HP officially splits into two companies

Technology firm Hewlett Packard, known as HP, has officially split into two separate companies.

The company has separated its personal computer and printer business from its corporate hardware and other services.

The split means current CEO Meg Whitman will become the chairman of the PC and printer operation, and continue as CEO of the split-off enterprise business.

Dion Weisler, an executive at HP’s PC business, will take over as CEO of the company’s PC and printer operation.

Meg Whitman, CEO of HP, said: "The decision to separate into two market-leading companies underscores our commitment to the turnaround plan.

"It will provide each new company with the independence, focus, financial resources, and flexibility they need to adapt quickly to market and customer dynamics, while generating long-term value for shareholders."

HP Enterprise will operate as the split-off part of the company, and intends for HP Financial Services to continue to provide financing for customers and partners of HP.

HP will continue to focus on the printing and PC side of the business. 

Whitman added: "Since assuming responsibility for the Printing and Personal Systems Group, Dion and his leadership team have done an excellent job of building our relationships with customers and channel partners."

HP approaches the fourth year of its five-year turnaround plan, and has announced thousands of job cuts over the past few years.

This news comes after HP accquired British software company Autonomy for $11.1 billion (£7 billion), in 2011.

A year later HP accused the firm of misleading them over the true value of the company, as Autonomy was found to be worth $8.8 billion less.

HP also announced its new lineup of low cost laptops and tablets to join the Stream range last week.