Mismatched Strengths and Weaknesses Require Reorganization for Success
Much like Dustin Hoffman and Katherine Ross in the final scene of 'The Graduate, HP and Palm have now boarded a bus speeding toward uncertainty'and in the most competitive of markets.
While HP's deep pockets will give Palm some short-term financial breathing room, the acquisition doesn't provide a quick or easy fix to Palm's limited device portfolio, mediocre sales or limited ecosystem. HP's substantial enterprise presence provides some promise for improved future distribution into the business market, but Palm's device portfolio has been geared to consumers and will need to be substantially redesigned.
The gem of this marriage continues to be the innovative Palm webOS, but with new OS updates from Research In Motion (RIM), Microsoft and Symbian, as well as continued growth of the Apple and Android platforms, the Palm OS bride has a narrow chance of becoming the belle of the ball. This report provides a strengths, weaknesses, opportunities and threats (SWOT) analysis for the new company (see Exhibit 1).
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HP Acquires Palm in a Risky Move to Break into the Advanced OS Market
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HP Acquires Palm in a Risky Move to Break into the Advanced OS
Market
Published on April 2010
Report Summary
Mismatched Strengths and Weaknesses Require Reorganization for Success
Much like Dustin Hoffman and Katherine Ross in the final scene of 'The Graduate, HP and Palm have now boarded a bus speeding
toward uncertainty'and in the most competitive of markets.
While HP's deep pockets will give Palm some short-term financial breathing room, the acquisition doesn't provide a quick or easy fix
to Palm's limited device portfolio, mediocre sales or limited ecosystem. HP's substantial enterprise presence provides some promise
for improved future distribution into the business market, but Palm's device portfolio has been geared to consumers and will need to
be substantially redesigned.
The gem of this marriage continues to be the innovative Palm webOS, but with new OS updates from Research In Motion (RIM),
Microsoft and Symbian, as well as continued growth of the Apple and Android platforms, the Palm OS bride has a narrow chance of
becoming the belle of the ball. This report provides a strengths, weaknesses, opportunities and threats (SWOT) analysis for the new
company (see Exhibit 1).
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