being single-unit printer/scanner/copier/fax machines. The print mechanisms in HP's tremendously
popular LaserJet line of laser printers depend almost entirely on Canon Inc.'s components (print
engines), which in turn use technology developed by Xerox. HP develops the hardware, firmware,
and software that convert data into dots for the mechanism to print. [citation needed] HP transitioned from
the HP3000 to the HP9000 series minicomputers with attached storage such as the HP 7935 hard
drive holding 404 MiB.
On March 3, 1986, HP registered the HP.com domain name, making it the ninth
Internet .com domain ever to be registered.
In 1987, the Palo Alto garage where Hewlett and Packard started their business was designated as
a California State historical landmark.

1990s[edit]

Hewlett-Packard logo used from 1981 to 2009

In the 1990s, HP expanded their computer product line, which initially had been targeted at
university, research, and business users, to reach consumers.
HP also grew through acquisitions, buying Apollo Computer in 1989 and Convex Computer in 1995.
Later in the decade, HP opened hpshopping.com as an independent subsidiary to sell online, direct
to consumers; in 2005, the store was renamed "HP Home & Home Office Store."
From 1995 to 1998, Hewlett-Packard were sponsors of the English football team Tottenham Hotspur.
In 1999, all of the businesses not related to computers, storage, and imaging were spun off from HP
to form Agilent Technologies. Agilent's spin-off was the largest initial public offering in the history
of Silicon Valley.[23] The spin-off created an $8 billion company with about 30,000 employees,
manufacturing scientific instruments, semiconductors, optical networking devices, and electronic test
equipment for telecom and wireless R&D and production.
In July 1999, HP appointed Carly Fiorina as CEO, the first female CEO of a company in the Dow
Jones Industrial Average. Fiorina served as CEO during the technology industry downturn of the
early 2000s. During her tenure, the market value of HP halved and the company incurred heavy job
losses.[24] The HP Board of Directors asked Fiorina to step down in 2005, and she resigned on
February 9, 2005.

2000s[edit]

A sign marking the entrance to the HP corporate headquarters in Palo Alto, California, 2006

Hewlett-Packard Deskjet 3845printer

HP Presario F700 F767CL

iPAQ h4150 Pocket PC from 2003

iPAQ 112 Pocket PC from 2008

HP stock price since 2000.

On September 3, 2001, HP announced that an agreement had been reached with Compaq to merge
the two companies.[25] In May, 2002, after passing a shareholder vote, HP officially merged with
Compaq. Prior to this, plans had been in place to consolidate the companies' product teams and
product lines.[26]
In 1998, Compaq had already taken over Digital Equipment Corporation. HP therefore still offers
support for the former Digital Equipment products PDP-11, VAX and AlphaServer.
The merger occurred after a proxy fight with Bill Hewlett's son Walter, who objected to the merger.
Compaq itself had bought Tandem Computers in 1997 (which had been started by ex-HP
employees), and Digital Equipment Corporation in 1998. Following this strategy, HP became a major
player in desktops, laptops, and servers for many different markets. After the merger with Compaq,
the new ticker symbol became "HPQ", a combination of the two previous symbols, "HWP" and
"CPQ", to show the significance of the alliance and also key letters from the two companies HewlettPackard and Compaq (the latter company being famous for its "Q" logo on all of its products.)
In 2004, HP released the DV 1000 Series, including the HP Pavilion dv 1658 and 1040 two years
later in May 2006, HP began its campaign, The Computer is Personal Again. The campaign was
designed to bring back the fact that the PC is a personal product. The campaign utilized viral
marketing, sophisticated visuals, and its own website (www.hp.com/personal). Some of the ads
featured Pharrell,Petra Nemcova, Mark Burnett, Mark Cuban, Alicia Keys, Jay-Z, Gwen Stefani,
and Shaun White.[citation needed]
On May 13, 2008, HP and Electronic Data Systems (EDS) announced[27] that they had signed a
definitive agreement under which HP would purchase EDS. On June 30, HP announced [28] that the
waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 had expired. "The
transaction still requires EDS stockholder approval and regulatory clearance from the European
Commission and other non-U.S. jurisdictions and is subject to the satisfaction or waiver of the other
closing conditions specified in the merger agreement." The agreement was finalized on August 26,
2008, and it was publicly announced that EDS would be re-branded "EDS an HP company." As of
September 23, 2009, EDS is known as HP Enterprise Services.
On November 11, 2009, 3Com and Hewlett-Packard announced that Hewlett-Packard would be
acquiring 3Com for $2.7 billion in cash.[29] The acquisition is one of the biggest in size among a series
of takeovers and acquisitions by technology giants to push their way to become one-stop shops.
Since the beginning of the financial crisis in 2007, tech giants have constantly felt the pressure to
expand beyond their current market niches.Dell purchased Perot Systems recently to invade into the
technology consulting business area previously dominated by IBM. Hewlett-Packard's latest move
marked its incursion into enterprise networking gear market dominated by Cisco.

2010s[edit]

A Hewlett-Packard Mini 1000netbook computer, a type of notebook computer

On April 28, 2010, Palm, Inc. and Hewlett-Packard announced that HP would buy Palm for
$1.2 billion in cash and debt.[30] Before this announcement, it was rumored that
either HTC, Dell, RIM or HP would buy Palm. Adding Palm handsets to the HP product line created
some overlap with the iPAQseries of mobile devices but was thought to significantly improve HP's
mobile presence as iPAQdevices had not been selling well. Buying Palm gave HP a library of
valuable patents, as well as the mobile operating platform known as webOS. On July 1, 2010, the
acquisition of Palm was final.[31]The purchase of Palm, Inc.'s webOS began a big gamble to build
HP's own ecosystem.[32] On July 1, 2011, HP launched its first tablet named HP TouchPad,
bringing webOS to tablet devices. On September 2, 2010, HP won its bidding war for 3PAR with a
$33 a share offer ($2.07 billion) which Dell declined to match. After HP's acquisition of Palm, it
phased out the Compaq brand.
On August 6, 2010, CEO Mark Hurd resigned amid controversy and CFO Cathie Lesjak assumed
the role of interim CEO. Hurd had turned HP around and was widely regarded as one of Silicon
Valley's star CEOs, but was accused of sexual harassment against a colleague. Although the
allegations were deemed baseless, the investigation led to questions concerning between $1000
and $20000 of his private expenses and his lack of disclosure related to the friendship. [33][34] Some
observers have argued that Hurd was innocent, but the board asked for his resignation to
avoid negative PR.[35] Public analysis was divided between those who saw it as a commendable
tough action by HP in handling expenses irregularities, and those who saw it as an ill-advised, hasty
and expensive reaction, in ousting a remarkably capable leader who had turned the business
around.[33][34][36] Shares of HP dropped by 8.4% in after-hours trading, hitting a 52-week low with $9
billion in market capitalization shaved off.[37] Larry Ellison publicly attacked HP's board for his ousting.
[38]

On September 30, 2010, Lo Apotheker was named as HP's new CEO and President.[39] Apotheker's
appointment sparked a strong reaction from Oracle chief executive Larry Ellison,[40] who complained
that Apotheker had been in charge of SAP when one of its subsidiaries was systematically stealing
software from Oracle. SAP accepted that its subsidiary, which has now closed, illegally accessed
Oracle intellectual property.[41] Following Hurd's departure, HP was seen by the market as
problematic, with margins falling and having failed to redirect and establish itself in major new
markets such as cloud and mobile services.[citation needed] Apotheker's strategy was broadly to aim at
disposing of hardware and moving into the more profitable software services sector. On August 18,
2011, HP announced that it would strategically exit the smartphone and tablet computerbusiness,
focusing on higher-margin "strategic priorities of Cloud, solutions and software with an emphasis on
enterprise, commercial and government markets"[42] They also contemplated selling off their personal
computer division or spinning it off into a separate company,[43] quitting the 'PC' business, while

continuing to sell servers and other equipment to business customers, was a strategy already
undertaken by IBM in 2005.[44]
HP's stock continued to drop, by about a further 40% (including 25% on one day, 19 August 2011),
after the company abruptly announced a number of decisions: to discontinue its webOS device
business (mobile phones and tablet computers), the intent to sell its personal computer division (at
the time HP was the largest personal computer manufacturer in the world), and to acquire British big
data software firm Autonomy for a 79% premium, seen externally as an "absurdly high" price[45] for a
business with known concerns over its accounts.[46] Media analysts described HP's actions as a
"botched strategy shift" and a "chaotic" attempt to rapidly reposition HP and enhance earnings that
ultimately cost Apotheker his job.[45][47][48] The Autonomy acquisition had been objected to even by HP's
own CFO.[49][50]:36
On September 22, 2011, the HP Board of Directors fired Apotheker as chief executive, effective
immediately, and replaced him with fellow board member and former eBay chiefMeg Whitman,
[51]
with Raymond J. Lane as executive chairman. Though Apotheker served barely ten months, he
received over $13 million in compensation.[52] HP lost more than $30 billion in market capitalization
during his tenure. Weeks later, HP announced that a review had concluded their PC division was too
integrated and critical to business operations, and the company reaffirmed their commitment to the
Personal Systems Group.[53] A year later in November 2012 wrote-down almost $9 billion related to
the Autonomy acquisition (see below: Takeover of Autonomy), which became the subject of intense
litigation as HP accused Autonomy's previous management of fraudulently exaggerating Autonomy's
financial position and called in law enforcement and regulators in both countries, and Autonomy's
previous management accused HP of "textbook"obfuscation and finger pointing to protect HP's
executives from criticism and conceal HP culpability, their prior knowledge of Autonomy's financial
position, and gross mismanagement of Autonomy after acquisition. [50]:6
On March 21, 2012, HP said its printing and PC divisions would become one unit headed by Todd
Bradley from the PC division. Printing chief Vyomesh Joshi is leaving the company.[54]
On May 23, 2012, HP announced plans to lay off approximately 27,000 employees, after posting a
profit decline of 31% in the second quarter of 2012. [55] The profit decline is on account of the growing
popularity of smart phones, tablets, and other mobile devices, that has slowed the sale of personal
computers.[56]
On May 30, 2012, HP unveiled its first net zero energy data center. HP data center plans to use solar
energy and other renewable sources instead of traditional power grids. [57]
On July 10, 2012, HP's Server Monitoring Software was discovered to have a previously unknown
security vulnerability.[58] A security warning was given to customers about two vulnerabilities, and
a patch released.[59] One month later HP's official site of training center was hacked and defaced by a
Pakistani hacker known to as 'Hitcher' to demonstrate a web vulnerability.[60]
On September 10, 2012, HP revised their restructuring figures; they are now cutting 29,000 jobs. HP
had already cut 3,800 jobs around 7 percent of the revised 29,000 figure as of July 2012. [61]
On December 31, 2013, HP revised the amount of jobs cut from 29,000 to 34,000 up to October
2014. The current amount of jobs cut until the end of 2013 was 24,600.[62][63][64]At the end of 2013 the
company had 317,500 employees. On May 22, 2014 HP announced it would cut a further 11,000 to
16,000 jobs, in addition to the 34,000 announced in 2013. "We are gradually shaping HP into a more
nimble, lower-cost, more customer and partner-centric company that can successfully compete
across a rapidly changing IT landscape," CEO Meg Whitman said at the time. [65]
In June 2014, during the HP Discover customer event in Las Vegas, Meg Whitman and Martin Fink
announced a project for a radically new computer architecture called The Machine. Based
on memristors and silicon photonics, The Machine is supposed to come in commercialization before
the end of the decade, meanwhile representing 75% of the research activity in HP Labs. [66]

On October 6, 2014, Hewlett Packard announced it was planning to break into two separate
companies, separating its personal-computer and printer businesses from its technology services.
The split, which was first reported by The Wall Street Journal and confirmed by other media, will
result in two publicly traded companies: Hewlett-Packard Enterprise and HP, Inc. Meg Whitman will
serve as chairman of HP, Inc. and CEO of Hewlett-Packard Enterprise, Patricia Russo will be
chairman of the enterprise business, and Dion Weisler will be CEO of HP, Inc. The split is expected
to be completed by the end of fiscal year 2015, in October 2015. [67][68][69]
On October 29, 2014, Hewlett-Packard announced their new Sprout personal computer.[70]

Facilities[edit]

The research center of Hewlett-Packard in the Paris-Saclay cluster, France.

HP's global operations are directed from its headquarters in Palo Alto, California, USA. Its U.S.
operations are directed from its facility inunincorporated Harris County, Texas, near Houston. Its
Latin America offices in unincorporated Miami-Dade County, Florida, U.S., nearMiami and
in Medelln, Colombia. Its Europe offices are in Meyrin, Switzerland, near Geneva, but it has also a
research center in theParis-Saclay cluster, 20 km in the south of Paris, France. Its Asia-Pacific
offices are in Singapore.[71][72][73][74][73][75][76]
It also has large operations in Austin, Texas, Boise, Idaho; Roseville, California; Fort Collins,
Colorado; Vancouver, Washington; San Diego; Tulsa, Oklahoma; and Plano, Texas (the former
headquarters of EDS, which HP acquired). In the UK, HP is based at a large site inBracknell,
Berkshire with offices in various UK locations, including a landmark office tower in London, 88 Wood
Street. Its recent acquisition of 3Com will expand its employee base to Marlborough, Massachusetts.
[77]
The company also has a large workforce and numerous offices at Bangalore, India, to address
their back end and IT operations. MphasiS, which is headquartered at Bangalore, also enabled HP
to increase their footprint in the city as it was a subsidiary of EDS which the company acquired.

Products and organizational structure[edit]

HP office in Japan

HP produces lines of printers, scanners, digital cameras, calculators, PDAs, servers, workstation
computers, and computers for home and small-business use; many of the computers came from the
2002 merger with Compaq. HP as of 2001 promotes itself as supplying not just hardware and
software, but also a full range of services to design, implement, and support IT infrastructure.
HP's Imaging and Printing Group (IPG) is "the leading imaging and printing systems provider in the
world for printer hardware, printing supplies and scanning devices, providing solutions across
customer segments from individual consumers to small and medium businesses to large
enterprises".[78] Products and technology associated with IPG include:

Inkjet and LaserJet printers

consumables and related products

Officejet all-in-one multifunction printer/scanner/faxes

Designjet and Scitex Large Format Printers

Indigo Digital Press

HP Web Jetadmin printer management software

HP Output Management suite of software

LightScribe optical recording technology

HP Photosmart digital cameras and photo printers

HP SPaM

Snapfish by HP, a photo sharing and photo products service.

On December 23, 2008, HP released iPrint Photo for iPhone, a free downloadable software
application that allows the printing of 4" x 6" photos.[79]
HP's Personal Systems Group (PSG) claims to be "one of the leading vendors of personal
computers ("PCs") in the world based on unit volume shipped and annual revenue." [78]PSG deals
with:

business PCs and accessories

consumer PCs and accessories, (e.g., HP Pavilion, Compaq Presario, VoodooPC)

handheld computing (e.g., iPAQ Pocket PC)

digital "connected" entertainment (e.g., HP MediaSmart TVs, HP MediaSmart Servers, HP

MediaVaults, DVD+RW drives)

HP resold the Apple iPod until November 2005.[78]

HP Enterprise Business (EB) incorporates HP Technology Services, Enterprise Services (an

amalgamation of the former EDS, and what was known as HP Services), HP Enterprise Security
Services oversees professional services such as network security, information security and
information assurance/ compliancy, HP Software Division, and Enterprise Servers, Storage and
Networking Group (ESSN). The Enterprise Servers, Storage and Networking Group (ESSN)
oversees "back end" products like storage and servers. HP Networking (former ProCurve) is
responsible for the NW family of products. They are a business unit of ESSN.

An HP camera with an SDIOinterface, designed for use in conjunction with a Pocket PC

HP Software Division is the company's enterprise software unit. For years,[when?] HP has produced and
marketed its brand of enterprise-management software, HP OpenView. From September 2005 HP
purchased several software companies as part of a publicized, deliberate strategy to augment its
software offerings for large business customers.[80] HP Software sells several categories of software,
including:

business service management software

application lifecycle management software

mobile apps

big data and analytics

service and portfolio management software

automation and orchestration software

enterprise security software

ArcSight

Fortify Software

Atalla

TippingPoint

HP Software also provides software as a service (SaaS), cloud computing solutions, and software
services, including consulting, education, professional services, and support.
HP's Office of Strategy and Technology[81] has four main functions:
1. steering the company's $3.6 billion research and development investment
2. fostering the development of the company's global technical community
3. leading the company's strategy and corporate development efforts,[82]
4. performing worldwide corporate marketing activities
Under the Office of Strategy and Technology comes HP Labs, the research arm of HP. Founded in
1966, HP Labs aims to deliver new technologies and to create business opportunities that go
beyond HP's current strategies. Examples of recent HP Labs technology includes the Memory spot
chip of 2006. HP IdeaLab further provides a web forum on early-state innovations to encourage
open feedback from consumers and the development community.[83]
HP also offers managed services by which they provide complete IT-support solutions for other
companies and organizations. Some examples of these include:

offering "Professional Support" and desktop "Premier Support" for Microsoft in

the EMEA marketplace. This is done from the Leixlip campus near Dublin, Sofia and Israel.
Support is offered on the line of Microsoft operation systems, Exchange, Sharepoint and some
office-applications.[84]

outsourced services for companies like Bank of Ireland, some UK banks, the U.S. defense
forces.

Culture[edit]
The founders, known to friends and employees alike as Bill and Dave, developed a unique
management style that came to be known as "The HP Way". In Bill's words, the HP Way is "a core
ideology ... which includes a deep respect for the individual, a dedication to affordable quality and
reliability, a commitment to community responsibility, and a view that the company exists to make
technical contributions for the advancement and welfare of humanity."[85] The following are the tenets
of The HP Way:[86]
1. We have trust and respect for individuals.
2. We focus on a high level of achievement and contribution.
3. We conduct our business with uncompromising integrity.
4. We achieve our common objectives through teamwork.
5. We encourage flexibility and innovation.

Corporate social responsibility[edit]

In July 2007, the company announced that it had met its target, set in 2004, to recycle one
billion pounds of electronics, toner and ink cartridges.[87] It has set a new goal of recycling a further
two billion pounds of hardware by the end of 2010. In 2006, the company recovered 187 million
pounds of electronics, 73 percent more than its closest competitor.[88]
In 2008, HP released its supply chain emissions data an industry first.[89]
In September 2009, Newsweek ranked HP No. 1 on its 2009 Green Rankings of America's 500
largest corporations.[90] According to environmentalleader.com, "Hewlett-Packard earned its number
one position due to its greenhouse gas (GHG) emission reduction programs, and was the first major
IT company to report GHG emissions associated with its supply chain, according to the ranking. In
addition, HP has made an effort to remove toxic substances from its products, though Greenpeace
has targeted the company for not doing better."[91]
HP took the top spot on Corporate Responsibility Magazine's 100 Best Corporate Citizens List for
2010.[92] The list is cited by PR Week as one of America's most important business rankings. HP beat
out other Russell 1000 Index companies because of its leadership in seven categories including
environment, climate changes and corporate philanthropy. In 2009, HP was ranked fifth. [93]
Fortune magazine named HP one of the World's Most Admired Companies in 2010, placing it No. 2
in the computer industry and No. 32 overall in its list of the top 50. This year in the computer industry
HP was ranked No. 1 in social responsibility, long-term investment, global competitiveness, and use
of corporate assets.[94]
In May 2011, HP released a Global Responsibility report covering accomplishments during 2010.
[95]
The report, the company's tenth, provides a comprehensive view of HP's global citizenship
programs, performance, and goals and describes how HP uses its technology, influence, and
expertise to make a positive impact on the world. The company's 2009 report won best corporate
responsibility report of the year.[96] The 2009 reports claims HP decreased its total energy use by 9
percent compared with 2008. HP recovered a total of 118,000 tonnes of electronic products and
supplies for recycling in 2009, including 61 million print cartridges. [97]
In an April 2010 San Francisco Chronicle article, HP was one of 12 companies commended for
"designing products to be safe from the start, following the principles of green chemistry." The
commendations came from Environment California, an environmental advocacy group, who praised
select companies in the Golden State and the Bay Area for their efforts to keep our planet clean and
green.[98]
In May 2010, HP was named one of the World's Most Ethical Companies by Ethisphere Institute.
This is the second year in a row HP has made the list. Ethisphere reviewed, researched and
analyzed thousands of nominations in more than 100 countries and 35 industries to create the 2010
list. HP was one of only 100 companies to earn the distinction of top winner and was the only
computer hardware vendor to be recognized. Ethisphere honors firms that promote ethical business
standards and practices by going beyond legal minimums, introducing innovative ideas that benefit
the public.[99]
HP is listed in Greenpeace's Guide to Greener Electronics that ranks electronics manufacturers
according to their policies on sustainability, energy and climate and green products. In November
2011, HP secured the 1st place (out of 15) in this ranking (climbing up 3 places) with an increased
score of 5.9 (up from 5.5). It scored most points on the new Sustainable Operations criteria, having
the best program for measuring and reducing emissions of greenhouse gases from its suppliers and
scoring maximum points for its thorough paper procurement policy.[100] In the November 2012 report,
HP was ranked second, with a score of 5.7.[101]
HP does especially well for its disclosure of externally verified greenhouse gas emissions and its
setting of targets for reducing them.[102] However, Greenpeace reports that HP risks a penalty point in
future editions due to the fact that it is a member of trade associations that have commented against
energy efficiency standards.[100]

HP has earned recognition of its work in the area of data privacy and security.[103] In 2010 the
company ranked No. 4 in the Ponemon Institute's annual study of the most trusted companies for
privacy.[104] Since 2006, HP has worked directly with the U.S. Congress, the Federal Trade
Commission (FTC), and the Department of Commerce to establish a new strategy for federal
legislation.[105] HP played a key role in work toward the December 2010 FTC report "Protecting
Consumer Privacy in an Era of Rapid Change."[106]
After winning nine straight annual "Most Respected Company in China" awards from the Economic
Observer and Peking University, HP China has added the "10 Year Contribution" award to its list of
accolades. The award aims to identify companies doing business in China with outstanding and
sustained performance in business operations, development and corporate social responsibility.[107]
In its 2012 rankings of consumer electronics companies on progress relating to conflict minerals,
the Enough Project rated HP second out of 24 companies, calling it a "Pioneer of progress". [108]

Brand[edit]

A Hewlett-Packard sponsoredPorsche 997 GT3 Cup

The company sponsored the HP Pavilion at San Jose (now SAP Center at San Jose), home to the NHL's San
Jose Sharks.

According to a BusinessWeek Study, HP was the world's 11th most valuable brand as of 2009. [109]
HP has many sponsorships. One well known sponsorship is of Walt Disney
World's Epcot Park'sMission: SPACE.[110] From 1995 to 1999, and again from 2013, HP has been the
shirt sponsor of[111] Premier League club Tottenham Hotspur F.C.[citation needed] From 1997 to 1999 they
were sponsors of Australian Football League club North Melbourne Football Club.[citation needed] They also
sponsored the BMW Williams Formula 1 team until 2005 (a sponsorship formerly held by Compaq),
and as of 2010 sponsor Renault F1.[citation needed] Hewlett-Packard also had the naming rights
arrangement for the HP Pavilion at San Jose, home of the San Jose Sharks NHL hockey team until
2013, in which the arena's naming rights were acquired by SAP AG, renaming the arena to the SAP
Center at San Jose.[112]
After the acquisition of Compaq in 2002, HP has maintained the "Compaq Presario" brand on lowend home desktops and laptops, the "HP Compaq" brand on business desktops and laptops, and
the "HP ProLiant" brand on Intel-architecture servers. (The "HP Pavilion" brand is used on home
entertainment laptops and all home desktops.)[113]
Tandem's "NonStop" servers are now branded as "HP Integrity NonStop". [114]

HP Discover customer event[edit]

In 2011, HP Enterprise Business, along with participating independent user groups, combined its
annual HP Software Universe, HP Technology Forum and HP Technology@Work into a single event,
HP Discover.[115] There are two HP Discover events annually, one for the Americas and one for
Europe, Middle East and Africa (EMEA). HP Discover 2011 Americas took place June 610, in Las
Vegas at the Venetian/Palazzo.[116] The company demonstrated the webOS TouchPad, introduced
July 1, 2011.[32][117]
The HP Discover 2011 event in EMEA took place in Vienna, Austria, on November 29 through
December 1, 2011.[118]

Controversies[edit]
Restatement[edit]
In March 2003, HP restated its first-quarter cash flow from operations, reducing it 18 percent
because of an accounting error. Actual cash flow from operations was $647 million, not $791 million
as reported earlier. HP shifted $144 million to net cash used in investing activities. [119]

Spying scandal[edit]
Main article: Hewlett-Packard spying scandal
On September 5, 2006, Shawn Cabalfin and David O'Neil of Newsweek wrote that HP's general
counsel, at the behest of chairwoman Patricia Dunn, contracted a team of independent security
experts to investigate board members and several journalists in order to identify the source of an
information leak.[120] In turn, those security experts recruited private investigators who used a spying
technique known as pretexting.[121] The pretexting involved investigators impersonating HP board
members and nine journalists (including reporters for CNET, the New York Times and the Wall
Street Journal) in order to obtain their phone records. The information leaked related to HP's longterm strategy and was published as part of a CNET article[122] in January 2006. Most HP employees
accused of criminal acts have since been acquitted. [123]

Hardware[edit]
In November 2007, Hewlett-Packard released a BIOS update covering a wide range of laptops with
the intent to speed up the computer fan as well as have it run constantly, whether the computer was
on or off.[124] The reason was to prevent the overheating of defective NVIDIA graphics processing
units (GPUs) that had been shipped to many of the original equipment manufacturers, including
Hewlett-Packard, Dell, and Apple.[125] The defect concerned the new packaging material used by
NVIDIA from 2007 onwards in joining the graphics chip onto the motherboard, which did not perform
well under thermal cycling and was prone to develop stress cracks effectively severing the
connection between the GPU and the motherboard, leading to a blank screen. [126] In July 2008, HP
issued an extension to the initial one-year warranty to replace the motherboards of selected models.
[127]
However this option was not extended to all models with the defective NVIDIA chipsets despite
research showing that these computers were also affected by the fault.[128] Furthermore the
replacement of the motherboard was a temporary fix, since the fault was inherent in all units of the
affected models from the point of manufacture, including the replacement motherboards offered by
HP as a free 'repair'.[129][130] Since this point, several websites have been documenting the issue, most
notably www.hplies.com,[131] a forum dedicated to what they refer to as Hewlett-Packard's "multimillion dollar cover up" of the issue, and www.nvidiadefect.com, which details the specifics of the
fault and offers advice to the owners of affected computers. There have been several small-claims
lawsuits filed in several states, as well as suits filed in other countries. Hewlett-Packard also faced a
class-action lawsuit in 2009 over its i7 processor computers. The complainants stated that their
systems locked up within 30 minutes of powering on, consistently. Even after being replaced with
newer i7 systems, the lockups continued.[132]

Lawsuit against Oracle[edit]

On June 15, 2011, HP filed a lawsuit in California Superior Court in Santa Clara, claiming that Oracle
Corporation had breached an agreement to support the Itaniummicroprocessor used in HP's highend enterprise servers.[133] On June 15, 2011, HP sent a "formal legal demand" letter to Oracle in an
attempt to force the world's No. 3 software maker to reverse its decision to discontinue software
development on Intel Itanium microprocessor.[134]
On August 1, 2012, HP released the following statement after winning the court ruling in Itanium
Litigation:
The Court ordered and declared as follows:
1. In this action for declaratory relief, the Court finds in favor of HP and against Oracle on both
the breach of contract and promissory estoppel causes of action brought by HP.
2. The Settlement and Release Agreement entered into by HP, Oracle and Mark Hurd on
September 20, 2010, requires Oracle to continue to offer its product suite on HP's Itaniumbased server platforms and does not confer on Oracle the discretion to decide whether to do
so or not.
3. The terms "product suite" means Oracle software products that were offered on HP's
Itanium-based servers at the time Oracle signed the September 20, 2010 Settlement and
Release Agreement, including any new releases, versions or updates of those products.
4. Oracle's obligation to continue to offer its products on HP's Itanium-based server platforms
lasts until such time as HP discontinues the sales of its Itanium-based servers.
5. Oracle is required to port its products to HP's Itanium-based servers without charge to HP.

Takeover of Autonomy[edit]
See also: Autonomy Corporation Hewlett Packard
In November 2012, HP recorded a writedown of around $8.8 billion related to its acquisition a year
earlier of the UK based Autonomy Corporation PLC. HP accused Autonomy of deliberately inflating
the value of the company prior to its takeover. The former management team of Autonomy flatly
rejected the charge.
Autonomy specialized in analysis of large scale unstructured "big data", and by 2010 also the UK's
largest and most successful[47] software business. It maintained an
aggressively entrepreneurial marketing approach, and controls described as a "rod of iron", which
was said to include zero tolerance and firing the weakest 5% of its sales force each quarter,
while cosetting the best sales staff "like rock stars".[49]
At the time, HP had fired its previous CEO for expenses irregularities a year ago, and appointed Lo
Apotheker as CEO and President. HP was seen as problematic by the market, with margins falling
and having failed to redirect and establish itself in major new markets such as cloud and mobile
services. Apotheker's strategy was to aim at disposing of hardware and moving into the more
profitable software services sector.
As part of this strategy, Autonomy was acquired by HP in October 2011. HP paid $10.3 billion for
87.3% of the shares, valuing Autonomy at around $11.7 billion (7.4 billion) overall, a premium of
around 79% over market price. The deal was widely criticized as "absurdly high", a "botched strategy
shift" and a "chaotic" attempt to rapidly reposition HP and enhance earnings,[45][47][48] and had been
objected to even by HP's own CFO.[49][50]:36 Within a year, Apotheker himself had been fired,
major culture clashes became apparent and HP had written off $8.8 billion of Autonomy's value.[49]

HP claim this resulted from "accounting improprieties, misrepresentations and disclosure failures" by
the previous management, who in turn accuse HP of a "textbook example ofdefensive stalling" [50]:6 to
conceal evidence of its own prior knowledge and gross mismanagement and undermining of the
company, noting public awareness since 2009 of its financial reporting issues [50]:3 and that even
HP's CFO disagreed with the price paid.[49][50]:36 External observers generally state that only a small
part of the write-off appears to be due to accounting mis-statements, and that HP had overpaid for
businesses previously.[49][135]
The Serious Fraud Office (United Kingdom), and the U.S. Securities and Exchange
Commission joined the FBI in investigating the potential anomalies. HP incurred much damage with
its stock falling to decades' low.[136][137][138] Three lawsuits were brought by shareholders against HP, for
the fall in value of HP shares. In August 2014 a United States district court judge threw out a
proposed settlement, which Autonomy's previous management had argued would be collusive and
intended to divert scrutiny of HP's own responsibility and knowledge, by essentially engaging the
plaintiff's attorneys from the existing cases and redirecting them against the previous Autonomy
vendors and management, for a fee of up to $48 million, with plaintiffs agreeing to end any claims
against HP's management and similarly redirect those claims against the previous Autonomy
vendors and management.[139][140] In January 2015 the SFO closed its investigation as the likelihood of
a successful prosecution was low. [141] The dispute is still being litigated in the US, and is being
investigated by the UK and Ireland Financial Reporting Council.

Bribery[edit]
On April 9, 2014, an administrative proceeding before Securities and Exchange Commission was
settled by HP consenting to an order acknowledging that HP had violated theForeign Corrupt
Practices Act (FCPA) when HP subsidiaries in Russia, Poland, and Mexico made improper payments
to government officials to obtain or retain lucrative public contracts.[142]
The SEC's order finds that HP's subsidiary in Russia paid more than $2 million through agents and
various shell companies to a Russian government official to retain a multi-million dollar contract with
the federal prosecutor's office. In Poland, HP's subsidiary provided gifts and cash bribes worth more
than $600,000 to a Polish government official to obtain contracts with the national police agency. And
as part of its bid to win a software sale to Mexico's state-owned petroleum company, HP's subsidiary
in Mexico paid more than $1 million in inflated commissions to a consultant with close ties to
company officials, and money was funneled to one of those officials. HP agreed to pay $108 million
to settle the SEC charges and a parallel criminal case.[143][144][145]

Divestment from HP regarding involvement in Israeli occupation and blockade

of Palestinian territories[edit]
On June 20, 2014, the Presbyterian Church voted to divest from Hewlett-Packard and two other
American companies, Caterpillar and Motorola Solutions.[146][147][148][149]
The advisory opinion of the Presbyterian Peace Fellowship, which recommended divestment, cited
HP's involvement in assisting Israel in maintaining the occupation of the Palestinian West Bank and
human rights abuses of the Palestinians in the West Bank and the Gaza strip through its hardware
and information technology support to the Israeli military and settlements. [150]

Notable people[edit]

Michael Capellas (Compaq CEO/Chairman HP President)[151]

Steve Jobs (Apple Inc. founder, CEO until his death in 2011)[152]

Steve Wozniak [153]

Tom Perkins
Matt Shaheen, management consultant executive at HP Enterprise
Services in Plano, Texas; Republican member of the Texas House of Representatives
List of HP Chairmen and CEOs