HP reacts to Dell’s own buyout, says they have a “very tough road ahead”

Craig Lloyd - Feb 5, 2013, 12:29pm CST
HP reacts to Dell’s own buyout, says they have a “very tough road ahead”

If you haven’t heard yet, Dell went private today, thanks to some company cash and even a loan from Microsoft. If you thought that other companies were going to stay mum about the news, think again. HP has issued a statement regarding Dell’s buyout plan, and essentially, the company says that Dell has a “very tough road ahead,” and that the transition “will not be good for its customers.”

In their statement, HP essentially reinforces the idea that if users want to seek out alternatives, HP will be there ready at your beck and call. The company says that “with a significant debt load, Dell’s ability to invest in new products and services will be extremely limited.” Plus, the company says that leveraged buyouts “tend to leave existing customers and innovation at the curb.”

HP thinks that Dell’s customers will now be “eager to explore alternatives” after the buyout, and while HP doesn’t flat-out say that its the best choice for consumers, the company says that it “plans to take full advantage of that opportunity,” meaning that they hope to gain from Dell’s yet-to-be-determined pain from the acquisition.

Of course, HP saw struggles of their own in the recent past. Analysts didn’t believe to heavily in the company’s stock, saying that it should be worth negative $2 if anything. Plus, CEO Meg Whitman even said herself that the company will struggle for must of 2013 as the company tries to rebuild itself.

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