HP 2013 Annual Report Download - page 12

HP was incorporated in 1947 under the laws of the state of California as the successor to a
partnership founded in 1939 by William R. Hewlett and David Packard. Effective in May 1998, we
changed our state of incorporation from California to Delaware.
HP Products and Services; Segment Information
We offer one of the IT industry’s broadest portfolio of products and services that brings together
infrastructure, software, and services through innovation to enable our customers to create value and
solve business problems. As consumers and enterprises shift the way technology is delivered, consumed,
and paid for, they are demanding a foundation that will support much greater agility, lower cost,
facilitate quicker time-to-market, and provide a higher degree of accessibility by end-users to that
technology. We design our solutions to provide that foundation, particularly in the areas of security,
cloud, mobility, and big data, by leveraging the breadth of our offerings and the strengths and
capabilities of our individual business units.
Our operations are organized into seven business segments: Personal Systems; Printing; the
Enterprise Group (‘‘EG’’); Enterprise Services (‘‘ES’’); Software; HP Financial Services (‘‘HPFS’’); and
Corporate Investments. In each of the past three fiscal years, notebooks, desktops, printing supplies,
industry standard servers and infrastructure technology outsourcing services each accounted for more
than 10% of our consolidated net revenue.
The Personal Systems segment and the Printing segment are structured beneath a broader Printing
and Personal Systems Group (‘‘PPS’’). While PPS is not a reportable segment, HP sometimes provides
financial data aggregating the Personal Systems and Printing segments within it in order to provide a
supplementary view of its business.
A summary of our net revenue, earnings from operations and assets for our segments and business
units along with a description of our fiscal 2013 organizational realignments is found in Note 18 to the
Consolidated Financial Statements in Item 8, which is incorporated herein by reference. A discussion of
factors potentially affecting our operations is set forth in ‘‘Risk Factors’’ in Item 1A, which is
incorporated herein by reference.
Printing and Personal Systems Group
The mission of PPS is to leverage the respective strengths of the Personal Systems business and the
Printing business by creating a unified business that is customer-focused and poised to capitalize on
rapidly shifting industry trends. Each of the business segments within PPS is described in detail below.
Personal Systems
Personal Systems provides commercial personal computers (‘‘PCs’’), consumer PCs, workstations,
thin clients, tablets, retail point-of-sale (‘‘POS’’) systems, calculators and other related accessories, HP
and third-party software, and support and services for the commercial and consumer markets. We
group commercial notebooks, commercial desktops, commercial tablets and workstations into
commercial clients and consumer notebooks, consumer desktops and consumer tablets into consumer
clients when describing our performance in these markets. Both commercial and consumer PCs and
tablets are based predominately on the Windows operating system and use processors from Intel
Corporation (‘‘Intel’’) and Advanced Micro Devices, Inc. (‘‘AMD’’). Personal Systems is also pursuing a
multi-operating system, multi-architecture strategy and launched Android and Chrome operating system
tablets and notebooks during fiscal 2013.
Commercial PCs. Commercial PCs are optimized for commercial uses, including for enterprise
and SMB customers, and for connectivity, reliability and manageability in networked environments.
Commercial PCs include the HP ProBook and HP EliteBook lines of notebooks, the HP Pro and HP
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