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Meg Whitman succeeds Leo Apotheker as CEO of HP

Posted: , by Victor H.

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Meg Whitman succeeds Leo Apotheker as CEO of HP
Now that was quick. Just yesterday, the rumor about HP’s current CEO Leo Apotheker getting the pink slip surfaced and today it’s a done deal: ex eBay head Meg Whitman replaces Apotheker as chief executive of one of the largest tech companies in the world. 

Whitman is not just an interim fill-in - she’s taking over the company in the long term. While some have pointed out that she doesn’t have the experience running a tech company, others have noticed her communication skills and understanding of customers, something Apotheker might have been sorely missing.

But does this bring a new strategy? Not necessarily. Whitman has taken a conservative stand saying that the strategy was right (why change the CEO then?), but the problem is in the execution. Spining off the PC division is still on the discussion table and it will be decided on by year-end. As to webOS, the new CEO is still looking to "optimize its value."

The ousted CEO, on the flipside of things, will part the company with a $25 million severance package, consisting of over $7 million in cash and $18 million in stock. Phone and tablet aficionados will remember the now former CEO for basically killing the $1.2 billion webOS project at HP by ditching such devices as the TouchPad and the Pre 3. During his time at HP, the company’s value decreased by 47% and the company has announced it’s about to spin off its core PC business. 

Interestingly, in just the last couple of years HP has went through the costly process of changing CEOs multiple times. Mike Hurd, who quit HP over a mysterious sexual harassment allegations scandal, got $12.2 million. CFO Cathie Lesjak stepped in for three months as an interim CEO and got a total of $3.6 million. Ex-CEO Carly Fiorina was granted $21.4 million in cash and $21.1 million in stock. The grand total for HP's CEO decisions comes at the whopping $83.3 million.

Additionally, a $11.7 billion acquisition of British software company Autonomy has been negotiated as part of the Apotheker plan of turning HP into a SAP-like enterprise software giant and it will be hard to reverse all of that, if that’s Whitman’s plan. After getting appointed, Whitman said: "I am honored and excited to lead HP. I believe HP matters – it matters to Silicon Valley, California, the country and the world." 

We leave it up to you to say what needs to be done and what your expectations are about the future of HP. Could we see webOS reborn as some would hope? While you think about it, feel free to take a look at Apotheker’s final email to employees below.

TO/ All HP Employees
FROM/ Léo Apotheker

Dear HP Employees:

This afternoon, HP issued a press release announcing my resignation as president and CEO, positions I have held with great honor this past year. Meg Whitman will assume the role of president and CEO.

As you know, Meg is a technology visionary with a proven track record of execution and has served HP well as a member of the board for the past eight months. Meg will be supported by a broad and deep management team, and I have the utmost confidence that HP will succeed in executing its strategic evolution.

On a personal level, I cannot begin to express the admiration I have for all of you – and what you have accomplished together. Over the past year, we were tasked with developing a strategic vision for HP and I know we have made important contributions to the company’s future.

Your efforts on behalf of HP and your dedication to our customers have inspired me – and I am confident that HP has a bright future because of the talented people that come to work here every day. Thank you for your commitment to HP and for your dedication in serving HP’s customers and partners. It has been a tremendous honor and a pleasure to work with you here at HP.

Léo Apotheker

source: HP

+- Press Release

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posted on 23 Sep 2011, 03:27

1. CostcoHotDoggs (unregistered)

hopefully she don't start chocking anybody at work if thing don't work right

posted on 23 Sep 2011, 06:29 1

5. Phullofphil (Posts: 805; Member since: 10 Feb 2009)

i am horrable at miss spelling on my coments but that chocking comment is funny i guess just a little. I will give it a LOL.

chocking present participle of chock (Verb)
1. Prevent the forward movement of (a wheel or vehicle) with a chock.
2. Support (a boat, cask, etc.) on chocks.
Merriam-Webster - The Free Dictionary

posted on 23 Sep 2011, 04:12 3

2. AhmadAlsayegh (Posts: 310; Member since: 18 Jul 2011)

i dont see how she is going to be any better than Leo, they both are bad...HP needs a leader with vision, especially now...shall we call it another fail?

posted on 23 Sep 2011, 05:39 3

3. PhoneLuver (Posts: 481; Member since: 05 Jul 2010)

I'd do it for the severance package too!! :-p

posted on 23 Sep 2011, 08:32 2

7. Hallucinator (Posts: 387; Member since: 24 May 2010)

You sound ignorant

posted on 23 Sep 2011, 06:30

6. Phullofphil (Posts: 805; Member since: 10 Feb 2009)

I dont know what my problem is but she is not hot at all but all that power kinda makes her hot. Kinda like i thought this female judge was hot at traffic court

posted on 23 Sep 2011, 12:24 1

10. Zoenphlux (Posts: 50; Member since: 05 Sep 2011)

You sound just a LITTLE desperate....lol. im sure any female is hot compared to a lifeless doll. haha!

posted on 23 Sep 2011, 10:39 2

8. corporateJP (Posts: 2458; Member since: 28 Nov 2009)

All this does is slow HP's imminent death.

posted on 23 Sep 2011, 10:51 1

9. Droid_X_Doug (Posts: 5993; Member since: 22 Dec 2010)

Actually, it could speed up HP's demise. Meg has no relevant experience whatsoever in either hardware (servers) or IT services. Unless HP is going to compete with Craigslist and eBay....

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