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Original URL: http://www.channelregister.co.uk/2013/02/20/whitman_on_dell_buy_out/

HP CEO talks up uncertainty in Dell buy-out

If anyone knows about instability, it's Whitman

By Paul Kunert in Las Vegas

Posted in Business, 20th February 2013 20:09 GMT

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HP's self appointed turnaround queen Meg Whitman reckons that Dell's move to go private again [1] will create a period of uncertainty for the customers and channel partners.

And who can blame her for putting the hammer down on her rival? Dell waded with some barbed comments [2] when HP's hapless homer CEO Leo Apotheker publicly stated that the company was reviewing future ownership [3] of the PC business.

Whitman, who replaced Apotheker and decided to keep hold [4] of Personal Systems division, knows only too well the impact of dealing with the fallout of a major boob.

She told the audience at the Global Partner Conference that when question marks hang over the direction of a business, it "creates a hesitancy to buy".

This was evident in analyst shipment numbers [5] in the wake of Apotheker's gaff, certainly in the UK when HP's market share of distributor shipments and revenues went backwards.

"When a company like Dell creates a buy-out scenario, it creates a phase of instability. We are coming out of that instability," said Whitman.

HP certainly seems to be more on the front foot, taking the unusual steps of criticising rivals on a public stage.

"Want to take advantage of the opportunity to tell out story of our innovation, customer support and services innovation - my personal view is that it [Dell's scenario] is an opportunity," Whitman added.

The Texan PC baron is already feeling a little bruised after reporting some pretty nasty results [6] for its fiscal 2013 ended 1 February, certainly in its classic PC biz.

The progress HP is making will become more apparent when HP releases its fiscal Q1 number on 21 February. ®