Time Is Needed For HP To Make Software

Published:2011/5/16 4:20:00 Author:Li xiao na From:SeekIC

The department head of IBM Mike Daniels maintained that IBM was getting ahead of the HP for many years in the aspect of software and service business. The software and service business are needed when an information technology company is established. From the aspect of competition, HP only has the service, and its software has small scale. Steven A. Mills, the Senior Vice President of HP, points out that HP pays much attention to the personal computer market. The PC market is really big, but the profit is very small.

HP has also realized the importance of software in the future business and had the similar ideas. HP attached much importance to the quantity and ignored the value. To change a direction that that has lasted for decades is very difficult. It not means that the HP can not make the software, but this way must be very hard to go. Two months ago, HP has published a new strategy, declaring that its business will convert to the mobile internet and cloud computing type. HP will move all the products including the server, personal computer, mobile terminal, printer and software to the computing platform to raise the position in the software field.

Steven A. Mills says that the earnings of this business have only increased three times from the year of 1988. We can find that the software is very hard to run. Steven A. Mills maintains that HP has more and more price war, and hope to locate itself as a competitor of low cost. However, IBM continues to invest in the technology; IBM is the solution-oriented company, which has the higher profit. When it comes to Oracle which is another competitor, its earning is equivalent to IBM. In the aspect of product, IBM regards Oracle as its biggest competitor. IBM fully concentrates on the customers, but Oracle concentrates on the competitor. IBM continues to invest on the technology, and it will have more merger and acquisition in the future. The goal of IBM is to provide the customers with more complete solutions, which conforms to the large developing direction. The related integrated circuit is eZ80F92.

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