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This Is Why Hewlett-Packard Just Fired Another 30,000
Remember when Hewlett-Packard announced it would fire 58,000 in February just so the company could spend even more billions on stock buybacks to make its shareholders filthier rich?
Alas, since then things have gone south not only for HPQ stock but also for the company's buybacks activity...
... and so Meg Whitman clearly needed to spend even more on buybacks. But where to get the money? Wait, here's an idea: lets fire another 30,000!
Sure enough, just out from Bloomberg:
- HPE CFO SEES 2.7BN RESTRUCTURING LEADING TO 25K-30K JOB CUTS
- HP: BY 2018 40% OF ES EMPLOYEES WILL BE IN HIGH-COST LOCATIONS
More details from Bloomberg on the latest restructuring bloodbath out of Hewlett-Packard :
- sees FY16 FCF $2b-$2.2b, with normalized FCF $3.7b.
- Sees FY16 adj. EPS $1.85-$1.95
- Sees FY16 operating cash flow $5b-$5.2b
- Sees cutting 25k-30k jobs as part of restructuring, with GAAP charges $2.7b
- Sees returning at least 50% of FCF to holders through ~$400m in dividends and the remaining in share repurchases
- Says will consider strategic partnerships, investments and M&A “in the right circumstances”
- Earlier, co. said sees HPE cloud rev. ~$3b in FY2015 growing over 20% with similar pace expected over next “several years”
- Said enterprise services business on target for 7%-9% oper. margin target and for reducing $1.4b in costs for 2015; sees similar cost reduction pace continuing next year
And so, dear 30,000 formerly-well paid computer engineers and technicians: welcome to the fast-food recovery. And don't forget to BTFD with all that spare cash.
Now, where is that 25bps rate hike because the economy is just too strong...
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Regarding your statement "All those engineers choosing to pursue other opportunties", we need to realize that tech in general has been very susceptible to the vagaries of government actions. Now the employment problems are due to things like globalization and H1B programs. Some 50 years ago tech - meaning science and engineering - was hit hard as the US space program wound down. Permit me this retrospective:
I graduated from a quite good school with a BS in Physics in 1968. My timing was not all that great, since that was when they stopped granting draft deferments for graduate school. I joined the Air Force, but as an enlisted airman, not an officer. Following basic training, I was sent to learn to operate PCAM operations. That's Punched Card Accounting Machines. Collators. Sorters. Interpreters. Key punches. I was in a class with nine other enlistees. One had just gotten a Masters degree in something. Eight of us had a BS in one thing or another, but all what would now be called STEM fields. The least educated only had an Associate degree. We all enlisted simply to avoid being drafted into the Marines. (Not that there's anything wrong with the Marines, but all of us proclaimed an allergy to energetic lead projectiles and acted accordingly. Going to Canada, as many did, pretty much ensured never getting a job in STEM fields later in life.) So thanks to government action (fighting in VietNam, in this case) a significant portion of educated Americans found themselves diverted from chosen career paths. (In my case, it worked out fine. I learned to program, etc., and spent a total of over 40 years in what is now called IT. I think it was called EDP when I started the trek. Somewhere along the line it became (where I worked) Management Information Systems. MIS. And finally the department became simply Information Technology. I hung an older sign next to the one saying Information Technology. Somehow MIS-Information Technology seemed appropriate.)
Then I got to my first duty assignment. It was about five months after the first moon landing, and the aerospace industry was facing cuts in government aerospace spending. I picked up a copy of an engineering journal in the base library and found an article about job cuts. There was a cartoon with two janitors, buckets at their feet and mops in their hands, standing before a blackboard filled with equations. Once was saying to the other, pointing to one section, "you can see where he made his mistake right here...". It represented two engineers who had been reduced to menial labor after losing their jobs.
So while I resent all the H1Bs coming into the US - I worked with several for the last four years of my IT career, and was not at all impressed - and despise the politicians who allow it, I know that it is not the first time American STEM grads have been put out of jobs en masse. In some ways that old saying applies: the more things change, the more they stay the same.
If you made it this far, thanks for your patience.
- Geezer, thanks for your work for our nation state. As you mention the Moon Landing, here is a link to more revelations about our "Space Program" in specifics, the Challenger Shuttle mission -
https://www.youtube.com/watch?v=JbmSFyJR5js
Get ready for some major adjustments as to our understanding of "space" and our home Plane-t Earth. The FreeMason directives and magic tricks have run the course ... time for a new game.
i can hear the training support for retrenched employees already,'now repeat after me- would you like fries or a drink with that'
Those lines are uttered by computers now, bub. Mickey-Ds has gone the route of the ATM.
I remember when it was a minute or it was free at Mc Donalds the other day it took ten damn minutes to get a quarter pounder,well at least I got $25 and change back from the $20 I gave them
TOP FIVE GUESSES AS TO THE NAME OF THE PERSON GIVING YOU THAT "CHANGE"
5) CONCHITA MARTINEZ FERNANDEZ PIOCOMO
4) SHANIQUA WASHINGTON
3) ELLEN SUE BOGARDUS
2) JIM BOB LAKE
1) TYRONE WASHINGTON, SHANIQUA'S BROTHER (SORTA)
...or Mohammed Abdullah bin Thani al Ibrahimi.
"can i have a hamburger and fries with that SHAKE-DOWN?"
Cut people to finance stawk buybacks that mask dwindling demand for actual products. Got it.
Operation Oliver Twist I say. The proverbial handbasket is stuffed to the hilt.
Those high paid central bank economists can't possibly ve wrong about the economy. HP must have made an accounting mistake ...
That company should lay off 100% of their employees.
Zing.
These job cuts will allow HP to grow faster, and then they can hire back 70,000.
Seriously though feel bad for those workers. In this environment...
It gives them free time to take a vacation to the Eccles building.
Fire 30 thousand and hire 300,000 chinese.
cosmos, Lolz, first, thought you meant the fired workers visiting the Eccles bldg would be firing 30,000 rounds inside.... !
LOL. They can be volunteer tour guides.
HP is one of the worst run corporations in the world. I know a senior engineer that just retired. He said if he were ten years younger he would have quit because anyone that works for the company outside upper management has no future.
You know one person there and extrapolate his view to conclude it's one of the worst run corporations in the world??? You must be more clairvoyant than Gartman.
Hmm so you would rather believe the unicorns and rainbows coming out of their PR department instead. Go buy their stock then if you feel its such a good buy and well run company. Join the lame pension funds buying at this very moment.
They are laying another 30,000 people. That in your book means they are doing great.
Nice of you to come to the defense of a shill's ill-advised comment with an empty counter to my calling it out. You are imagining what you believe is my point of view in order to deflect from the weak inference he made. Knock yerself out, but I didn't make any judgment about HP. If you don't believe me, please re-read my comment and highlight what part of it supports your "point."
What he says is true. I work with 2 former HP employees and know another former HP employee that say the same thing. So fuck off.
Sad. Like too many US corporations, HP has gone from being innovative and producing well made useful products to a company focused on smoke and mirrors, manipulating perception instead of actually developing and producing products. Their founders would be appalled.
MBA
30,000 green shoots, good for the economy
Bets on one of those 30k getting their shit together, finding others like Miffed's husband and starting a REAL company based on quality. Quality always pays. You might not get rich right away buy you can be proud of what you did for the day.
Funny you mentioned this! That's all he talks about. Why didn't I start my own company with a bunch of damn good programers and built something that rocked the world. No H1Bs, no corporate bullshit. Just some guys with talent, a basic hardware platform and the drive to succeed.
I think he was seduced by having so much leeway for a programmer. He often bragged to me he had his own company within a company. So, he could focus on development and let others worry about money and marketing. He now realizes he had a false freedom. I think he'd gladly go Galt now.
Miffed;-)
It's NEVER to late. Since he admits his weak points are finance and marketing he can hire some people that love to do that kind of thing. You would be surprised how cheap people will work for a company if they know that the company they work for will be THEIR company in the future. Didn't the boys over at Microsoft start out in a garage and pay their workers mostly stock rather than money? Now they are filthy rich. Wouldn't YOU like to have owned a Microsoft or Apple stock when it first came out? If your hubby talks of this tell him to pursue it. If he's serious he will find the right people and make it work. He will be happier than he has ever been in a long time and working for his family's future, not someone else's.
Just to be honest- it's A LOT of work, but endlessly rewarding! Get ready for your husband to say "Honey, not tonight, I'm just too tired!" alot.
I don't think technology start ups are possible anymore. They all want some shitty cloud based community of retards with a no revenue and no profits model.
Everything is F'ed.
Capital for anything good is probably impossible.
Yes, things are fucked up, but they are not hopeless. I don't know about you, but I'm going to fight making it work until I go down in a big ball of blue fames trying.
Not only that, but customers somehow have an insane expectation that you can find an experienced developer that's an expert in his environment and with 20 years of finance experience for 9 USD an hour. You can't find good talent that cheap anywhere on the planet. They think it can "just be outsourced to India" for pennies on the dollar and will magically work correctly somehow.
But you could get a really good expert with 20 years of experience that decides that working for "the man" to make the extra money to go on a cruise every year isn't worth it, and stick with you. Don't be so cynical, there a million opportunities out there. Granted not as many, not as lucrative, but potentially they will keep you and your family alive and living well.
Tylers,
You have this Link on the Front Page that leads to a "Page Not Found" on your site...
http://www.zerohedge.com/news/2015-09-15/hewlett-packard-fire-30000
Just like Amazon, HP will supposedly make billions in profit analyzing things in the cloud that nobody looks at and has no use to the real economy, but it makes good fodder for Power Point presentations.
I am amazed how much daily productivity goes into creating fancy charts for meetings that are meaningless to the actual business of the company.
IT'S ALL BULLSHIT!!!!!
I designed more products in one year for the small company I work for than a $15 billion corporation did throughout their entire design department employing hundreds of people. That is because 90% of their workday is spent preparing crap for meetings and they never really get anything meaningful done.
It took me one week to design a product and send it out for production branded for the company I work for, but it took six months to get the same type of product passed through the multi billion dollar corporation we license for. Because it had to pass through layer after layer of bullshit and through every level of management before it could be signed off. Then a month later somebody would change their mind in middle management and the product would need to be changed and go through the cycle all over again.
Their own bag department made six bags last year, I designed 16. Funny how I out produce a department of six people whose only job is to make bags, yet I only get paid the salary of one.
Maybe I'm just an imbecile for working hard.
You also have to add all the wasted time of employees having to sit through those presentations and the even more wasted time on Ashley Madison
'Computers' cost as much - if not more time than they save, at least in corporate settings. Used to be you'd work up 3 budget projections - expected, worst case and best case, you'd have a meeting, hash it out and decide in a week. Now you have endless alternatives, endless 'tweaking' and changes and decisions take forever, with outrageous amounts of time spent on endless 'analysis' and presentations.
EVERY VP now has an 'Administrative Assistant' whose primary job is to develop powerpoint presentations for the endless meetings that take up time - without any decisions ever being made.
Computers stop people from thinking. In ages past when you used a slide rule you had to know the order of magnitude of the end result. Now people make a mistake and come up with a ridiculous number and take it at face value because 'the computer' produced it.
Any exec worht anythign knew what a given line in their department or the total should be +or a small amount. I can't count the number of times budgets and analyses were WRONG because someone left off a few lines on a spreadsheet total.
Yes computer modeling for advanced tech and engineering is a help, CAD/CAM is great and many other applications in the tech/scientific world are a great help but letting computers loose in corporate and finance has produced endless waste AND - worsde - thigns like HFT (e.g. 'better' more effective ways to manipulate and cheat markets.
As one imbecile to another.
You gotta job, though.
This is an interesting observation. Mega corps are not efficient. They compete due to regulations and financial engineering. It will all collapse soon. Trust me.
+30,000
serious question - so you send your designed product our for production and branded for your company - how likely that during that process, now that we know via Snowden Revelations that all email & phone communications is sent to Israel first, then GCHQ/CIA/NSA, Fartbook, etc. - we see the reality in Chinese knockoffs improving everyday with quality design & manufacturing - what chance is there that you can actually protect your IP and get a product to market with a profit?
HP used to be a pretty great company. Now, there's nothing left. Virtually all of the smart people are gone to greener pastures. They're screwing up the blocks of business that they have held onto until now. Soon, they won't have any earnings at all, but there will only be 1000 shares of stock. Bullish!!!
What a joke.
R&D stopped being a thing when HP merged with Compcrap.
Solution = moar female CEO's?
Hard to say with any certainty -
I sometimes think these layoffs are partly about getting rid of the poor performers without getting sued.
I bet if you looked real close HP is still hiring people.
So they lay off 30K but hire back 20K -
And how would they hide those new costs in the restructuring plan they just announced to the world, Jethro?
I don't mean they will do this in the next 15 minutes -
How many employees do they have NOW - you think in 2 years they will have 30,000 fewer people?
No fucking way - they will cut the people now - but keep hiring.
Nothing to hide -all they will say is
We have to hire more people because of growth in the XYZ business
If you have some dead weight you want to shed - this is a way to do it -
Maybe you are all butt hurt because you just realized that all those times you were "layed off" and told it was a company wide reduction -
That in reality you were being shown the door because you are just not that smart and were considered to be dead wood.
No, this is all about making the rich richer. The shareholders only contribute tokens (US dollars, made out of thin air by private banks) to the company; the real wealth in HP is in its capital, which in this case is its people. The total pie of employed capital has shrunk by some billions, but the paper wealth saved by it will go to shareholders of HP who will merely use it as a claim on real capital/goods/services elsewhere. Nothing has been created by this firing.
A recent lay off here turned out to be quite embarrasing for Parmalat there was nobody left that knew how to properly run the place they had to rehire many ex employees as consultants-at a costly premium
Consultants don't come at that much of a premium becaue the company doesn't have to pay benefits, vacation, sick days, or payroll taxes, etc. Plus it's really easy and cheap to get rid of consultants.
Obviously, you haven't worked as a consultant. You get paid by the hour.
To clean up a mess. 100 hours a week are not uncommon. (What?, is it possible to work 100 hours a week? Yes, it is, but only for about 3 months.)
Isn't there anyone who know WTF is keeping the economy afloat?
(channelling Charlie Brown "Isn't there anyone who knows what Christmas is all about?")
Perhaps HP is simply not going going to not re-up on the H1-B Visas. Where are the lay-offs ?
HP Executives are trying hard to bring the company back to its roots:
The ability to fit into one garage...
HAHAHA!!!!! Comment of the Day!
And that garage in Palo Alto will run you about $7,000,000 these days.
LOL! So true, so true.
they can rent out a couple tents on the side of the garage, too .... no commuting costs
You are correct, HP could not really afford the garage they were formed in.....
Actually, I believe they already own it, but the point is valid....
HP was a great company when it was run by engineers and scientists. Then they bowed to diversity and financial engineering, stuffing their top executive layer with women, gays, People Of Color and spreadsheet jockeys.
MBA
Dude. I have one of those. Got it while working full time in the trucking and freight business. Got it froma third tier, real world school. We're not all jackasses. It has actually been useful for me and the companies I have worked for, but I think that had to do with the fact that I was a worker before, during and after the MBA. A lot of the new MBA's are straight through school into an internship, then MBA program and on to a managment job with no real world experience except being great at Excel and PowerPoint. Book smart, but no street smarts. Financial engineering at its finest.
Any company that hires anyone straight out of MBA school with no experience into a management position is doomed to fail.
Nortel was also run by engineers and scientists. Where are they now?
I'm not saying that engineers and scientists can't get it wrong. What I am saying is that appointing your executives on the basis of their sex, race or creed is a recipe for disaster. As is handing a technical company over to financiers. There's an important role for finance but only as a support function, not a strategic one.
Taken over by the accounting types (who couldn't even balance the books), and the rest is history.
Did they lay off any of the motherf*cking execs who have been guiding them into obllivion?
Well sort of, one of them is running for Prez.
Free to H1B, you and me.
Epson was always better IMHO
BS - I am sending this by a Kaypro Beta 25 - smoking fast
epson is great in the inkjets - but HP always kicked their ass in the Laser printer line.
Always.
edit - and I'd buy an HP inkjet over an Epson, just cause ..their photo inkjets were always rated better than HP ... But today, with color lasers going as cheap as they are, why would anyone go inkjet?
If they just let 88,000 people go....who's doing the WORK which produces the wealth?
The company I work for has 10 employees. If my boss lets, say, 7 of us go he not only becomes middle class again, but he'd probably have to perform his own labor in addition to running the show.
Yet Fiorina gets all the flak and all she did was keep then from going belly up as they were well on their way to doing when she took over.
But everyone loves Meg.
Fiorina was worth a negative 3 billion to HP.
When she was shitcanned their market cap went up by 3 billion overnight.
ALL THAT Meg Whitman needs to do ...
is to FIRE EVERYBODY !!
Then have all the products made in China, process all the sales orders in Hong Kong, and sub-contract the accounting and tax paperwork to India. Then HP can use all the profits for stock buybacks, except of course for Meg's salary ... which will keep rising astronomically!
BORROWING MONEY FOR BUYBACKS.
CASH GOING TO MANUFACTURE BULLSHIT.
Cannibalism at its best.
That's where education gets you in America.The Government sold out America's manufacturing base to Communist China who holds the debt of the USA.Who would ever guess that right-wing neo-cons(neo-nazis) running the government would sell out to communists just to get the money for war?Very weird.
"Communist"? The Chinese government, like thatof the US, never believed in worker ownership of businesses and never believed that the commerical banking system (whether owned by the state, or private corporations which act like a state) should not control money. Both countries believe in centralization of power among a few shareholders, who take the fruits of working people's labor while contributing nothing of value themselves (money being but a token that represents a claim on real capital, not capital itself.)
Management and investors ought to be separate from each other; management should be chosen by workers by universal equal vote, while a complementary investor board should be chosen by investors much as corporate boards are now. Both of these boards should be legally independent but bound organizations; the management board should run the business while the investor board should negotiate with the management board on the terms of equity issuance. No more buybacks, no more layoffs or early retirements, unless workers as a whole see a need for it to maintain the company.
The purpose of investors is to serve the real economy, not the other way round; and in turn, the purpose of the real economy is to serve humanity, not the other way around. Humans should stop being slaves to perpetual growth.
most NeoCON-artists being ex-Marxists perhaps?
If you have a good product, then you will succeed - enough said.
Inside the egg scrambler was the best.
HP is laying off 80,000 workers or almost a third of its workforce, converting its long-term human capital into short-term gains for rich shareholders at an alarming rate. The reason that product quality has declined is due to the planned obsolescence that spurs needless consumerism, which is necessary to prop up our debt-backed monetary system and the capitalist-owned economy that sits on top of it.
Winning!! She should run for President; she obviously has the 'right stuff'
Yer fared! And yer fared! And yer fared too! All of ya's iz fared the whole fucking pack of yaz!!!
This is the perfect example of socialism for the 1% led by Fed policy.
This country is a wonderful, truly exceptional at times but it sure does have some fucked up people (companies) in it.
HP just unleashed 30,000 entrepreneurs! Recovery here we come!
Pretty funny when you consider HP core revenue to be wrapped up in forced printer obsolescence, $60,000/gallon inkjet cartridges and a laser toner market that is slowing going the way of Alibaba - all of this in light of Peak Printing.
Most of their technology is licensed from other Tier 1 manufacturers.
You would think their core strategy would be to hoard cash and then tank their own stock for a real buy back.
Never understood the model of borrowing money in order to BTATFH.
Then again I guess I'm not a financial engineer.
Where'd you get that 60k/gallon figure?
Not saying it's wrong, I've just never heard it put like that. Something to think about I guess.
Do the math of a thimble full of ink in a cartridge and the $20 you pay for it.
resellers are finally getting the price down - just ordered for my friend a 5-pack (black, cyan majenta yellow) x4 for $18 on ebay = that's 20 cartridges for $18, under a buck each. Can't be worse than the other refilled cartridges she's been getting @ CartridgeWorld !
(that's for epson refills)
"Why CEO's are borrowing money to BTATFH"
What you need to understand is that nearly all CEO's are direct henchmen of the Fed/Cabal, and their job is basically just to follow orders as handed down to them.
The Fed wants the markets strong in spite of grim reality, so they have gotten all their forces into the fight, including their puppet CEO's.
... Think about it: why pay these fuckers hundreds of millions, if not as a way to ensure absolute, complete and total submission to the orders from on high. It doesn't matter how bad those orders are for peoples' health and well being, how it affects the workers, or how it affects the public stockholders, those high-priced sellouts will do it with a smile.
---
Incidentally, my experience in IT as a software architect, technical director and sometimes CTO (only of small startups), was that there is a glass ceiling in nearly all mid- to large companies. You need to be crooked and corruptible to be part of the executive team of those larger companies. Competence and excellence count for nothing, which is why all those work environments are so dysfunctional.
Politicians destroy the economy buying votes with other peoples' money and screwing with businessmen, then blame the businessmen because they protect themselves.
Meh...
Wake me up when someone kills the bitch.....
The last hurrah
Wow.
What a successful CEO.
Bet she's already got her Presidential exploratory committee for 2020, like the one now, riding on the gravy train on the backs of
the working folks.
"I don't know you and you don't know me."
The new normal means eliminating jobs ..I mean normalizing jobs for corporations...
You know the tune boys and girls so sing along with me.
Oompa Loompa doompadee do I have another pink slip for you, and you and you. We need more money for a buyback or two. Oompa Loompa doompadee do.
Typical managing from the accounting desk approach.
Wait until the remaining shareholders see the PE ratios reaching 100:1 . They'll be inventing new words that mean "sell".
I'd applaud her if these were federal employees.
Maybe many of them are previous U.S. postal workers. Who knows what might happen? Them folks are kinda touchy.
what surprizes me is that HP actually has 30,000 left to pinkslip. i honestly thought after they sold their Cupertino HQ to Apple so they could build their spaceship that HP only had like 10,000 left after all those layoffs. so what did all these 30k they're laying off do? i know when their HQ got sold and they tourched the Agilent group that those people gonzoed either retired or went to biotech start-ups in silicon valley. i wonder if this is to get HP dinosaurs to sell their properties in silicon valley to facebookapplegooglers who are fully vesting right now.
HP - that company that sells computers and printers made in China and ink cartridges made in Thailand?
Yeah, but the massive profits and dividends go to corporate officers and their rich shareholders. Why do you care about anyone else? The rest of us are just serfs -cockroaches, goyim. We serve the Massahs -we need to keep them happy. That is our role in life. Am I not right?
When she gets HP down to the size where it fits in a garage, like when it started, then she can claim massive success, take her $100 million exit package and move on to the next hatchet job.
Like Amazon, HP does a ton of datacenter hosting and I bet they make more on services than they do on hardware sales. Don't have to speak good english to make sure there aren't any amber lights or manage an OS....
Too many eggs in one basket. Longmont, Colorado is a major data hub. The problem is there's also a giant ATC hub there. Kill one and you get a (what they called in Die Hardest) a Fire Sale.
Feds love killing things to make a point. They could kill ATC's downlink to Alexandria and take out half the Internet.
HP needs offshore blood.
After hours, of course..
Another company going down the drain because their focus is short term returns with crappy products.They will also bring down any company they buy as well.
HP is microcosm of what Carly will do to the US: carve it like a pumpkin and leave the shell out to bake in the sun for a few weeks. But she'll make sure and poison the seeds too! Don't want anything growing out of that pesky Palm division...
The world is heading for massive deflation.
Computers have hit the 14 nano-meter lithography zone, the cost to go from 14nm to say 5nm is very high, and the net benefit to computing power is very low, but lets say we go from 14nm to 5nm over the next 4 years.
Going from 5nm to 1nm is not going to net a large boost in computing power and the cost to shrink things down and re-tool will be very high for such an insignificant gain in performance.
What does that mean
1) Computers (atleast non-quantum ones) have hit the point where about 80-90% of the potential for the current science has been tap'd
2) This means that the consumer is not going to be put in the position where they will have to upgrade to faster systems for atleast another 7-8 years.... (because the new computer wont be that much faster than their existing one).
3) If no one is upgrading the only IT sectors of the economy that stand to make any money are software companies (Microsoft, Apple, and other small software developers), most software has not caught up with hardware yet.
4) We are obviously heading for massive deflation, consumer spending levels as a % are probably around where they were in the late 70s - mid 80s, this is a very deflationary environment that is being compounded by a high debt burden (most of everyones income is going to service their debts), that signals monetary tightening is going on... people simply dont have enough discretionary income to spend on new toys.
All that to me screams SELL consumer electronics stocks because profits are GOING TO DECLINE , SALES ARE GOING TO DECLINE.
There is no way , no amount of buy backs will float the stocks of corporations like HP/Dell/IBM etc... it is inevitable that these stocks will be worth 30% less over the next 5 - 8 years
But what do I know? maybe I am missing something.
In anycase a lot of pressure is being put on HP to do all it can at any cost to boost the stock valuations, because so much of its stock is institution owned, they will strip the wallpaper off the walls and sell it to a recycling plant if it would give them more money to boost stock valuations.
That to me signals that most of the people pressuring the board of HP to boost the stock, want them to gut the company as much as they can to boost it some trivial % points so that the majority of shares can be dumped onto muppets.
To me it pretty much also signals something is terribly wrong at HP and no one is talking about it.
Are you talking strictly Moore's Observation?
Because I see a great deal of scalability when RISC is a factor. Think about ASUS and its excellent tablets: limit the instruction set and users can carry a motherboard behind glass. Also consider Bitcoin miners: very specialized tools, extremely competent but simple, power-hungry brains. The nm differences in AntMiners, for example, made such significant reductions in power consumption that coins were flying in like never before -- yet with proven and rapidly-specializing almost ad hoc -- technology.
Similarly, consumers want something simpler: your point is important, but scaled based on prevailing consumer financial strictures, and the inaccessibility of current OSes.
I am talking about a few things yes Moore's Observation is one of them.
As far as Moore's Observation I dont think it will hold true for the same style architecture, we will have to transition to something different to keep ramping up processing power while keeping the package small and cheap, like toaster said, something similar to whats being done with GPUS comes to mind.... but thats not very backwards compatible, everything will need to change for such a transition... software engineers will have to make radical transitions (a lot like porting Operating Systems to different platforms) a daunting task for a lot of software companies, something tells me that Microsoft is atleast aware of this potential issue (since they are slowly transitioning and experimenting with different things like Windows RT and more mobile platforms on phones....) but they still have a lot of catching up to do with developers that have been working with gpus (google ) etc.
Like I said, software is lagging behind hardware, you could probably design an entire OS that runs off a single GPU utilizing only the VRAM and the PCIE bus to run, and if done well it would be a lot faster/more robust than anything running on an intel chip, but like I said, the software isn't there/has not been developed yet.
Which is why I said the future is in software, as tech is approaching an event horizon where some things will have to radically change or nothing will change for a long long time, and in the field of computer science, when nothing is changing you are losing money which makes me cautious with companies like HP which have somewhat been very slow to adapt to even outdated technology.
Other than die shrinks there really hasn't been a lot going on in the CPU world since Intel abandoned its Netburst architecture and went back to its (Israeli created) Pentium 3 style pipeline. After that they gave up on increasing speed and resorted to selling more cores. Now that wall has been hit, they have been selling "green" and "efficient" nonsense in place of increasing power.
x86 just needs to go, but a lot is invested in it not the least of which is that 1-2 punch of forced, contrived obsolesence carried out in a joint operation with Microsoft. 15 years ago you could watch videos with no problem on your old machine using Windows XP. Fast forward to now and their chief bragging point is still "multitasking" and the ability to process datastreams like video. It's a joke.
The future is not in the current CPU paradigm of instructions per second; it will be in terms of variables per second. It will be more along the lines of what GPU manufacturers are creating with their thousands of "engines" or "processing units" per chip, rather than the 4, 6 or 12 core monsters that Intel is pushing. They have nearly given up on their roadmap to push out to 128 cores as it is. x86 just doesn't work with all that.
Well, eventually they'll get down to having, like, 50 shares left.
But, boy, are those shares going to be valuable.
Maybe not.
true that Dre4d,
from the latter Core2 Duo's, like T9400, etc to i5 & i7, especially quad-core versions, are capable and have been since 2010 for most consumer needs as to beg the question why upgrade ?
windows 10? wow, built-in keylogging direct to Fbook & NSA & M$ ? nice!
as cheap as computers are now, it's the perfect time to setup a linux machine.... but win7 64bit is solid - i personally am happy to give Clapper a hand and use gmail as a matter of choice to streamline important data direct to their servers. After using AT&T in the 90s and early 2000's, I'm not worried about voiceprints, so I'm all up for Gmail's freephone service.
Another classic "Let’s rape all we can and bail with my golden parachute" corporate leaders setting themselves up. Pile on the string of non-IT CEOs that have been leading the company to ruin. To them it is nothing more than a contest of being even worse than their predecessor. Just look at the billions each has lost before their exit. Compaq, a cluster. Palm Pilot, a dead product they paid millions for and then buried. And many others.
Think the split is going to help? Think again. Rather than taking the opportunity to fix their problems, they have just duplicated and perpetuated them into two separate entities.
HP is a company that is mired in a morass of unmanageable business processes and patchwork of antiquated applications all interconnected to the point they are petrified to try and uncouple them.
Just look at their stock price since January. The insiders know. Want to fix HP? All it would take is a savvy IT based leader with a boatload of common sense. What makes money at HP? Their printers and ink. Not thinking they can provide enterprise solutions to others when they can’t even get their own house in order.
>>What makes money at HP? Their printers and ink. Not thinking they can provide enterprise solutions to others when they can’t even get their own house in order.
Which is EXACTLY why I'll never buy ink or printers from that fucking company again. To think they have a monopoly on that kind of boiler plate product is another thing. When my current laptop dies, I'll be looking in the direction of Dell probably for a replacement. I know it is a drop in the bucket, but voting with your dollars is catching on, I firmly believe!
I agree with you.....there are at least 1,000 strong folks on staff already out there, who could turn that company around. Sad. No doubt Dave Hewlett and BIll Packard are turning in their graves like a shish kabob.
early HP laserjets would get 3,000 to 4,000 copies per toner, iirc $90 ....
Let's not beat around the bush, they're outsourcing, firing Americans and hiring cheap labor elsewhere:
http://www.bloomberg.com/news/articles/2015-09-15/hewlett-packard-to-cut-up-to-30-000-more-jobs-in-restructuring
It’s also shifting employees to low-cost areas, and hopes to have 60 percent of its workers located in cheaper countries by 2018, Nefkens said.
They are on the way out, if you ask me. Once their big-wigs have read the $1 billion point in their personal savings, they will trash the company and blame it all on Asia. Mark my word!
Gonna need more robots.
Whose idea was it to put women in charge of corporations in the first place. They like cats that devour their litters. Surprised more of them aren't bankster CEOs.
yeah - wonder if Mark Hurd was setup so that the FemIsts could take the slot .....
I was there in 2000 just after the Dotcom crash (HP Agilent test equipment).So they get all the staff in a big room,and Ta-Da,they want everyone to take a 10% paycut but work the same hours.So the engineers just trim their schedules (more racketball,and snogs with their PA's),and people are driving in to work on Saturdays instead of being with their families.A complete F##up caused by the Fed feeding Wall street cheap credit.
The point is they didn't want the Eng'g staff to go off and work for the competition.
This was the Fed's screw up (this before 2008,but certainly contributed to the GFC).
But Ms. Fiorina was in command.Oh for the days when the Captain went down with the ship....
They sure are gutting that company
I wonder how Carly would have handled it?
So Meg Whipman needs a little help..she calls her buddies at Goldman Sacks (GS)..and of course talks in code language in case the corporate servers are ever hacked...Hey GS..I need my passenger train to run faster..my paycheck depends on the speed...GS sez...my boys have checked out your train...too many passengers...Meg sez..how many is too many..GS sez ...about 30,000. Meg sez...not a problem..that's why they pay me the big bucks to make the hard decisions..and Meg lives happily ever after...don't fault her.. she was just following the old tried and tested wall street
mantra..."greed is good"
Carly Fiorina: (LOL, leading a tech company with a degree in medieval history and philosophy)
While at ATT she was groomed from the Affirmative Action plan.
Alma Mater: Stanford University (B.A. in medieval history and philosophy);
University of Maryland (MBA); Massachusetts Institute of Technology
==================================================================
Patricia Russo: (Lucent) (Dedree in Political Science).
Another lady elevated through the AA plan
Russo got her bachelor's degree from Georgetown University in political science and history in 1973.
She finished the advanced management program at Harvard Business School in 1989
Both ladies steered their corporations to failure.
>Carly Fiorina: (LOL, leading a tech company with a degree in medieval history and philosophy)
That's why she believes in serfdom...
Fire the CEO herself (making her available to run against Trump).
Im starting a Hillary Clinton blow up doll factory to help support the economy.............Im sure I can hire most of them by the end of the year.....................
Install a vibrating love-nest and even Slick Willy will nail it. It's all marketing, these days. That and ball bearings.
Stuck Fitzer Valves for sure.
Why do we keep pretending by calling these firings layoffs? Those jobs are gone and never coming back.
HP12C. 31 years old and still humming.WTF happened?
I have a lot of fine HP products. Many of my enterprise clients run HP.
Swap out the drives, swap out the power supplies, and presuming the piece-of-shit OS Maker doesn't leave you high and dry, get an easy 15 out of the shittiest desktop. HP: Meeting Your Expectations.
You got laid
off.
I'm gonna have to go with "Bullish" on this one.
Isn't even worth the effort anymore to say "where is the outrage" when you read shit like this!... Or this!!!!
HOLY SHIT! I mean what were they doing if a company can shit-can 30K employees?...
Twenty yerars back HP products were all the rage. Today? We stay clear of them. They are considered, cheap, mediocre, and with a short life.
HP is yet another company that, save no new management, is headed to the toilet.
? - compared to what ? lenovo - gotta be kidding me ! dell - no - toshiba - no !
seriously, cutting corners on the race to the bottom - forget Office Depot's consumer line - look at HP's business line - what's better?
Just think about what IBM could do! They could fire 300K and not blink. Drive on.
uh...ibm sold out to China 2 or 3 years ago .... hardware that is ...
intel began building chip plants outside USA by 1984 ....
HP has loaded up on more debt (courtesy of taxpayer funded QE) to buy-back HP stock, which is declining in value. During Former HP CEO Carly Fiorina’s reign, HP stock declined more than 50% (Link: americasmarkets.usatoday.com/2015/05/04/president-fiorina-how-carly-did-at-hp/). Carly Fiorina is a candidate for US president.
It is very straightforward. Replace 45,000 US workers with 100,000 offshore workers and you still save millions of USD ! Use the "savings" to buy back stock, then borrow more $$ at ZIRP to buy more stock back.
You guys don't know nuthin'.
HP: one of the worst places you could work. Souless.
Ladies and Gentlemen! Integrity has left the Building!