HP's Acquisition Frenzy: 10 Potential Ramifications of HP's Spending Spree

  • By

    Don Reisinger

No Title
1. No Cash? No Go.HP has boatloads of cash. In fact, the company is one of the richest companies in the technology industry. But that doesn't mean that it will be able to stay that way indefinitely. It has spent a lot of money recently. And all that cash could have been used for investment in new technologies. It's not the end of the world, but it's something that should be kept in mind.
HP is in an acquisition frenzy. The company acquired Palm earlier this year, 3PAR recently, and now, it has gone after ArcSight for a whopping $1.5 billion in an attempt to improve its security services. Unlike the 3PAR acquisition, most experts have called HP's decision to buy ArcSight a smart one. After all, with its many services, the company needs strong security to round out its portfolio. But all these acquisitions will have a direct impact on the future vitality of HP. And it's entirely possible that for all the good that could come from acquiring those firms, HP could be facing some issues, as well. Simply put, HP's decision to acquire so many companies to make it a more well-rounded firm could be both good and bad. Read on to find out how HP's most recent acquisitions could impact the company.
This article was originally published on 2010-09-17
Don Reisinger is a freelance technology columnist. He started writing about technology for Ziff-Davis' Gearlog.com. Since then, he has written extremely popular columns for CNET.com, Computerworld, InformationWeek, and others. He has appeared numerous times on national television to share his expertise with viewers. You can follow his every move at http://twitter.com/donreisinger.