iPad expected to push HP into largest quarterly loss

By , Aug 20, 2012

Could HP become the Nokia of PCs? Although the largest PC seller in the US, HP is expected to announce record-breaking quarterly losses later this week. As Nokia never could adapt to a market now dominated by smartphones, HP foresees nearly $9 billion in losses – much from the runaway adoption of Apple’s iPad.

On word that PC sales in the US were down 12.7 percent during the second quarter, HP is expected to loose between $8.5 and $8.9 billion in stock value, according to the Associated Press. Meanwhile, record iPad sales are helping Apple become the world’s most valuable company…

Indeed, if iPad sales were counted alongside computer purchases, the tablet would account for 19.4 percent of all PCs shipped, analyst firm Canalys announced. By comparison, HP would drop to No. 2, as computer sales fell 11.3 percent for a 12.5 percent piece of all PC shipments.

You may remember HP, like so many other firms, took a run at competing against the iPad. When the company bought failing Palm, the key spoil from that takeover was the webOS, which HP quickly used for its TouchPad. The TouchPad became the Edsel of iPad-killers, quickly crashing and burning in bargain basement sales.

However, that experience may not have taught HP any lessons. Reportedly, HP is mulling over whether to create a new tablet, this one based on Android. In the meantime, HP along with other PC makers, await the Oct. 26 release of Windows 8, which might allow the PC to limp along for a few more years.

  • Share:
  • Follow:
  • http://twitter.com/oneBurge Burge

    Need to make a tablet that can replace a NetBoot… Do that and there on to a winner.. When you can sync a iPhone to a tablet it will sell… But alas tablet makers make tablets that are just bigger copy’s of mp3’s/phones..

  • http://www.facebook.com/joe.jonsen Joe Jonsen

    its funny cause this goes to show hoe many folks were buying a laptop just for recreation and media consumption which is what the ipad does best..lolo.. apples has made the consumer think that laptops are for work and ipad is for play and some work too..lolol fact jis other companies need to create tablets that are almost as good as ipad but much cheaper..

  • Geeks on Hugs

    I’m more excited about mobile than anybody but, while the PC market is saturated, if you think PCs on the whole are “limping” along or will be in anywhere close to the near future you’re disconnected from reality. I’ll point that IBM is quietly reaping large profits on its mainframes. And PCs are more entrenched than mainframes ever were.