HP's Bradley Urges Board To Act Quickly In PC Spin-Off


 

"I think that board is very well aware of the success that we have had and frankly I think very confident of the success we will have," Bradley said. "A lot of this [talk] is about what has happened in the past. What I am focused on is what is going to happen in the future."

Bradley said the HP PSG spin-off is a far cry from IBM's sale of its PC business in 2005. "IBM had to sell a money-losing business," he said. "What we are creating is more shareholder value. Our ability to hopefully spin off PSG as again the largest most profitable PC company in the world that supports the largest channel in the world is an opportunity to continue to grow -- not an opportunity to retrench."

Bradley said he and his team are going on the offensive into the sales trenches to make sure that customers understand the power of a stand-alone, publicly-held PSG spin-off. "In our minds the best defense is a great offense using the old football analogy," he said.

That offense includes a television advertising blitz aimed at showcasing PSG's product innovation, along with print campaigns aimed at highlighting HP's channel partnership legacy and the financial strength of a stand-alone PSG business. HP is also working on new incentives for partners including $3,000 in free PSG technology for those partners that close $500,000 in the third fiscal quarter and who sell the same or more in the fourth quarter.

"What is going to happen soon as we complete this process is the largest PC company that is a division of the largest IT company will be a stand-alone, publicly held largest PC company in the world, over $40 billion in revenue, over $2 billion in operating profit, operations in over 170 countries," said Bradley discussing the future of the PC business. "The same people that built that huge division are going to now build an even bigger and better PC company standing on its own."

That is a message that Bradley is pushing hard to partners, particularly with a full court offensive being mounted by Dell to recruit HP partners. As for that Dell campaign, Bradley said: "I think history speaks for itself related to many of our competitors. So what has changed in the last three weeks? Our commitment to the channel hasn't changed. Our commitment to our partners hasn't changed. Our commitment to growth hasn't changed. Our supply chain hasn't changed."

Bradley said HP's sales reps and partners are battling Dell in the sales trenches. His message to his team: "If you are talking to a customer, that means Dell can't be talking to them."

NEXT: Bradley Pledges Strong HP PC Spin-Off Partner Commitment