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When HP took over UK software group Autonomy the results were pretty bad. So bad, in fact that HP went into a full-blown crisis, which inspired the company to break up the two companies. This
news comes after allegations have been going back and forth between the two companies with each stating things like "fraud" and "misrepresentation" involved in the takeover with HP claiming that Autonomy overstated the number of contracts it had when the deal was being brokered.

CEO of HP Meg Whitman, whom has come under considerable fire for this whole situation, has decided to split HP's personal computers and printers business from its corporate hardware business, which has been highly profitable. Each part of the company will be worth tens of billions of dollars, though the deal itself is directed at making the large PC division easier to manage and focus on.

Whitman will take on the role of CEO of the enterprise division with Senior PC Division Executive Dion Weiser leading the PC division. In addition to that, Whitman will also be chairman of the PC division with the current Senior Independent Director, Patricia Russo, becoming chairman of the enterprise division. Some people have noted that this was the plan of Whitman's predecessor Leo Apotheker, who's idea of breaking up the two businesses was swiftly canned when Whitman took over. In addition to that, it has also been noted that both halves of the company are pretty equal in size, generating revenues of $55.9 billion last year.



HP was previously the world's biggest PC maker until Lenovo managed to snag the top spot last year. Lenovo has been increasing its presence in the American market with its low cost of production and quickly increasing technology. Whitman has had trouble finding HP's next area of growth in the computing world. Things like tablets and cloud computing have changed the face of the computing world drastically. As a result, Whitman has tried to branch HP into cloud computing, but with little success. That has also been exacerbated by her failed efforts to pull off a mega-merger with data storage giant EMC Corp.

SEE ALSO: Lenovo & Ashton Kutcher Are Giving Us A Tablet With A Built-In Pico Projector!

Whitman is looking at the need to not only cut costs due to the falling sales of traditional PCS. What's more is that Whitman and HP are also dealing with the need to cut tens of thousands of staff members around the world. The decision by HP to divide the two companies will likely be seen as positive by those on Wall Street due to the fact that investors have been demanding sprawling companies with diverse interests break up into smaller divisions that are easier to value and easier for management teams to oversee.

Recent news on PCs have been mostly negative with most people in the tech industry saying that the PC is dead, due in large part to the incredible rise of the tablet PC. Many people have been saying that tablets are killing the PC business and that it is only a matter of time before tablets completely make PCs obsolete. However, recent reports are suggesting that tablets may actually be boosting the rate at which consumers appreciate their PCs.

Personal computer satisfaction increased by 2.6% this year, giving it a record high score of 80 on the American Consumer Satisfaction Index (ASCI). According to the index, the reason for this satisfaction increase is probably due to rise in tablet use among consumers.

When you think about it, this seems a little contradictory, though ASCI founder Claes Fornell has a theory. Fornell's theory is that when unsatisfied PC users move to Apple and other tablet makers, only the most loyal and happy users are left using traditional PCs, such as Dell, HP and Acer computers. That actually makes a lot of sense. If all the unsatisfied people switch to tablets, then only the happy and satisfied customers are left to take the surveys.

There may be an additional reason that tablet growth has increased PC customer satisfaction. Tablets typically server as an ancillary device, meaning they are viewed as second in importance to a PC. If this is true then tablets, instead of taking the place of a PC, are used solely for the tasks that they are best at, like surfing the internet, watching movies or checking Facebook. This leaves PC users fully aware of everything that their PC offers and everything that their tablet doesn't, further increasing their satisfaction.

Source: PC World - Tablets might actually be increasing PC customer satisfaction