Hewlett-Packard, the world's largest tech company, decided to keep its PC business after calculating that spinning it off would cost $1.5 billion. Reuters reports:
The California company has been struggling in the PC market -- a low-margin but high revenue business -- as niftier gadgets such as Apple Inc's iPad have lured consumers away.
Citing deep integration of the PC group in HP's supply chain and procurement, recently appointed Chief Executive Meg Whitman said the company was "stronger" with the unit.
HP announced in August that it was thinking of dropping its PC business, shocking tech news watchers. That news came as the company officially shed a lot of its other consumer-side products. At the time, MG Siegler at TechCrunch tweeted, "What exactly does HP do now? Just sell printer ink?"