HP has decided to keep its PC business. The company announced in August that it would look at 'strategic alternatives' for its Personal Systems Group, at the same time as it halted production of mobile phones. This was expected to lead to a spin-off or sale of the PC division. The new CEO Meg Whitman, appointed last month, said the company has now decided that "keeping PSG within HP is right for customers and partners, right for shareholders, and right for employees" and with the computer arm "together we are stronger". According to the company, the strategic review revealed the depth of the integration that has occurred across key operations such as supply chain, IT and procurement. It also detailed the significant extent to which PSG contributes to HP's portfolio and overall brand value. Finally, it showed that the cost to recreate these in a standalone company outweighed any benefits of separation. HP's computer division is the world's largest manufacturer of personal computers, with revenues totaling USD 40.7 billion for fiscal year 2010.
