Why is HP killing its webOS tablet and hoping to spin-off its PC business? Apple. During HP's quarterly earnings call with reporters and analysts on Thursday afternoon, company CEO Leo Apotheker explained the company's unexpected about-face with an admission that may seem paradoxical on the surface, but ultimately makes perfect …
What happens to WebOS which, by many accounts, was actually pretty damn good software.
but 3 years too late and lack of apps. Just like Windows Phone 7.....
Windows Phone 7/7.5 is the next trainwrek lining up...
So this is how the story of Palm OS ends
It's a crap and unworthy ending for an OS that deserved better.
For all m$ faults
And there are many.
Giving up at the first hurdle like a little school boy is not one of them.
Win mob achieved a small but significant Market share. Winpho can regain it over time.
M$ have far more tenacity than HP have ever shown.
OTOH, there are times when you realize "Dang, we're beat." My dad related this to me once by telling me about his first high school basketball game, against Crispus Attucks High, when he had to guard some scrawny kid named Oscar Robertson.
OS closeness might be the culprit
HP Should've opened WebOS like MeeGo.
Interestingly, tt is reported that HP to lower down their prices significantly. I do not see it in BestBuy.
Moreover, there are two HP tabs differing in $100 - $399 and $499 ,resp. One would ask what is different in the hardware? I can only see 16Gb vs. 32Gb drive . That is why no one wants an HP tab!
MS$ has more tenacity than hp?
Say what - just look a the products (perfectly usable) that lies scattered and broken in the SM$ wake - they are notorious for killing off products rather quickly
Should have fired Apotheker for purchasing Palm
Should have fired Fiorina for purchasing Compaq
That's not an investment they did, they threw their money outside of the window... clueless and no ball as usual in such a big company....
Apotheker didn't purchase Palm
He's been CEO at GP since September last year, having moved over from SAP. Palm were acquired by HP in July last year.
Has Apotheker's speech been translated from another language?
"There’s a clear secular movement in the consumer PC space" - I really don't understand what that means.
Has it been (badly) translated from another language, am I just too ignorant to be worth HP communicating with, or does it make Leo Apotheker a bit of a pseud?
Sounds like business speak (typically backed by some equally incomprehensible and too simplified Powerpoint slides). Given Leo Apotheker's origin it may well be translated directly from German business speak.
Thanks for the memories that word brought back.
I think he means gizmos are subject to the vagaries of fashion and HP are not fashionable. - worthy of a NoShitSherlock icon.
What he means is that buyers of computing devices are no longer sticking to the old religion of PCs and Laptops. They are moving to tablets.
"There’s a clear secular movement in the consumer PC space"
Translates as "People don't want tablets, they want iPad's"
It's the original English meaning
now a little historical: 'once in a lifetime/century/age'. Remember that Apotheker is not a native English speaker and was therefore (I imagine) taught to speak the language 'correctly'.
Here's a dictionary
No, maybe and definitely
I think in non-bullshit it means that people don't particularly care which brand of PC they buy - they've "lost faith" in any one particular brand and aren't swayed by "big names" like HP any more.
"Brand-agnostic" would probably be closer to what I think he meant. Religion and religious metaphors seem to permeate US culture for some reason...
secular = non-religious
Apple is often lazily referred to as a religion, and Apple is the only tech company that I've seen references to in Apotheker's quotes about this part of HPs business so far. So assuming it *has* been translated correctly, perhaps he's admitting that the shift he refers to is taking place not because of blind religious zeal for Apple - which variously gets explained away as "better marketing" - but because Apple actually are producing better products...?
I think he's using "secular" in the sense it's used by astronomers: a slow, underlying trend. For example, the earth's orbit can be decomposed into assorted cyclical components and a secular trend.
And I've seen economists use it in much the same way.
So I guess he's saying the same about the PC market: there is an underlying trend away laptops and desktops towards iPads.
"secular movement in the consumer PC space" means there has been a long term change in consumer preference in computers. I'm using wikipedia here, but still.
He is using marketing jargon, but the words he is using do have meaning. It's allowed, just like IT jargon.
Get a dictionary and lrn2english
Secular means, amongst other things, an event that lasts a long time or that happens, or is celebrated, once within a century (or other long period).
What Apothekar means is that, within the consumer PC space, there is a movement that is at once long-term, highly notable and has nothing to do with relig- wait...
Translated badly? Or just pointless?
I think the use of secular there is irrelevant, the consumer PC space is non-religious* anyway.
* I'm referring to theism
which should read
There is a clear religious movement away from the pc space. HP are in real trouble first they had a CEO who didn't understand money then a CEO who didn't understand the companies own policies , and, now a CEO who can't talk.
The long-term growth ... accounts for most secular trends in economic phenomena.
> ... a slow, underlying trend ...
> And I've seen economists use it in much the same way.
I think you nailed it:
5. Continuing over a long period of time, long-term.
The long-term growth in population and income accounts for most secular trends in economic phenomena.
on a secular basis
Well, surprise surprise
Aren't we surprised....
Half of el Reg readership pointed out how to get this done. All that HP needed to do was to ship WebOS as an optional visual shell on every PC it shipped.
As far as spinning off the PC biz, not like HP has a PC biz. Its board design has been done by Asus for ages. Ditto for a lot of he manufacturing. When you voluntarily surrender the part of your business which actually _CAN_ make a difference to someone and try to differentiate only on shop-ship spreadsheet juggling prowess you should not complain about the consequences.
Yeah! Not like they have a PC biz. They're only the market share leader. OH WAIT.
Sad and pathetic
I used to think Apple had crappy marketing ideas but they are all-stars compared to HP or Palm before them. It's pretty sad when the CEO is too clueless to figure out that failure is due to an inability to execute. The PC side would be pretty tough to differentiate but having BestBuy throw the tablet in a weekend ad flyer and dusting yourself off is the epitome of lax. Having a web site isn't enough, you can't just sit back and wait for the money to roll in even if you're on youtube.
I hate almost everything about Apple - from the way it does business to the way that they treat their company as a religion or cult (and the fact that almost everyone I know who has an Apple is a stupendiously annoying fanboi that just repeats the Apple mantra of "must be the other things fault, Apples work out of the box, they never break, they are perfect" anytime they or someone else have problems) - but I'm amazed to find anybody who says they can't do marketing.
Surely the *only* thing they can do is marketing!
That's great Eddy
You've identified how they did it wrong. It's just "inability to execute". So enlighten us, what would have worked, what should they have done to make this a success?
This should be good
Good hardware would have been a start.
Arguably webos has never had the hardware it deserved.
Stacy, I totally agree. I work for an IT distributor and around the office yesterday we were talking about how an IT firm (HP) lost to a marketing firm (Apple). Apple isn't a technology company, they are a marketing firm. They paid off enough Hollywood types for Apple to be "cool".
I can't say what would have worked but they could have tried. Here's a hint, when I drive to work in the morning there are 2-3 iPhone ads in the 35 minute ride and there is another 1 or 2 in the 45 minutes on the way back, every day. Guess how many HP or Palm ads? I haven't heard one yet and the same goes for TV, granted I'm in a fairly small market, it's called Los Angeles. I won't go into the hardware or syncing problems or small screens but yeah touchstone was nice, pity only 37 people knew about it.
Seriously, their entire youtube channel has about 1 million views and they could have gotten double that audience in the middle of a single 2 & 1/2 men episode. But... they didn't try.
HP really seem to be rudderless these days :(
Back when William Hewlett & David Packard were prominent in the company it had products and a company to look up to. But then both Hewlett & Packard were both engineers, so they knew good engineering when they saw it. But HP are now run by suits more interested in share prices and company acquisitions to artificially boost their perceived company value in the eyes of shareholders.
Its sickening that their core focus on building products is being given up because they are not run by engineers. Its hard to believe HP are giving up on technology to go over to more of less only software. So I guess they want to become another Oracle Corporation by the sounds of it?. Service industry, not engineering? How many Oracles can the fleecing service industry support?!
If HP are not careful they will throw away what good they have remaining in their company and risk becoming another sinking ship like Nokia. :(
I wonder what William Hewlett & David Packard would have made of all this. :(
HP were one of the old company names I grew up with at work and at home. They have been over the decades like a constant name to me. One of the old names, so its sad to see them in decline like this due to rudderless greedy non-technical managers who wouldn't know engineering if they fell over it. :(
They is why they are doing this, not PC decline. PC's will still be here, but I question HP's survival chances with people like this running the company.
The company you're referring to with the name "HP"
is not the real HP. Agilent is.
Not enough traction?
Yeah, well, you announce the unique phone and then don't get around to selling it for half a year. Instead you try to peddle the me-too product that nobody really cares about. Of course you fail, and you deserve to. Who does not deserve this is the people invested in webOS.
HP, you have just decided to fuck your customers, existing and potential. Prepare for them to give you the finger.
Have you ever tried to buy an HP? They have a billion different model names/umbers and figuring out which one is best suited to you is a nightmare. Check out their website, it's a disaster. I don't know if this is a sale technique kind of like Intel were they try to confuse you into being upsold. Apple doesn't have this problem, they have a small number of models so it's easy to choose.
I think you meant to say confusility.
It sad because many of these big companies think too short term. Apple spent years building the software base for their tablets and iphones. Then comes along HP, buys Palm and expect software as good as Apple in 12 months or they give up. They need to give the WebOS division their head to make the best possible software over several iterations. Not give up after 12 months. Pathetic.
Can someone provide an update I lost count on the number of bad business decisions made by HP what number are they up to now, Sure it's getting very close to the three digit mark.
It would be interesting to find out what business streams are propping up HP But I can't be arsed reading for myself. It's HP!
This is the tablet that El Reg proclaimed undying love for, right?
Are only a Speculation vehicle as they don't pay a dividend.
1990 was the time to buy them, not now when they could be near peak. Apple are actually vulnerable to change in "Fashion" and have very narrow range of product.
But I agree it's terrible:
DEC gets bought by Compaq and all the best stuff thrown away.
HP buys Compaq and seems to chuck the best Compaq and HP stuff away in the Product rationalisation.
HP was once a leading Test gear, semiconductor and optical device company. They became very successful at selling PCs and Laptops that frankly always seemed less than best.
Do they make anything in US still or is it all Foxconn or other Chinese anyway?
Obviously they think the best strategy is to copy IBM.
I have a title somewhere
So now those 250,000 odd tablets clogging up shops have become TOTALLY unsellable.
"Buy this tablet! The company that made it quit the tablet market right after!"
Worse than Nokia and Symbian
Having been given a touch tablet yesterday WTF does the future hold?
Are HP sayin sod off, can the O/S be replaced with Linux/Windows?
Great service HP.
Nokia is being hacked to death by an unimaginative boss and now the same thing is happening to HP. They are getting well paid to do it though. How do I get a job like that?
HP + WebOS
HP never really knew what to do with WebOS, I think their thought process went something like this;
1) Apple is making loads of money in tablets and phones.
2) Android is doing pretty well, but each OEM is making less money. I wonder why this is?
3) Must be because Apple both own hardware and software!
4) Hey if we buy Palm we'll have hardware and software. Then we'll be just like Apple and make loads of cash!
Hopefully they'll sell WebOS to someone else. I'm guessing some of the less-successful Android OEMs will be interested, if there's any truth to the rumour that they're wary of Google now they own Motorola.
The tablet effect is quite real
A tablet is the ultimate gizmo in the bludger's attire, right ahead of smartphone, people will always brag about the amount of (pretend) work they can now achieve on their tablet. Truth to be told most of computer users achieve sod all.
Apple just "happens" to have some classy visual designs and a very carefully designed pricing policy that makes their products a wee bit expensive but within reach of your already maxed out credit card ... which makes them even more desirable.
Not marketing alone.
There's more to it than that, you can buy marketing expertise but the product has to be good as well.
With Apple the only choice is if you want 3G or not, the storage capacity and colour of the unit.
If you go for a non-Apple tablet there's about 30 or so to choose from and if the price of the better ones is the same as the iPad then why take the risk?
Also, there's masses of applications for the iPad and what good is a computer device without software? there's hardly anything for Android that takes advantage of the tablet's larger screen and resolution. Some Android fans have even been spinning that as a good thing!
I've just returned from the US - there's been quite a bit of marketing and sales to ship the WebOS devices and at one stage I thought the deals on offer were too good to be true. It turns out, had I gone for it, I'd have invested in an obsolete platform... just as those who invested in the latest Nokia phones less than 6 months ago found. HP used to be a superb engineering company - from calculators to some of the best test kit you could buy - the appointment of a new CEO, as Nokia found, can fundamentally change the company.
El Reg and Reg readers are very critical of Apple and their customers. However, Apple must be doing something right - it's not just a few "Fanbois" buying the products. Yes, they can appear to be arrogant (I've read about the new Final Cut X) but overall they seem to be gaining market share and it can't all be about aluminium and nice looking products.
You need to remember that El Reg and the readership are essentially techies first and foremost.
Luckily for Apple, they sell to consumers. The things El Reg reading tech-heads hate about Apple products are things that normal consumers either don't care about (such as how big the spec numbers are, or how much the app developers get for each sale) or actually like (iTunes, the closed environment* etc.)
Apple marketing is amongst the best in the world, the products are intuitive and easy for non-technically-literate people to use and the Apple stores are a much better environment to buy stuff in than the alternatives (PC World through something like Maplin).
Ultimately though, the products look good and do a good job. Hell, why should all your tech kit have to look like it was designed by a 14 year old boy?
*consumers don't actually care that the environment is closed as such, just that they don't have the problems of unverified software bricking their device or serious malware problems and they like that all their purchases are made through a single, consistent interface where all they have to do is click the "buy now" button, wait for a time and then have access to whatever it was they just bought.
Maybe for a little while
Apple makes a good "first smartphone". Honestly, some never need to move beyond that. But a lot of people, after having an iphone for a couple years, find that they feel limited. And rightly so. I can tell you from experience that for those people, after ditching the Apple training wheels, and switching to Android, their general attitude toward the new OS is, "Feck Yeah! This is awesome! Apple can suck it!" I've seen this happen many times. I've also seen others who never want to let go of their iphone, mostly because they hate learning. These people generally have never fully realized what they can do with the iphone anyway, and hence, don't feel limited. To them, its a regular phone with email, music and web browsing. And very little more.
As for HP, they've put out shitty products for years, have horrible support, overcharged repair service, and generally are only good at making printers, which is the only portion of that company that deserves to survive.
They should just completely open source webOS and let people play with it. Perhaps we can succeed where they failed.