WEBVTT - The HP Story: Part Three

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<v Speaker 1>Brought to you by the reinvented two thousand twelve Camray.

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<v Speaker 1>It's ready. Are you get in touch with technology? With

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<v Speaker 1>tech Stuff from how stuff dot com. Hello, and welcome

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<v Speaker 1>to tech Stuff. My name is Chris Poulett, and I'm

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<v Speaker 1>an editor at how stuff works dot Com. Sitting across

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<v Speaker 1>from me, as usual, is senior writer Jonathan Strickland. Happy

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<v Speaker 1>families are all alike. Every unhappy family is unhappy in

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<v Speaker 1>its own way. Okay, now that was poignant. Yes, I

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<v Speaker 1>saved that one for this part of our three part

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<v Speaker 1>epic extravaganza on the Hewlett Packard story. Okay, and it's

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<v Speaker 1>again if you are just joining us. A couple of

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<v Speaker 1>guys named Dave and Bill started late on tech stuff. Uh.

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<v Speaker 1>A couple of guys named Dave and Bill started company

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<v Speaker 1>in a garage in Palo Alto, California for eight dollars

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<v Speaker 1>and a drill press. Yes, no kidding, They really did that,

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<v Speaker 1>and then basically built it up into a powerhouse of

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<v Speaker 1>electronic electronical electrical engineering feats of master. They were very

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<v Speaker 1>suburbian kill suburbian, Yes, I totally checked over that. Anyway,

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<v Speaker 1>They made all sorts of really cool stuff that that

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<v Speaker 1>helped other companies build their businesses. They made a lot

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<v Speaker 1>of electrical engineering, measurement tools, oscillators, um frequency device, all

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<v Speaker 1>kinds of stuff that you or I would probably never

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<v Speaker 1>lay hands on about. Yeah. Yeah, we're talking about stuff

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<v Speaker 1>that behind the scenes is very important, but to the

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<v Speaker 1>consumer is mostly incomprehensible. It started in thirty nine, made

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<v Speaker 1>its way through the forties and fifties and grew exponentially. Um.

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<v Speaker 1>And also they began to move into other fields medical technology,

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<v Speaker 1>computers in the sixties, Yes, and computers. And when we

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<v Speaker 1>were talking about computers in our last episode, we were

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<v Speaker 1>talking about how they were computers. They were there too,

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<v Speaker 1>how people compute things. Yeah, they're talking about business, business computers,

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<v Speaker 1>research computers, that sort of thing, not something again for

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<v Speaker 1>the consumer. We're talking about computers that are the size

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<v Speaker 1>of say a person's desk, not not a desktop, large calculators.

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<v Speaker 1>But um uh. Now we're getting into the eighties. And

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<v Speaker 1>the reason why we decided to stop our last podcast

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<v Speaker 1>at nineteen seventy nine is because in nineteen eighty that's

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<v Speaker 1>when HP launched its very first personal computer for for

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<v Speaker 1>the personal computer market, right before they released a very

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<v Speaker 1>large calculator that got called at the first personal computer,

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<v Speaker 1>but it was a scientific calculator. It wasn't a device

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<v Speaker 1>meant to run programs and have an operating system and

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<v Speaker 1>all that kind of stuff. Right, it's not a computer.

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<v Speaker 1>It is a computer, literally, but it is not a

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<v Speaker 1>computer in what we in the twenty first century consider

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<v Speaker 1>a computer. Um so in marketing terms, that's what they

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<v Speaker 1>had called it. But yeah, this this is when we're

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<v Speaker 1>getting into the time of real um of modern personal computers.

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<v Speaker 1>So nineteen eight launches the HP eight five and it

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<v Speaker 1>had input output ports that allowed it to connect to

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<v Speaker 1>other computers and also to various electronic instruments. So uh

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<v Speaker 1>not again not necessarily something for the average consumer, but

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<v Speaker 1>we're slowly moving that way. Now in nineteen eight one

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<v Speaker 1>we get yet another calculator. So I expect Mr Plette

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<v Speaker 1>will dance around the room and squeel like a little

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<v Speaker 1>joyful I like calculators. Apparently you do. It's the HP

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<v Speaker 1>twelve C. It's a business calculator. Yeah, that the twelve

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<v Speaker 1>The funny thing about the twelve C is now that

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<v Speaker 1>this device was introduced in they still sell them. Uh

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<v Speaker 1>They're they're tiny devices. About the sizes we would expect

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<v Speaker 1>a pocket calculator to be now, um, but it was

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<v Speaker 1>designed to be a financial calculator. Um. So this is

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<v Speaker 1>kind of kind of interesting because again HP had been

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<v Speaker 1>was started as a company that made electric electronic testing equipment.

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<v Speaker 1>So now they are really moving like making a dedicated

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<v Speaker 1>push into other areas of business and trying to reach

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<v Speaker 1>out to other business customers who might want their products.

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<v Speaker 1>Because again, if you've listened to our previous podcast on HP,

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<v Speaker 1>you know that one of the foundation, uh parts of

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<v Speaker 1>their philosophy is that you have to continue to grow

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<v Speaker 1>as a business or you perish. And the best and

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<v Speaker 1>the best part is it had a gold tone, so

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<v Speaker 1>you knew it was good. Um. Two, they introduced HP

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<v Speaker 1>seventy handheld computer. It's actually a mobile computing device and uh,

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<v Speaker 1>you know, it's kind of interesting it if you look

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<v Speaker 1>at it today. I mean, granted, it looks bulkier than

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<v Speaker 1>what we think of as a mobile computer now, but

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<v Speaker 1>HP really had they were ahead of their time, really,

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<v Speaker 1>but they had really predicted the whole mobile computing UM movement.

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<v Speaker 1>Although at this point movement see what because they're mobile

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<v Speaker 1>but although at this point the they're much more primitive

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<v Speaker 1>than the ones we use today. The HP seventy five C, however,

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<v Speaker 1>even had input output drive so you can connect it

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<v Speaker 1>to a printer or a digital cassette drive. Remember digital cassettes.

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<v Speaker 1>These are not not like disks. You actually stored things

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<v Speaker 1>on tape magnetically. But yeah, it was. It was ten

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<v Speaker 1>inches long, about twenty five point four centimeters um by

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<v Speaker 1>five inches by one inch, so it was only you know,

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<v Speaker 1>two point five four centimeters thick. It was. It was

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<v Speaker 1>glad I have that memorized, because that's about the only

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<v Speaker 1>metric conversion I have memorized. It was a bit larger

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<v Speaker 1>than uh, your typical calculator at that point, forty eight

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<v Speaker 1>k of RAM sixteen k ram. You know. It ran

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<v Speaker 1>basic and visit calc and and you could use it

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<v Speaker 1>as a clock or an alarm for appointments only cost

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<v Speaker 1>nine when Mickey's big hand is on the digital one. Anyway.

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<v Speaker 1>So in nineteen two they also HP introduced within the

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<v Speaker 1>company itself, an electronic mail system where you could send

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<v Speaker 1>messages to other HP employees. So oh and yeah, no,

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<v Speaker 1>that's right. Okay, I was like, what but the electronic

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<v Speaker 1>mail was all internal, It wasn't this wasn't something Whearing

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<v Speaker 1>an HP pioneered email. Email actually had existed for a

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<v Speaker 1>little while and other research facilities, but this was It

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<v Speaker 1>was a pretty big move for a company to do that. Now. Granted,

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<v Speaker 1>HP at this point is a very large company that's

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<v Speaker 1>continued to expands, got more than fifty employees, so it

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<v Speaker 1>was very important that they developed a way to communicate

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<v Speaker 1>between different departments and within departments because it's getting too

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<v Speaker 1>large to just rely on paper all the time. Yeah,

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<v Speaker 1>and frankly, it's inconvenient to staple notes to people's foreheads

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<v Speaker 1>as they walk by. Yeah. I have had many people

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<v Speaker 1>talk to me about my habit of doing that now,

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<v Speaker 1>and I'm just pointing it out. In AP two, they

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<v Speaker 1>also introduced the HP nine thousand, Ah, the HP nine thousands.

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<v Speaker 1>It was a main frame computer, but a desktop main frame.

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<v Speaker 1>Now when what when you hear the term mainframe computer,

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<v Speaker 1>what you're supposed to think about is a computer that's

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<v Speaker 1>so large it fills up an entire room. Yeah, I

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<v Speaker 1>think of specifically of the digital vacts yeah vas. Yeah,

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<v Speaker 1>so you're talking about these enormous computing machines that uh

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<v Speaker 1>that you know, you'd open up a door and you're

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<v Speaker 1>looking at a computer. That's pretty much what these things

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<v Speaker 1>look like. Now. The HP nine thousand was a departure

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<v Speaker 1>from that. It was a computer that had mainframe capabilities,

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<v Speaker 1>one that was just as powerful to say, a supercomputer

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<v Speaker 1>from the nineteen sixties, but it could it on a desktop. Now,

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<v Speaker 1>this is a really good illustration of a an observation

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<v Speaker 1>made by um Uh, an Intel co founder. We're of

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<v Speaker 1>course referring to Moore's law here, and Moore's law is

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<v Speaker 1>really an observation. If you've listened to our podcast, you've

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<v Speaker 1>heard us talk about it a number of times quote

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<v Speaker 1>unquote law. But the observation essentially is that about every

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<v Speaker 1>two years or so, and the time changes depending upon

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<v Speaker 1>when you look at this law, about every two years,

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<v Speaker 1>the number of discrete elements that can be fit upon

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<v Speaker 1>a square inch of silicon waffer Uh doubles. So what

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<v Speaker 1>that means to the layman is that the number of

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<v Speaker 1>transistors on a microprocessor tends to double every two years,

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<v Speaker 1>which means that you can cram more transistors onto the

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<v Speaker 1>same space as you could two years ago, and thus

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<v Speaker 1>devices can get smaller while maintaining a level of power.

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<v Speaker 1>So by two it was possible to build a machine

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<v Speaker 1>that fit on a desktop that would have the same

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<v Speaker 1>amount of power as in nineteen sixties super computer super

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<v Speaker 1>which is you know, that's a pretty big deal. Now.

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<v Speaker 1>Of course, today the computers that you run out and

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<v Speaker 1>buy in the store have more power to them than

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<v Speaker 1>some of those supercomputers did back in the nineteen sixties.

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<v Speaker 1>You know, you could buy a netbook that has more

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<v Speaker 1>power than some of those supercomputers. But but you know,

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<v Speaker 1>this was this was a good illustration of that that

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<v Speaker 1>that observation. You can buy a smartphone. Yeah, it's kind

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<v Speaker 1>of crazy. But that's the thing about Moore's law, right,

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<v Speaker 1>I mean, it's exponential growth. So if if More's law

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<v Speaker 1>were not correct, then we wouldn't be able to do

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<v Speaker 1>those things. But it's so far held out to be true,

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<v Speaker 1>although of course, every single year that passes someone predicts

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<v Speaker 1>will be the final year for Moore's law to be

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<v Speaker 1>able to hold true, because we keep thinking we're going

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<v Speaker 1>to run into some sort of fundamental obstacle that will

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<v Speaker 1>prevent us from continuing, and yet engineers figure out a

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<v Speaker 1>way around it because they're crafty that and because they

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<v Speaker 1>want I think, haven't we established that they generally want

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<v Speaker 1>to try to. It's a self fulfilling prophecy when you

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<v Speaker 1>try to make it work, right, Yeah, it becomes one

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<v Speaker 1>of those things where you know, engineers in general and

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<v Speaker 1>even companies in particular, will dedicate a lot of resources

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<v Speaker 1>to keep it going because you never I don't think

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<v Speaker 1>anyone wants to reach the point where they say, we've

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<v Speaker 1>reached the end of of what Moore's Law has predicted.

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<v Speaker 1>We cannot we cannot continue at that pace. It doesn't

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<v Speaker 1>necessarily mean when Moore's Law does come to an end,

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<v Speaker 1>whenever that may be, it doesn't necessarily mean that we

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<v Speaker 1>that progress will stop. It may just slow down significantly. Anyway,

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<v Speaker 1>we got way off track there. They introduced the HP

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<v Speaker 1>one fifty touch screen computer. Yes, which you know, if

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<v Speaker 1>you think about it, the touch screen PC. Yeah, and

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<v Speaker 1>we're still talking about I mean, think about this. HP

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<v Speaker 1>is has managed to launch a mobile device much earlier

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<v Speaker 1>than mobile computing takes off. They launched this touch screen

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<v Speaker 1>computer way before we start seeing a lot of these

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<v Speaker 1>touch screen interfaces come out, really ahead of its time.

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<v Speaker 1>The the HP one also had a keyboard, so it

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<v Speaker 1>wasn't exclusively touch screen, but you could select items on

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<v Speaker 1>the screen by touching them, so again kind of predicting

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<v Speaker 1>the craze. Now granted almost three decades too early, but

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<v Speaker 1>but it's still pretty impressive. And oh you uh, you

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<v Speaker 1>didn't mention one thing about Mr Hewlett, Which are you

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<v Speaker 1>going with the awards? Yes, I did not. I did

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<v Speaker 1>not include the awards. I didn't well, we don't have

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<v Speaker 1>as many as uh in our Texas Instruments podcast. But

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<v Speaker 1>he did get the National Medal of Science. But you

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<v Speaker 1>were going to mention the big ants actually two of them,

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<v Speaker 1>both coming from the the Graphic Recording Division. Yeah. Um, specifically,

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<v Speaker 1>I was going to talk about the thermal ink jet printer. Uh,

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<v Speaker 1>that's that's the year that HP introduced that idea. And um,

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<v Speaker 1>I guess that's where the name think jet comes from.

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<v Speaker 1>Think jet comes from thermal ink jet. And this was

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<v Speaker 1>a new way of printing. Now, the major kind of

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<v Speaker 1>printer that was on the market before this was a

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<v Speaker 1>dot matrix printer. Those things were loud, very loud. When

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<v Speaker 1>that when they were printing you, you pretty much couldn't

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<v Speaker 1>hear yourself think. You had to sort of train yourself

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<v Speaker 1>to ignore the root noises. Um, as well as the

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<v Speaker 1>crunchy noises of the paper getting caught up in spokes

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<v Speaker 1>and things. It was not always pleasant. That's all right.

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<v Speaker 1>I had a daisy wheel even better. Whack whack, black Whackum.

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<v Speaker 1>So they do have. Earlier in the podcast we were

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<v Speaker 1>talking about, how about how HP has descriptions and photos

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<v Speaker 1>of these items on their history part of their website. Um,

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<v Speaker 1>it's interesting they have a they have a sound sample

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<v Speaker 1>of the think jet, and it's funny because the literature

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<v Speaker 1>surrounding it talks about how much quieter it is. It's

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<v Speaker 1>not what you would call quiet swissbur quiet. It's quieter er. Yeah,

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<v Speaker 1>it's not as loud. How about that? So, yeah, that

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<v Speaker 1>was a big deal, you said, You said too. Was

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<v Speaker 1>there a second part to that that you wanted to

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<v Speaker 1>talk about? That? That's all I jotted down. Oh well yeah,

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<v Speaker 1>there was another big printing advance right about the same time,

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<v Speaker 1>the laser jet. Oh, the laser jet. Yes, I didn't

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<v Speaker 1>have that down. Yeah, the laser I think jet and

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<v Speaker 1>laser jet were both both came out in the same year. Um. Now,

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<v Speaker 1>the thing jet was thing that you might would be

0:14:01.559 --> 0:14:05.480
<v Speaker 1>obviously well maybe not obviously, but a less expensive um device.

0:14:05.559 --> 0:14:09.400
<v Speaker 1>But the laser jet uh started in three thousand, five

0:14:09.480 --> 0:14:14.160
<v Speaker 1>hundred dollars, and it was a completely different kind of printing.

0:14:14.200 --> 0:14:16.640
<v Speaker 1>I mean, this was now talk about quiet. This is

0:14:16.640 --> 0:14:20.080
<v Speaker 1>gonna be a lot quieter than that ink jet printer. Um.

0:14:20.120 --> 0:14:22.880
<v Speaker 1>And this is also the point where uh, you know,

0:14:23.360 --> 0:14:28.400
<v Speaker 1>computers are becoming more common sites in offices and and

0:14:28.400 --> 0:14:31.720
<v Speaker 1>and they will be in homes uh in very very

0:14:31.760 --> 0:14:35.040
<v Speaker 1>short period of time. Is also the same year that

0:14:35.080 --> 0:14:38.440
<v Speaker 1>the mac uh, well, the Macintosh, I should say, the

0:14:38.520 --> 0:14:41.200
<v Speaker 1>Macintosh computer premiered in nineteen eight four, and we had

0:14:41.240 --> 0:14:44.000
<v Speaker 1>the IBM PC. Yeah, IBMPC had been out for a while,

0:14:44.040 --> 0:14:46.720
<v Speaker 1>and of course you know Apple had some computers help

0:14:46.880 --> 0:14:49.360
<v Speaker 1>for a few years before the Macintosh, and even the

0:14:49.400 --> 0:14:52.360
<v Speaker 1>Commodore sixty four, which debuted in nineteen eight two. So

0:14:53.240 --> 0:14:56.800
<v Speaker 1>the personal computer is starting to gain ground, yep. And

0:14:56.880 --> 0:14:59.720
<v Speaker 1>so you know you might have a think jet and

0:14:59.800 --> 0:15:02.600
<v Speaker 1>a in a home because it's a less expensive printer.

0:15:03.120 --> 0:15:05.240
<v Speaker 1>Still a lot of dot Matrix and Daisy Wheel out there,

0:15:05.240 --> 0:15:07.880
<v Speaker 1>but laser chat was what you might see in an office,

0:15:08.160 --> 0:15:11.400
<v Speaker 1>and uh, talk about a popular product. Of course, the

0:15:11.440 --> 0:15:15.600
<v Speaker 1>line still exists today. Um. It was uh in eight

0:15:15.720 --> 0:15:18.560
<v Speaker 1>four two, I believe that's when HP made Fortunes list

0:15:18.640 --> 0:15:21.560
<v Speaker 1>of the hundred Best Companies to Work for, number seven

0:15:21.560 --> 0:15:25.080
<v Speaker 1>on that list. So it's another indication that HP took

0:15:25.640 --> 0:15:29.600
<v Speaker 1>taking care of its employees very seriously. Do you have

0:15:29.640 --> 0:15:32.200
<v Speaker 1>anything for eighty seven, because my next thing is, oh, well,

0:15:32.240 --> 0:15:35.760
<v Speaker 1>I had had eighty six when HP introduced the RISK

0:15:37.120 --> 0:15:42.040
<v Speaker 1>architecture Reduced Instruction Set computing, which is, it's a it's

0:15:42.080 --> 0:15:46.680
<v Speaker 1>a type of architecture for micro processor for many computers. UM,

0:15:46.840 --> 0:15:52.960
<v Speaker 1>it's typically less expensive than other architectures. It's also, according

0:15:53.000 --> 0:15:58.920
<v Speaker 1>to many people, a better UH way of computing than SISK,

0:15:59.120 --> 0:16:04.720
<v Speaker 1>which is it's it's counterpart. But um, that's a that

0:16:04.800 --> 0:16:09.840
<v Speaker 1>goes back to the power PC versus Intel days. When

0:16:09.880 --> 0:16:11.840
<v Speaker 1>you can hear that you can get so much, you

0:16:11.840 --> 0:16:16.520
<v Speaker 1>can get some some debate going upon. It's funny because

0:16:16.560 --> 0:16:19.920
<v Speaker 1>when you when you bring this up to computer engineers

0:16:19.920 --> 0:16:24.120
<v Speaker 1>and computer scientists, you can get to some pretty crazy

0:16:24.200 --> 0:16:30.400
<v Speaker 1>debates on the various benefits and um and problems with

0:16:30.520 --> 0:16:34.040
<v Speaker 1>various kinds of architecture. Most of us just say, I

0:16:34.080 --> 0:16:36.320
<v Speaker 1>just want my computer to go fast and do things

0:16:36.640 --> 0:16:40.400
<v Speaker 1>I don't I don't care how it does that. Oh

0:16:40.480 --> 0:16:44.840
<v Speaker 1>and we didn't talk about the integral computer they were

0:16:44.840 --> 0:16:47.080
<v Speaker 1>released in all in one. I didn't find it very

0:16:47.080 --> 0:16:52.720
<v Speaker 1>integral on the podcast, and it anyway, it's also rather heavy. Yeah.

0:16:53.760 --> 0:16:56.440
<v Speaker 1>They also came out with a number of different UH

0:16:56.480 --> 0:16:59.800
<v Speaker 1>scientific calculators, like the HP eight teen C and thirty

0:16:59.840 --> 0:17:03.320
<v Speaker 1>two S eight nine. I gave up on the calculators.

0:17:03.360 --> 0:17:05.359
<v Speaker 1>There's a lot of them. I couldn't I couldn't keep up,

0:17:05.640 --> 0:17:08.359
<v Speaker 1>but it was it was a lucrative line of business

0:17:08.440 --> 0:17:11.399
<v Speaker 1>for me. And in eight seven they began their hardware

0:17:11.440 --> 0:17:14.720
<v Speaker 1>recycling program, which is again ahead of its time. Yeah.

0:17:14.720 --> 0:17:17.080
<v Speaker 1>One of those things again about HP. If you've listened

0:17:17.080 --> 0:17:19.240
<v Speaker 1>to the previous podcast, HP wanting to be a good

0:17:19.280 --> 0:17:24.800
<v Speaker 1>corporate citizen, so trying to do responsible things and not uh,

0:17:24.840 --> 0:17:29.080
<v Speaker 1>you know, not contribute too much to pollution and other problems.

0:17:29.119 --> 0:17:31.400
<v Speaker 1>In fact, there are a lot of initiatives that HP

0:17:31.560 --> 0:17:36.840
<v Speaker 1>launched that help make it a at least put it

0:17:36.880 --> 0:17:39.520
<v Speaker 1>in light of as a company that is UH is

0:17:39.520 --> 0:17:43.600
<v Speaker 1>concerned about the environment, including things like tracking greenhouse gases

0:17:43.680 --> 0:17:47.480
<v Speaker 1>that that happened later on UH. Oh, I'm sorry, you've

0:17:47.480 --> 0:17:50.680
<v Speaker 1>got a point here, just a small point that Jonathan

0:17:50.720 --> 0:17:52.520
<v Speaker 1>thought was long dead and you might have to if

0:17:52.520 --> 0:17:56.440
<v Speaker 1>you listen to the parts one and two. UM. In

0:17:56.440 --> 0:17:59.440
<v Speaker 1>in the first part we talked about the birthplace of HP.

0:17:59.680 --> 0:18:04.800
<v Speaker 1>That UM after UH Mr Hewlett and Mr Packard moved

0:18:04.800 --> 0:18:07.359
<v Speaker 1>out of the house where the garage was, they left

0:18:07.400 --> 0:18:10.919
<v Speaker 1>it to other owners and tenants over the years, but

0:18:12.800 --> 0:18:17.480
<v Speaker 1>HP decided that, uh the garage was significant UM and

0:18:17.520 --> 0:18:20.960
<v Speaker 1>probably I think because of something that you mentioned before too.

0:18:21.480 --> 0:18:25.520
<v Speaker 1>Other companies looked to HP as a leader and they started,

0:18:25.840 --> 0:18:29.359
<v Speaker 1>I think the the mythos of the whole uh starting

0:18:29.359 --> 0:18:31.440
<v Speaker 1>a tech company in your garage thing. I mean, it's

0:18:31.440 --> 0:18:35.080
<v Speaker 1>been done by others, Apple and Google, you mentioned Microsoft,

0:18:35.280 --> 0:18:38.359
<v Speaker 1>Origin Games started out of a garage well, and and

0:18:38.440 --> 0:18:41.400
<v Speaker 1>many other businesses have too. But I think HP decided

0:18:41.600 --> 0:18:44.080
<v Speaker 1>at that point that, look, other people have done this

0:18:44.160 --> 0:18:46.760
<v Speaker 1>so much that we want to we want to keep

0:18:46.800 --> 0:18:50.159
<v Speaker 1>track of this. So they decided to have the that

0:18:50.280 --> 0:18:54.080
<v Speaker 1>the garage would be on the list of historic landmarks.

0:18:54.080 --> 0:18:58.359
<v Speaker 1>So they actually started pursuing landmark status and in the

0:18:58.400 --> 0:19:01.560
<v Speaker 1>Palo al To Historic Resource His board named the garage

0:19:02.240 --> 0:19:04.760
<v Speaker 1>a city landmark. Yeah. We'll get into more of that

0:19:04.800 --> 0:19:07.280
<v Speaker 1>in a little bit, YEA, because I've got eighty eight

0:19:07.359 --> 0:19:10.879
<v Speaker 1>and the next part of that story happens in eighty nine. Yea,

0:19:11.119 --> 0:19:14.399
<v Speaker 1>in eighty seven, California did the same. I have it,

0:19:14.560 --> 0:19:18.879
<v Speaker 1>I have California naming it a California Historical Landmark in nine. Okay,

0:19:19.560 --> 0:19:24.800
<v Speaker 1>my timeline said August. See it's sometimes sometimes you run

0:19:24.840 --> 0:19:29.160
<v Speaker 1>into little differences and along these timelines. But yeah, it's

0:19:28.840 --> 0:19:32.800
<v Speaker 1>it's actually now a national landmark. Yes, originally it was

0:19:33.000 --> 0:19:36.560
<v Speaker 1>Palo Alto, then California now national. Uh. Yeah, this little

0:19:36.560 --> 0:19:39.560
<v Speaker 1>bit shack where HB started and you can see it

0:19:39.560 --> 0:19:43.800
<v Speaker 1>on Google Maps if you'd like. Yeah, we HP launched

0:19:43.800 --> 0:19:47.520
<v Speaker 1>the desk Jet printer series, which was its first mass

0:19:47.640 --> 0:19:51.560
<v Speaker 1>market ink jet. So um, they've started to bring the

0:19:51.600 --> 0:19:54.280
<v Speaker 1>costs of manufactured down so they can bring down the

0:19:54.320 --> 0:19:57.919
<v Speaker 1>cost of the actual units and start selling them to

0:19:57.920 --> 0:20:01.480
<v Speaker 1>to uh to consumers because before it was you know,

0:20:01.640 --> 0:20:05.320
<v Speaker 1>kind of like the early adopters who were getting hold

0:20:05.359 --> 0:20:09.600
<v Speaker 1>of these early think jet printers. But it wasn't until

0:20:09.680 --> 0:20:12.040
<v Speaker 1>we the desk Jet series that started to fall into

0:20:12.080 --> 0:20:14.760
<v Speaker 1>the range of the average consumer because you know, early

0:20:14.760 --> 0:20:18.400
<v Speaker 1>adopters tend to have a lot more money to play

0:20:18.440 --> 0:20:22.840
<v Speaker 1>with because it's expensive to be an early adopter. Um

0:20:22.880 --> 0:20:26.600
<v Speaker 1>and at this point in the company is doing quite well.

0:20:26.680 --> 0:20:29.320
<v Speaker 1>The revenues are now at nine point eight billion and

0:20:29.359 --> 0:20:33.480
<v Speaker 1>they have more than eighty seven thousand employees. That's kind

0:20:33.480 --> 0:20:37.800
<v Speaker 1>of large. Yeah, so you've got the historical landmark thing

0:20:37.800 --> 0:20:40.160
<v Speaker 1>happening either in eight seven or eighty nine, or perhaps both,

0:20:40.200 --> 0:20:44.720
<v Speaker 1>because you know, well I got my information from HP timelines,

0:20:44.840 --> 0:20:46.960
<v Speaker 1>so they have it listed as both. I would I

0:20:47.000 --> 0:20:49.080
<v Speaker 1>would think that eighty nine is is it? Because I

0:20:49.119 --> 0:20:53.040
<v Speaker 1>had it on that one? So interesting? And so they

0:20:53.040 --> 0:20:55.840
<v Speaker 1>did get a plaque in eighty nine that that declared

0:20:56.040 --> 0:21:00.720
<v Speaker 1>the garage the birthplace of Silicon Valley. There is a

0:21:00.800 --> 0:21:04.600
<v Speaker 1>monument there with a sandstone rock in the front yard. Um,

0:21:04.640 --> 0:21:07.640
<v Speaker 1>and uh, just well we can get to that later.

0:21:07.680 --> 0:21:09.680
<v Speaker 1>But they they you can actually go by and see

0:21:09.720 --> 0:21:12.680
<v Speaker 1>the plaque. It is there at the at the place

0:21:12.760 --> 0:21:16.840
<v Speaker 1>you can't go into the garage. I can imagine just

0:21:17.160 --> 0:21:19.680
<v Speaker 1>these people constantly coming out of that house yelling, get

0:21:19.720 --> 0:21:22.200
<v Speaker 1>off my lawn, you nerds. That'll come up later, Okay.

0:21:22.240 --> 0:21:27.879
<v Speaker 1>So in uh, the desk Chet, yeah, which was a

0:21:27.960 --> 0:21:31.440
<v Speaker 1>color printer, so this is the early days for color

0:21:31.480 --> 0:21:34.320
<v Speaker 1>printers for the consumer market. Um. They also created the

0:21:34.520 --> 0:21:39.000
<v Speaker 1>HP l X, which was a palm top PC I

0:21:39.040 --> 0:21:42.920
<v Speaker 1>love how these these terms get bandied about. Yeah, yeah,

0:21:43.080 --> 0:21:46.240
<v Speaker 1>I love that every single product is well, not every

0:21:46.240 --> 0:21:49.920
<v Speaker 1>single most of the products are HP. Couple of numbers,

0:21:50.520 --> 0:21:54.000
<v Speaker 1>a couple of letters. Yeah, still so confusing. Like if

0:21:54.040 --> 0:21:55.760
<v Speaker 1>you if you started rattling them off to me at

0:21:55.760 --> 0:21:58.240
<v Speaker 1>this point, even though we've just talked about them, I'd

0:21:58.240 --> 0:22:02.399
<v Speaker 1>be like, Um, is that a calculator? No, silly, that

0:22:02.480 --> 0:22:08.919
<v Speaker 1>was an awful leader. John Young retires. Now if you

0:22:09.000 --> 0:22:11.120
<v Speaker 1>were listening to our last podcast, you would have heard

0:22:11.119 --> 0:22:15.800
<v Speaker 1>about John Young becoming the president and CEO of HP. Uh.

0:22:15.840 --> 0:22:19.000
<v Speaker 1>So he retires, and a man named Lou Platt becomes

0:22:19.040 --> 0:22:24.119
<v Speaker 1>the new president and CEO. UH, and then in Packard

0:22:24.359 --> 0:22:29.080
<v Speaker 1>finally retires. Hewlett had retired several years earlier, but Packard

0:22:29.080 --> 0:22:33.479
<v Speaker 1>retires ninety three as chairman. So Platt then becomes the

0:22:33.560 --> 0:22:36.040
<v Speaker 1>new chairman. So he's the president, CEO, and chairman of

0:22:36.040 --> 0:22:38.920
<v Speaker 1>the board. Now this is when that becomes sort of

0:22:39.400 --> 0:22:42.360
<v Speaker 1>common for the leader of HP. From that point forward,

0:22:42.760 --> 0:22:44.719
<v Speaker 1>you start to see a lot of the HP leaders

0:22:45.320 --> 0:22:49.479
<v Speaker 1>assume all three of those roles. So, um, now we

0:22:49.520 --> 0:22:51.760
<v Speaker 1>finally have it where both of the founders have stepped

0:22:51.800 --> 0:22:57.639
<v Speaker 1>back from the company UH and then the company introduces

0:22:57.760 --> 0:23:02.679
<v Speaker 1>the Omnibook three hundred Done. Done. It was a portable computer.

0:23:02.800 --> 0:23:06.520
<v Speaker 1>Weighed three pounds, not that heavy really, um and kind

0:23:06.520 --> 0:23:10.800
<v Speaker 1>of a predecessor for the laptops that we'd see later on.

0:23:10.880 --> 0:23:13.399
<v Speaker 1>I mean I had a folding form factor just like

0:23:13.440 --> 0:23:16.560
<v Speaker 1>a laptop dead uh and you know not you know,

0:23:16.600 --> 0:23:19.360
<v Speaker 1>almost like a predecessor to netbooks in a way. Yeah,

0:23:19.720 --> 0:23:23.199
<v Speaker 1>because again it was supposed to be extremely portable. I

0:23:23.200 --> 0:23:26.560
<v Speaker 1>would like to point something out here. Um, at this point,

0:23:26.600 --> 0:23:28.920
<v Speaker 1>I would argue that HP still sees itself as a

0:23:29.000 --> 0:23:36.040
<v Speaker 1>business to business company. They're making products for primarily for businesses. Um. Yeah,

0:23:36.080 --> 0:23:38.040
<v Speaker 1>they do have their eyes on the consumer. They're selling

0:23:38.040 --> 0:23:41.560
<v Speaker 1>products to consumers, but I think they still sort of uh,

0:23:41.760 --> 0:23:44.600
<v Speaker 1>they're making a lot of these products for people who

0:23:44.760 --> 0:23:48.840
<v Speaker 1>are using their stuff in companies. Uh. And that's that's

0:23:49.040 --> 0:23:51.560
<v Speaker 1>a wise move on their part because that's a lucrative

0:23:51.600 --> 0:23:54.720
<v Speaker 1>market for them. Um. But they will they will be

0:23:54.720 --> 0:23:56.600
<v Speaker 1>branching out in the near future. I just wanted to

0:23:56.600 --> 0:24:00.600
<v Speaker 1>point that out. Um. They did begin work on sixty

0:24:00.600 --> 0:24:07.080
<v Speaker 1>four bit microprocessor architecture with Intel. Yeah. Yeah, so they

0:24:07.160 --> 0:24:11.159
<v Speaker 1>partner with Intel to work on this. Uh, this architecture

0:24:11.200 --> 0:24:14.399
<v Speaker 1>design for sixty four bit microprocessors. If you listen to

0:24:14.400 --> 0:24:16.879
<v Speaker 1>our thirty two bit versus sixty four bit podcast and

0:24:16.880 --> 0:24:19.880
<v Speaker 1>you know more about that. If you haven't, will wait,

0:24:21.119 --> 0:24:26.080
<v Speaker 1>welcome back. The HP then produces the world's brightest led

0:24:26.880 --> 0:24:30.080
<v Speaker 1>for no reason. No, that's not that's not true. Well,

0:24:30.119 --> 0:24:33.119
<v Speaker 1>remember we talked about HP Labs UM, and that was

0:24:33.160 --> 0:24:37.760
<v Speaker 1>a division of the company created decades before to come

0:24:37.840 --> 0:24:42.240
<v Speaker 1>up with new and innovative uses of technology. So I

0:24:42.240 --> 0:24:43.800
<v Speaker 1>think that was that had a lot to do it.

0:24:43.840 --> 0:24:49.040
<v Speaker 1>But they found UM applications in a number of things

0:24:49.040 --> 0:24:52.919
<v Speaker 1>like message signs and cars and traffic signals, so that

0:24:53.040 --> 0:24:55.040
<v Speaker 1>that's one of those things. And uh, this is when

0:24:55.080 --> 0:24:57.280
<v Speaker 1>we started seeing the office yet you know, the all

0:24:57.359 --> 0:25:02.600
<v Speaker 1>in one facts copier, printer, the latte machine, except maybe

0:25:02.640 --> 0:25:05.520
<v Speaker 1>not with the latte machine. Um, but that was the

0:25:05.840 --> 0:25:08.760
<v Speaker 1>what hpiece as is the world's first of those mass

0:25:08.840 --> 0:25:12.280
<v Speaker 1>market all in ones, yeah, which you know you see

0:25:12.280 --> 0:25:15.520
<v Speaker 1>a lot of those today. Yeah, very compact ones now too. Yeah,

0:25:15.520 --> 0:25:18.119
<v Speaker 1>but that that was aimed at the home office, right, Yeah.

0:25:18.240 --> 0:25:20.360
<v Speaker 1>The idea being that you know, if if you only

0:25:20.400 --> 0:25:23.280
<v Speaker 1>you only have so much space, and most people don't

0:25:23.280 --> 0:25:25.800
<v Speaker 1>have space to have a printer, a copier, and a

0:25:25.880 --> 0:25:28.640
<v Speaker 1>VEX machine altogether. That would be much easier to conserve

0:25:28.720 --> 0:25:31.120
<v Speaker 1>that space and have a one all in one unit,

0:25:31.119 --> 0:25:35.679
<v Speaker 1>which is what HP did. They created the Pavilion PC.

0:25:36.160 --> 0:25:40.280
<v Speaker 1>And that's really when HP went after the consumer market. Yeah,

0:25:40.400 --> 0:25:42.320
<v Speaker 1>and that's what that that's sort of what I meant

0:25:42.359 --> 0:25:44.879
<v Speaker 1>before they were they weren't really aiming for that market.

0:25:44.880 --> 0:25:46.760
<v Speaker 1>They were they were just sort of hitting it anywhere.

0:25:47.320 --> 0:25:49.760
<v Speaker 1>So now they're going, hey, all you home people, we

0:25:49.840 --> 0:25:53.720
<v Speaker 1>make stuff for you to listen hear home Chicken, Home Chicken.

0:25:54.359 --> 0:25:56.879
<v Speaker 1>You need yourself a computer. And then there was the

0:25:56.920 --> 0:26:00.920
<v Speaker 1>p d A that they released in ninety eight, the Jornada, Yes,

0:26:00.960 --> 0:26:03.760
<v Speaker 1>the Jornada Personal Digital Assistant for those of you who

0:26:03.800 --> 0:26:06.800
<v Speaker 1>don't remember what PDAs are. Look at a smartphone, take

0:26:06.880 --> 0:26:10.880
<v Speaker 1>the phone part out. Um reduced its ability to run

0:26:10.920 --> 0:26:15.119
<v Speaker 1>apps dramatically, and that's a p d A. Also, just

0:26:15.240 --> 0:26:17.720
<v Speaker 1>jumping back really quickly, because there's a couple of things

0:26:17.720 --> 0:26:21.000
<v Speaker 1>we need to talk about. That's when Packard published the

0:26:21.200 --> 0:26:25.000
<v Speaker 1>HP Way, right, and we talked about the HP Way before. Yeah,

0:26:25.040 --> 0:26:27.520
<v Speaker 1>And that was something that was inside the company, was

0:26:27.600 --> 0:26:31.359
<v Speaker 1>company information about how basically a plan, how they wanted

0:26:31.359 --> 0:26:33.439
<v Speaker 1>the business to be run kind of a guideline. And

0:26:33.480 --> 0:26:36.280
<v Speaker 1>then so he publishes a book that really expands upon

0:26:36.320 --> 0:26:38.680
<v Speaker 1>that and also just talks about the experiences of creating

0:26:38.680 --> 0:26:42.800
<v Speaker 1>this company. But in nineties six he passes away. So Packard,

0:26:43.040 --> 0:26:46.159
<v Speaker 1>the one of the co founders of Hewlett Packard, passes

0:26:46.200 --> 0:26:51.680
<v Speaker 1>away in UH. So in n lou Platt retires, and

0:26:51.800 --> 0:26:56.800
<v Speaker 1>here's where we get into some thorny controversy and problems

0:26:56.840 --> 0:26:59.919
<v Speaker 1>with Hewlett Packard. Really uh you know, Packard had just

0:27:00.000 --> 0:27:02.920
<v Speaker 1>passed away. And then three years later ninety nine, lou

0:27:02.960 --> 0:27:08.399
<v Speaker 1>Platt retires and the new president and CEO elected to

0:27:08.560 --> 0:27:14.960
<v Speaker 1>HP is Carly Fiorina. Now is also when again this

0:27:15.000 --> 0:27:16.760
<v Speaker 1>goes back to our very first episode. They used to

0:27:16.800 --> 0:27:22.760
<v Speaker 1>make electronic measuring equipment UM. HP decides to divest itself

0:27:23.200 --> 0:27:27.200
<v Speaker 1>of that and it spun off a company that handled

0:27:27.240 --> 0:27:31.640
<v Speaker 1>it the measurement equipment, chemical analysis and the medical stuff.

0:27:31.680 --> 0:27:34.920
<v Speaker 1>Remember they acquired a medical company a long long time ago,

0:27:35.400 --> 0:27:38.919
<v Speaker 1>and they decided that they would become its own company,

0:27:38.920 --> 0:27:42.840
<v Speaker 1>and now that company is called Agilant Technologies UM. But

0:27:43.240 --> 0:27:48.400
<v Speaker 1>the divestiture UH finished in the year two thousand. Meanwhile,

0:27:48.480 --> 0:27:51.119
<v Speaker 1>to to jump back over to Fiorina for a minute.

0:27:52.600 --> 0:27:55.760
<v Speaker 1>Her tenure at HP is one of those that is

0:27:55.960 --> 0:28:00.000
<v Speaker 1>sort of steeped in I don't know, controversy is probably

0:28:00.040 --> 0:28:02.360
<v Speaker 1>not the right word, but there there's been some pretty

0:28:02.440 --> 0:28:06.359
<v Speaker 1>heavy criticism directed towards Greena and her the way she

0:28:06.520 --> 0:28:09.840
<v Speaker 1>led HP. Now, I want to say, first of all,

0:28:10.280 --> 0:28:14.400
<v Speaker 1>she had an incredible burden placed on her because one

0:28:14.440 --> 0:28:18.160
<v Speaker 1>of the one of the co founders had passed away. Um,

0:28:18.240 --> 0:28:21.120
<v Speaker 1>she was looking at the at a company that was

0:28:21.520 --> 0:28:24.880
<v Speaker 1>very much accustomed to doing things a very particular way,

0:28:24.960 --> 0:28:27.919
<v Speaker 1>and perhaps in her mind she felt that this was

0:28:28.359 --> 0:28:31.560
<v Speaker 1>a sign of complacency and that in order to really

0:28:31.560 --> 0:28:34.119
<v Speaker 1>be a successful company they were going to have to

0:28:34.160 --> 0:28:37.520
<v Speaker 1>try and break out and do new things that were

0:28:37.560 --> 0:28:40.080
<v Speaker 1>that you know, maybe we're outside the comfort zone of

0:28:40.160 --> 0:28:43.960
<v Speaker 1>the company, but you can argue that, you know, some

0:28:44.080 --> 0:28:47.040
<v Speaker 1>of the best leaders in industry had that same sort

0:28:47.080 --> 0:28:52.240
<v Speaker 1>of idea. You know, you can't. I think some of

0:28:52.280 --> 0:28:54.640
<v Speaker 1>the criticism is is well founded, and I think some

0:28:54.720 --> 0:29:00.000
<v Speaker 1>of the criticism might be a little exaggerated. However, there

0:28:59.800 --> 0:29:02.400
<v Speaker 1>are certain results that you cannot argue with, and one

0:29:02.440 --> 0:29:05.520
<v Speaker 1>of those is that during Fiorina's tenure at HP, the

0:29:05.560 --> 0:29:10.240
<v Speaker 1>stock price dropped dramatically. UM. Now, it's high was around

0:29:10.640 --> 0:29:14.160
<v Speaker 1>seventy four dollars before Fiorina took over, but by the

0:29:14.200 --> 0:29:16.880
<v Speaker 1>time she did take over, it was right around UM

0:29:17.240 --> 0:29:20.200
<v Speaker 1>fifty one dollars or so, and by the time she

0:29:20.280 --> 0:29:23.040
<v Speaker 1>left it was around twenty one dollars. Yeah, it was

0:29:23.080 --> 0:29:26.080
<v Speaker 1>a dramatic drop. That's why when I made that joke

0:29:26.400 --> 0:29:28.920
<v Speaker 1>in the previous podcast about if you could travel through time,

0:29:28.920 --> 0:29:31.440
<v Speaker 1>you would want to go back and buy the HP

0:29:31.560 --> 0:29:34.160
<v Speaker 1>stock when it launched at sixteen dollars a share and

0:29:34.240 --> 0:29:36.160
<v Speaker 1>sell it in ninety nine when it was at its

0:29:36.200 --> 0:29:42.560
<v Speaker 1>highest point, just before UM lou Platte decided to retire. UM.

0:29:42.680 --> 0:29:45.560
<v Speaker 1>So we'll talk a little bit more about the decisions

0:29:45.600 --> 0:29:50.440
<v Speaker 1>that Fiorina made. She actually uh ended up on a

0:29:50.480 --> 0:29:55.200
<v Speaker 1>list made by Conde Nasta's portfolio UH that was called

0:29:55.200 --> 0:29:59.000
<v Speaker 1>the twenty worst American CEOs of all time, which is

0:29:59.120 --> 0:30:02.240
<v Speaker 1>that's an ouch right there. Um. She had come from

0:30:02.320 --> 0:30:04.560
<v Speaker 1>A T and T and Lucent Technologies, by the way,

0:30:04.600 --> 0:30:06.800
<v Speaker 1>that's where she was before she came over to HP.

0:30:06.880 --> 0:30:09.800
<v Speaker 1>And that was another big point of contention, was that

0:30:10.600 --> 0:30:14.680
<v Speaker 1>she was the first CEO to come from outside of HP.

0:30:15.720 --> 0:30:18.800
<v Speaker 1>She had not been working there and then grown from within.

0:30:19.240 --> 0:30:22.880
<v Speaker 1>She was brought from outside. She actually ended up prevailing

0:30:22.960 --> 0:30:26.360
<v Speaker 1>over an internal candidate to become the president and CEO

0:30:27.000 --> 0:30:30.680
<v Speaker 1>and um and and this sort of marks the beginning

0:30:30.880 --> 0:30:35.880
<v Speaker 1>of a very uncertain time and hps uh existence which

0:30:35.960 --> 0:30:40.120
<v Speaker 1>extends all the way up to present day. So UM

0:30:40.240 --> 0:30:44.840
<v Speaker 1>so that we'll go more into what happens with Fiorina

0:30:44.880 --> 0:30:47.440
<v Speaker 1>in the next few years. Um and, do you have

0:30:47.480 --> 0:30:49.200
<v Speaker 1>anything for two thousand, Well, I was just going to

0:30:49.240 --> 0:30:52.320
<v Speaker 1>tell im, I was just going to point out that, uh,

0:30:52.520 --> 0:30:58.680
<v Speaker 1>Fiorina took over with the spinoff of Agulant Technologies, um

0:30:58.960 --> 0:31:02.280
<v Speaker 1>HP was getting away from some of the core businesses

0:31:02.920 --> 0:31:05.800
<v Speaker 1>that made it the company that it it is now.

0:31:06.440 --> 0:31:08.560
<v Speaker 1>And that was one of the things that Dave Packard

0:31:08.560 --> 0:31:13.160
<v Speaker 1>had set aside as important to stick with what you

0:31:13.240 --> 0:31:17.000
<v Speaker 1>know and and find ways that the company can make contributions,

0:31:17.360 --> 0:31:20.040
<v Speaker 1>but at the same time reach out and and grow.

0:31:20.280 --> 0:31:23.320
<v Speaker 1>And one on the one hand, you say, well, this

0:31:23.400 --> 0:31:25.840
<v Speaker 1>has now grown so big that it really belongs as

0:31:25.880 --> 0:31:28.680
<v Speaker 1>its own company. It's we obviously let's see a lot

0:31:28.680 --> 0:31:32.400
<v Speaker 1>of growth and computing, personal computing, business computing. Uh, we're

0:31:32.400 --> 0:31:34.520
<v Speaker 1>doing well here. Let's let's stick with it and get

0:31:34.600 --> 0:31:36.320
<v Speaker 1>rid of these guys and let them be their own thing.

0:31:36.800 --> 0:31:38.400
<v Speaker 1>But at the same time, you go, well, at the

0:31:38.440 --> 0:31:42.440
<v Speaker 1>same you know, you've you've got this. It's strong and

0:31:42.560 --> 0:31:45.520
<v Speaker 1>it could survive and be a thriving part of of HP.

0:31:45.880 --> 0:31:49.320
<v Speaker 1>So they kind of the company kind of broke with tradition,

0:31:50.160 --> 0:31:53.880
<v Speaker 1>both in hiring as a CEO who was not brought

0:31:53.920 --> 0:31:57.400
<v Speaker 1>up within HP culture and in spinning off some of

0:31:57.400 --> 0:32:00.960
<v Speaker 1>its core from the founding of the company core businesses. Yeah,

0:32:01.080 --> 0:32:04.760
<v Speaker 1>and things just got a little things get worse from

0:32:04.800 --> 0:32:08.640
<v Speaker 1>there on. Out two one, Hewlett passes away, So now

0:32:08.680 --> 0:32:12.960
<v Speaker 1>both the founders have passed away. Uh. And meanwhile the

0:32:13.000 --> 0:32:17.680
<v Speaker 1>company creates HP Services, which is a consulting branch. It's

0:32:17.720 --> 0:32:22.600
<v Speaker 1>meant to provide support and solutions for mostly enterprises, big

0:32:22.640 --> 0:32:24.960
<v Speaker 1>businesses when they're looking for things like network support and

0:32:24.960 --> 0:32:28.680
<v Speaker 1>that kind of stuff. Um, so it's it's again another

0:32:28.720 --> 0:32:32.800
<v Speaker 1>departure from hpce core. They're not you know, they're mainly

0:32:32.840 --> 0:32:36.720
<v Speaker 1>a products company, not services company. And then that year

0:32:36.920 --> 0:32:41.440
<v Speaker 1>HP stocks fall really sharply. But to be fair, the

0:32:41.560 --> 0:32:44.200
<v Speaker 1>entire market in two thousand one suffered quite a bit,

0:32:44.320 --> 0:32:49.560
<v Speaker 1>especially after September eleven, the terrorist attacks on September eleven.

0:32:49.720 --> 0:32:56.480
<v Speaker 1>Took a had had far reaching implications in multiple avenues including, uh,

0:32:56.840 --> 0:33:01.160
<v Speaker 1>the world of finance, and so the technology g industry

0:33:01.240 --> 0:33:04.000
<v Speaker 1>took a big hit in two thousand one, and of

0:33:04.040 --> 0:33:08.920
<v Speaker 1>course HP had its own uh personal corporate tragedy as

0:33:08.960 --> 0:33:13.200
<v Speaker 1>well with the passing of Bill HEWITTT. Yeah, so it

0:33:13.240 --> 0:33:15.120
<v Speaker 1>was it was a difficult ear for the it was.

0:33:15.240 --> 0:33:18.320
<v Speaker 1>And in two thousand two, HP acquired a company called Indigo,

0:33:18.440 --> 0:33:22.560
<v Speaker 1>which is help it's digital publishing branch, which again you're

0:33:22.800 --> 0:33:25.440
<v Speaker 1>you know, it seemed kind of interesting compared to what

0:33:25.680 --> 0:33:28.120
<v Speaker 1>HP had been doing up to that point. Uh. And

0:33:28.240 --> 0:33:30.360
<v Speaker 1>they also started getting into in a big way. They

0:33:30.360 --> 0:33:34.840
<v Speaker 1>start conducting research and development in the field of nanotechnology UM.

0:33:35.000 --> 0:33:41.360
<v Speaker 1>And then there was a merger that one of the

0:33:41.360 --> 0:33:44.760
<v Speaker 1>most heavily criticized mergers, Like it's right up there with

0:33:45.160 --> 0:33:48.640
<v Speaker 1>with A O. L and Time Warner. As far as

0:33:49.040 --> 0:33:53.800
<v Speaker 1>the criticisms, now, I would argue that Time has been

0:33:53.920 --> 0:33:56.560
<v Speaker 1>kinder to this merger than some of the other ones

0:33:56.600 --> 0:33:59.280
<v Speaker 1>we've heard about it in the past. But the initial

0:33:59.440 --> 0:34:03.960
<v Speaker 1>remarks at the short term implications of this merger, we're

0:34:04.120 --> 0:34:07.840
<v Speaker 1>not good, but I'm dancing around it. But HP merged

0:34:07.920 --> 0:34:15.480
<v Speaker 1>with Compact to become this mega PC company. And UH,

0:34:16.280 --> 0:34:19.239
<v Speaker 1>there were a lot of people, a lot of industry analysts,

0:34:19.280 --> 0:34:23.840
<v Speaker 1>a lot of shareholders. UH, there were people of the

0:34:23.840 --> 0:34:28.320
<v Speaker 1>the children of the founders who objected to this merger,

0:34:28.880 --> 0:34:31.040
<v Speaker 1>said that this was a bad idea, that it was

0:34:31.080 --> 0:34:33.600
<v Speaker 1>going to cost the company too much money, that it

0:34:33.719 --> 0:34:36.840
<v Speaker 1>just didn't make any sense. And UH as a result,

0:34:36.920 --> 0:34:42.040
<v Speaker 1>the stock price you don't dip down again, and Fiorina

0:34:42.200 --> 0:34:45.759
<v Speaker 1>ended up getting even more criticism directed toward her for

0:34:45.880 --> 0:34:49.800
<v Speaker 1>this merger. Now and in two thousand eleven, at least

0:34:49.960 --> 0:34:52.799
<v Speaker 1>the early part of two thousand eleven, the stocks for

0:34:52.920 --> 0:34:56.920
<v Speaker 1>HP had improved quite a bit, back up to pretty

0:34:57.000 --> 0:35:01.560
<v Speaker 1>much the the era before Fiorina took a UH. The

0:35:01.640 --> 0:35:03.759
<v Speaker 1>second half of two thousand eleven is a totally different story.

0:35:03.880 --> 0:35:07.440
<v Speaker 1>We'll get into that. But but the the improvement of

0:35:07.480 --> 0:35:10.560
<v Speaker 1>the stock prices as well as the revenues generated through

0:35:10.560 --> 0:35:13.600
<v Speaker 1>this merger have sort of played out in such a

0:35:13.600 --> 0:35:15.759
<v Speaker 1>way that the murder doesn't look like it was such

0:35:15.800 --> 0:35:17.720
<v Speaker 1>a bad idea. It was just it was a long

0:35:18.239 --> 0:35:20.480
<v Speaker 1>it was a long play. It wasn't a short term

0:35:20.560 --> 0:35:23.600
<v Speaker 1>gain thing. So it may be that some of that

0:35:23.640 --> 0:35:28.120
<v Speaker 1>criticism was not completely warranted. Now, I am not a

0:35:28.160 --> 0:35:31.439
<v Speaker 1>financial genius by any stretch of the imagination, or else

0:35:31.520 --> 0:35:35.000
<v Speaker 1>I would be um listening to podcasts and not doing them.

0:35:35.040 --> 0:35:38.839
<v Speaker 1>But but so I can't really comment on this because

0:35:39.040 --> 0:35:41.920
<v Speaker 1>you know, I honestly I don't have enough insight into it.

0:35:42.000 --> 0:35:46.319
<v Speaker 1>I can only mentioned about the analysts. But moving on

0:35:46.400 --> 0:35:51.040
<v Speaker 1>to two thousand four, By that time, HP was number

0:35:51.080 --> 0:35:54.520
<v Speaker 1>eleven on the Fortune five lists. So clearly the company's

0:35:54.560 --> 0:35:57.680
<v Speaker 1>doing something right, right yep. And that's that's when it

0:35:57.960 --> 0:36:02.280
<v Speaker 1>UH went all in on the consumer market. To um.

0:36:02.320 --> 0:36:05.440
<v Speaker 1>They had a whole bunch of new consumer devices including

0:36:05.640 --> 0:36:10.279
<v Speaker 1>uh uh flat panel TVs, plasma and l C D televisions,

0:36:10.560 --> 0:36:13.799
<v Speaker 1>both of them, and the HP Digital Entertainment Center, and

0:36:13.840 --> 0:36:19.080
<v Speaker 1>they partnered with Apple Apple iPod from HP. I don't

0:36:19.080 --> 0:36:21.160
<v Speaker 1>remember that at all. I remember it, and I remember

0:36:21.160 --> 0:36:24.399
<v Speaker 1>it making my eyes bug out and going really, yeah,

0:36:24.440 --> 0:36:28.040
<v Speaker 1>I have no memory of this, and uh I didn't

0:36:28.080 --> 0:36:30.120
<v Speaker 1>mention something for two thousand, But it's all right because

0:36:30.160 --> 0:36:32.359
<v Speaker 1>I can roll it in here. And two thousand HP

0:36:32.480 --> 0:36:37.560
<v Speaker 1>had finally purchased the house at three sixty seven Addison Avenue,

0:36:37.560 --> 0:36:39.439
<v Speaker 1>and in two thousand four they announced that they would

0:36:39.440 --> 0:36:45.040
<v Speaker 1>be renovating it and rehabilitating the house, garage and the shed,

0:36:45.680 --> 0:36:48.440
<v Speaker 1>um which it has successfully done. It basically as a

0:36:48.440 --> 0:36:53.480
<v Speaker 1>company owned property, which they are basically keeping up and

0:36:53.520 --> 0:36:56.680
<v Speaker 1>they say it looks very much as it did back

0:36:56.719 --> 0:37:00.880
<v Speaker 1>in when Mr Hewlett and Mr Packard started the company,

0:37:00.920 --> 0:37:02.799
<v Speaker 1>which I think is again I think it's kind of

0:37:02.840 --> 0:37:07.000
<v Speaker 1>cool that they're showing that devotion to their history and tradition.

0:37:07.120 --> 0:37:09.600
<v Speaker 1>It was definitely in dire need of rehabilitation because in

0:37:09.640 --> 0:37:12.400
<v Speaker 1>the late seventies it got into this whole punk glam

0:37:12.400 --> 0:37:14.320
<v Speaker 1>thing and it just fell in with the wrong crowd.

0:37:15.080 --> 0:37:17.560
<v Speaker 1>So I'm glad it finally got the help it needed. Uh,

0:37:17.560 --> 0:37:21.680
<v Speaker 1>and UM moving on. In two thousand five, HP acquired

0:37:21.719 --> 0:37:24.960
<v Speaker 1>a company called cy Text Vision, which, Yeah, that was

0:37:25.000 --> 0:37:28.840
<v Speaker 1>a company that made printers that could print in super

0:37:28.880 --> 0:37:34.879
<v Speaker 1>wide formats, so like really wide posters or banners or signs, billboards, billboards. Yeah,

0:37:34.880 --> 0:37:37.480
<v Speaker 1>we're talking about like stuff that you know when you

0:37:37.520 --> 0:37:40.440
<v Speaker 1>look out there and you see something that's a huge poster. Uh,

0:37:40.560 --> 0:37:43.440
<v Speaker 1>that's sort of the business this company's And if you've

0:37:43.480 --> 0:37:47.799
<v Speaker 1>ever been to an industry convention or driven by one, UM,

0:37:47.840 --> 0:37:49.759
<v Speaker 1>that's the sort of stuff we're talking about, Like I

0:37:49.800 --> 0:37:51.680
<v Speaker 1>think of things like C, E S and E three.

0:37:51.719 --> 0:37:54.080
<v Speaker 1>I mean, you just see these banners everywhere, and it's

0:37:54.120 --> 0:37:58.120
<v Speaker 1>companies like cy Text Vision that print those up and UH.

0:37:58.320 --> 0:38:01.400
<v Speaker 1>February two thousand five was when FI Arena was forced

0:38:01.480 --> 0:38:05.520
<v Speaker 1>to resign from Hewlett Packer. The board of directors had

0:38:05.600 --> 0:38:09.760
<v Speaker 1>had enough. They felt that the stock price was really

0:38:10.680 --> 0:38:13.359
<v Speaker 1>just not where they wanted it to be. The shareholders

0:38:13.360 --> 0:38:16.640
<v Speaker 1>were unhappy. The merger with Compact at that point was

0:38:16.719 --> 0:38:20.200
<v Speaker 1>not paying off, but it was again early days for that,

0:38:20.800 --> 0:38:24.719
<v Speaker 1>and so they decided to Um to give her the boot.

0:38:25.239 --> 0:38:29.120
<v Speaker 1>She would later get into politics. She actually ran for

0:38:29.200 --> 0:38:33.000
<v Speaker 1>a Senate seat in California and did not win that,

0:38:33.560 --> 0:38:37.760
<v Speaker 1>but Um still very active in the political arena. Meanwhile,

0:38:38.880 --> 0:38:42.600
<v Speaker 1>UH for the for a short time, Bob Weyman acted

0:38:42.640 --> 0:38:45.839
<v Speaker 1>as the interim CEO, but then they hired on Mark

0:38:46.000 --> 0:38:49.719
<v Speaker 1>Heard to become the president and CEO, and in the

0:38:49.719 --> 0:38:52.360
<v Speaker 1>following year in two six, he also becomes the chairman.

0:38:52.440 --> 0:38:54.839
<v Speaker 1>So again we have a president, CEO, and chairman all

0:38:54.880 --> 0:38:58.160
<v Speaker 1>in one, all those roles held by one person. Two

0:38:58.160 --> 0:39:02.120
<v Speaker 1>thousand and six was a big year. They HP acquired

0:39:02.239 --> 0:39:07.680
<v Speaker 1>Voodoo PC. Yeah, it's voodoo, Yeah, exactly. They produced high

0:39:07.840 --> 0:39:11.400
<v Speaker 1>end gaming rigs, so kind of like alien ware, you know,

0:39:11.480 --> 0:39:15.000
<v Speaker 1>that sort of thing like the super Fast, which was

0:39:15.040 --> 0:39:20.319
<v Speaker 1>purchased by Dell. So trying to really reach out to

0:39:20.400 --> 0:39:22.920
<v Speaker 1>the consumer market to an even greater extent than it

0:39:22.960 --> 0:39:27.080
<v Speaker 1>had already. They also acquired a company called Mercury Interactive Corporation,

0:39:27.600 --> 0:39:30.919
<v Speaker 1>which was a business software company. Uh. And then there

0:39:31.000 --> 0:39:33.040
<v Speaker 1>was a story that broke in newsweek. Do you remember

0:39:33.040 --> 0:39:39.080
<v Speaker 1>this story about the spying, the internal spying at HP. Okay,

0:39:39.160 --> 0:39:45.239
<v Speaker 1>so the story said that that the HP chairwoman, Patricia Dunn,

0:39:45.719 --> 0:39:49.040
<v Speaker 1>this is before heard, has become the chairman, but that

0:39:49.080 --> 0:39:53.879
<v Speaker 1>Patricia Dunn had hired a security team because there were

0:39:53.920 --> 0:39:58.319
<v Speaker 1>stories leaking out from the executive level at HP, and

0:39:58.800 --> 0:40:01.560
<v Speaker 1>they were reaching the media, primarily they were reaching c net.

0:40:02.280 --> 0:40:06.000
<v Speaker 1>And one of those stories was about um Fiorina. The

0:40:06.040 --> 0:40:08.560
<v Speaker 1>board being unhappy with Fiorina and wanting to get rid

0:40:08.600 --> 0:40:10.880
<v Speaker 1>of her. This was before she was forced to resign,

0:40:11.440 --> 0:40:14.640
<v Speaker 1>and HP at the time denied that there were any

0:40:14.680 --> 0:40:17.120
<v Speaker 1>such talks, and then about a week later, Fiorina was

0:40:17.160 --> 0:40:22.640
<v Speaker 1>fired and uh, Meanwhile, Patricia Dunne was very upset that

0:40:22.800 --> 0:40:27.120
<v Speaker 1>such sensitive information was leaking, and so she hired a

0:40:27.120 --> 0:40:29.000
<v Speaker 1>security team to kind of find out what was going on,

0:40:29.520 --> 0:40:34.719
<v Speaker 1>and allegedly the security team consisted of private investigators who

0:40:34.719 --> 0:40:39.680
<v Speaker 1>were spying on HP employees and on journalists. So there

0:40:39.760 --> 0:40:44.480
<v Speaker 1>was a big scandal that broke because of this spying, saying,

0:40:44.480 --> 0:40:48.840
<v Speaker 1>you know, the HP board doesn't trust HP employees and

0:40:48.880 --> 0:40:53.560
<v Speaker 1>that this mistrust is fundamentally against the principles that HP

0:40:53.719 --> 0:40:56.440
<v Speaker 1>was founded upon, and that you know, it just was

0:40:57.680 --> 0:41:01.120
<v Speaker 1>unconscionable and done would actually were sign That's when Mark

0:41:01.160 --> 0:41:03.800
<v Speaker 1>Heard became the chairman UH and the state of California

0:41:03.800 --> 0:41:07.360
<v Speaker 1>actually filed charges against Patricia Dunn, but the case was

0:41:07.440 --> 0:41:10.759
<v Speaker 1>later dismissed so it never went to trial. UH. And

0:41:11.160 --> 0:41:15.479
<v Speaker 1>then two thousand seven, HP introduces the touch Smart PC,

0:41:15.680 --> 0:41:17.319
<v Speaker 1>which was an all in one computer with a touch

0:41:17.360 --> 0:41:21.479
<v Speaker 1>screen interface. Again two thousand seven being a little early

0:41:21.560 --> 0:41:23.400
<v Speaker 1>for that. We're just starting to see these kind of

0:41:23.400 --> 0:41:27.560
<v Speaker 1>touch screen computers start to gain widespread acceptance in well,

0:41:27.840 --> 0:41:31.040
<v Speaker 1>started in the late part of eleven and continuing into twelve,

0:41:31.280 --> 0:41:35.080
<v Speaker 1>especially when we start seeing things like Windows eight. UH,

0:41:35.120 --> 0:41:36.960
<v Speaker 1>the preview, I guess you could say, of what it

0:41:37.040 --> 0:41:39.560
<v Speaker 1>is eight, which really seems to be geared towards that

0:41:39.640 --> 0:41:42.239
<v Speaker 1>kind of interface. Um, whether or not that will end

0:41:42.280 --> 0:41:44.319
<v Speaker 1>up being successful, we can't say because it's too early

0:41:44.320 --> 0:41:47.640
<v Speaker 1>for us yet. But also in two thousand seven, HP

0:41:47.760 --> 0:41:51.560
<v Speaker 1>did something really really interesting with ink jet technology. Yeah.

0:41:51.600 --> 0:41:54.920
<v Speaker 1>Now I think this is funny because they're using inkject technology,

0:41:54.960 --> 0:41:57.640
<v Speaker 1>but they've already spun off their medical unit. But as

0:41:57.680 --> 0:42:01.319
<v Speaker 1>it turns out, they're they're using printers to achieve a

0:42:01.360 --> 0:42:05.480
<v Speaker 1>medical purpose, basically by creating a method of drug delivery

0:42:05.719 --> 0:42:08.600
<v Speaker 1>through a skin patch that can be printed with medicine

0:42:08.760 --> 0:42:12.040
<v Speaker 1>using a printer, so it can release these controlled dosages

0:42:12.360 --> 0:42:15.200
<v Speaker 1>to the skin and there's no need for an injection

0:42:15.560 --> 0:42:17.799
<v Speaker 1>or to take a pill or anything like that. Right, So,

0:42:18.040 --> 0:42:20.719
<v Speaker 1>very creative use of that technology. I thought that was

0:42:20.719 --> 0:42:25.160
<v Speaker 1>pretty interesting. Uh. In two thousand and eight, they introduced

0:42:25.200 --> 0:42:29.040
<v Speaker 1>the HP thirty three Mini Note PC, which is a

0:42:29.640 --> 0:42:31.160
<v Speaker 1>sort of like a kind of like a netbook, a

0:42:31.239 --> 0:42:35.360
<v Speaker 1>very lightweight mobile computing device. They also acquired a company

0:42:35.400 --> 0:42:38.719
<v Speaker 1>called Electronic Data Systems or e d S, which is

0:42:38.760 --> 0:42:41.840
<v Speaker 1>a technology services company. Can I finish? Can I finish

0:42:42.880 --> 0:42:47.759
<v Speaker 1>Ross Perro's company? Oh? Yeah? Uh so, hey, kids, ask

0:42:47.800 --> 0:42:52.279
<v Speaker 1>your parents who Ross Pero was? So Russ Perro was

0:42:52.320 --> 0:42:56.560
<v Speaker 1>Trump before Trump was Trump. And in two thousand nine,

0:42:56.560 --> 0:43:01.160
<v Speaker 1>of course, it acquired a three comm Yeah, which this

0:43:01.239 --> 0:43:04.360
<v Speaker 1>is the one that made you scratch your head. Yeah,

0:43:04.719 --> 0:43:07.480
<v Speaker 1>so three com um that would be an interesting story

0:43:07.480 --> 0:43:11.040
<v Speaker 1>in and of itself. By by two thousand nine, basically

0:43:11.080 --> 0:43:16.719
<v Speaker 1>it was a networking um company, basically network switching technology. Yeah,

0:43:16.760 --> 0:43:19.160
<v Speaker 1>they had been involved in modems. They hadn't been involved

0:43:19.200 --> 0:43:22.840
<v Speaker 1>in all kinds of u uh really kind of innovative

0:43:22.880 --> 0:43:27.280
<v Speaker 1>stuff handheld technology in the nineties, uh, internet enabled stuff.

0:43:27.280 --> 0:43:30.920
<v Speaker 1>And then they started having some problems and uh they

0:43:30.920 --> 0:43:34.000
<v Speaker 1>got into a different Some of their other background businesses

0:43:34.040 --> 0:43:35.759
<v Speaker 1>became the ones that they were successful for, so they

0:43:35.960 --> 0:43:39.799
<v Speaker 1>really faded from the public life. But um HP picked

0:43:39.840 --> 0:43:42.120
<v Speaker 1>him up. They said, you know, we want this technology,

0:43:42.120 --> 0:43:44.480
<v Speaker 1>and so far um as far as I know, it

0:43:44.520 --> 0:43:46.799
<v Speaker 1>hasn't been a bad deal for them. The next one

0:43:47.640 --> 0:43:50.320
<v Speaker 1>was more troublesome. Yeah, we'll get into that in a second.

0:43:50.480 --> 0:43:52.520
<v Speaker 1>But in two thousand nine they also introduced a web

0:43:52.560 --> 0:43:55.360
<v Speaker 1>connected home printer we're just starting to see more of

0:43:55.440 --> 0:43:58.080
<v Speaker 1>today now as well, where you you can create a printer.

0:43:58.239 --> 0:44:00.080
<v Speaker 1>You know, you have a printer at home, and you

0:44:00.120 --> 0:44:01.960
<v Speaker 1>can even if you're on the road, you can print

0:44:02.000 --> 0:44:04.239
<v Speaker 1>stuff to your home printer just by connecting through the

0:44:04.320 --> 0:44:09.040
<v Speaker 1>right website. So that acquisition of Graphic Recording Company back

0:44:09.080 --> 0:44:13.600
<v Speaker 1>in uh, you know, decades before. Yeah, the HP is

0:44:13.600 --> 0:44:19.040
<v Speaker 1>a big name in printers. So on August six, Mark

0:44:19.120 --> 0:44:22.640
<v Speaker 1>Heard resigns. He's actually forced to resign by the board

0:44:22.680 --> 0:44:26.200
<v Speaker 1>of directors. Now, this is a case that is pretty odd.

0:44:27.200 --> 0:44:31.040
<v Speaker 1>Originally there were allegations of sexual harassment brought up against

0:44:31.080 --> 0:44:35.800
<v Speaker 1>Mark Hurd. Uh. The investigation that could that followed seemed

0:44:35.920 --> 0:44:39.920
<v Speaker 1>to say there were no actual implications of sexual harassment. However,

0:44:40.560 --> 0:44:44.279
<v Speaker 1>there were some cases of Mark Heard having uh, some

0:44:44.440 --> 0:44:50.920
<v Speaker 1>expenses improperly build to HP. So it was it was

0:44:51.080 --> 0:44:54.040
<v Speaker 1>you know, it was definitely something that Mark Hurd should

0:44:54.080 --> 0:44:57.600
<v Speaker 1>not have done. If he was improperly billing stuff to HP,

0:44:57.719 --> 0:45:00.000
<v Speaker 1>then that that's the problem. You know, it needs to

0:45:00.040 --> 0:45:03.520
<v Speaker 1>be resolved. But there were people who wondered if the

0:45:03.600 --> 0:45:06.400
<v Speaker 1>board pushing him out of the company was in fact

0:45:06.440 --> 0:45:10.920
<v Speaker 1>a bad decision. Many people suggested that Mark Herd was

0:45:10.920 --> 0:45:13.160
<v Speaker 1>a very good leader. He had made a terrible mistake

0:45:13.200 --> 0:45:15.120
<v Speaker 1>that needed to be addressed, but that he should not

0:45:15.239 --> 0:45:18.280
<v Speaker 1>have been forced out of his position. One of those

0:45:18.760 --> 0:45:23.040
<v Speaker 1>was Larry Ellison, the CEO of Oracle, who who was

0:45:23.080 --> 0:45:26.040
<v Speaker 1>also a personal friend of Park Hurd, who then brought

0:45:26.160 --> 0:45:30.560
<v Speaker 1>Mark Herd over to become co president of Oracle. You know,

0:45:30.840 --> 0:45:35.799
<v Speaker 1>Larry Ellison is always afraid to speak his mind and shy,

0:45:35.880 --> 0:45:40.320
<v Speaker 1>shy man who was not known for being incredibly blunt,

0:45:40.920 --> 0:45:44.120
<v Speaker 1>um not at all. So after Mark hard left CFO,

0:45:44.320 --> 0:45:47.520
<v Speaker 1>Kathy les Jack stepped in as an interim CEO until

0:45:47.960 --> 0:45:55.200
<v Speaker 1>Leo Apotoker becomes the CEO and president. Now Leo Apotoker,

0:45:55.280 --> 0:45:58.719
<v Speaker 1>of course we'll talk about well, we might as well

0:45:58.760 --> 0:46:02.800
<v Speaker 1>just go right into twenty and Shelley. Yeah. Even last year,

0:46:03.200 --> 0:46:07.279
<v Speaker 1>as of the recording of this podcast, another incredibly rough

0:46:07.360 --> 0:46:11.919
<v Speaker 1>year for HP. Back in March, Leo Podka announced that

0:46:12.080 --> 0:46:14.200
<v Speaker 1>there was going to be a big move to cloud

0:46:14.239 --> 0:46:19.239
<v Speaker 1>based services within HP and also said that web os

0:46:19.320 --> 0:46:25.600
<v Speaker 1>the um because oh I mention in HP bought Palm, Yes,

0:46:26.160 --> 0:46:29.480
<v Speaker 1>the former manufacturer of p d A S and the

0:46:29.520 --> 0:46:32.839
<v Speaker 1>Palm Pre and other smartphones and later smartphones and uh

0:46:33.160 --> 0:46:36.200
<v Speaker 1>that company of course we've talked about before, but if

0:46:36.200 --> 0:46:39.560
<v Speaker 1>you haven't heard the podcast, in a nutshell as time

0:46:39.600 --> 0:46:43.040
<v Speaker 1>wore on their operating system for their smartphones fell out

0:46:43.040 --> 0:46:47.080
<v Speaker 1>of favor. It was it was dated. Um. Yes, the

0:46:47.080 --> 0:46:50.200
<v Speaker 1>palm os was dated and it really was better suited

0:46:50.200 --> 0:46:54.600
<v Speaker 1>for PDAs than smartphones. Um, especially once with newer technology

0:46:54.600 --> 0:46:58.000
<v Speaker 1>and other newer devices were showing it up. So they

0:46:58.000 --> 0:47:00.759
<v Speaker 1>introduced this new operating system and new phones that would

0:47:00.840 --> 0:47:03.319
<v Speaker 1>run on it. But by that point it was kind

0:47:03.320 --> 0:47:05.439
<v Speaker 1>of too late and they started to founder. So HP

0:47:05.560 --> 0:47:07.840
<v Speaker 1>picked him up in two thousand ten. Yeah, and we

0:47:07.920 --> 0:47:10.640
<v Speaker 1>all thought, oh, they found somebody will save them. You know,

0:47:11.040 --> 0:47:13.000
<v Speaker 1>we thought, first maybe HP is going to get into

0:47:13.040 --> 0:47:15.200
<v Speaker 1>the smartphone market, but HP said, no, we're not really

0:47:15.200 --> 0:47:17.360
<v Speaker 1>interested in that. We're looking at putting web os on

0:47:17.440 --> 0:47:21.040
<v Speaker 1>tablets and other computers. But then, like the tablets never

0:47:21.040 --> 0:47:23.880
<v Speaker 1>seemed to come to market. The problem well, there were

0:47:23.880 --> 0:47:26.239
<v Speaker 1>many problems, and one of them being that Apple had

0:47:26.239 --> 0:47:28.719
<v Speaker 1>such a strong hold on the tablet market that it

0:47:28.800 --> 0:47:31.360
<v Speaker 1>was you know, you really need to make something special

0:47:31.400 --> 0:47:33.799
<v Speaker 1>if you wanted to go up against Apple. Uh. And

0:47:33.840 --> 0:47:37.040
<v Speaker 1>then in the smartphone market you had Apple and Android

0:47:37.239 --> 0:47:40.719
<v Speaker 1>really getting a lock on that consumer smartphone market. So

0:47:40.880 --> 0:47:43.120
<v Speaker 1>it was a tough place for HP two b in

0:47:43.280 --> 0:47:48.440
<v Speaker 1>even with the resources it had. So in March h

0:47:48.840 --> 0:47:52.440
<v Speaker 1>Apple taker said that the webOS operating system would be

0:47:52.440 --> 0:47:55.359
<v Speaker 1>included on every HP computer going forward and you could

0:47:55.360 --> 0:47:59.560
<v Speaker 1>boot either in Windows or in web Os, which had

0:48:00.080 --> 0:48:03.320
<v Speaker 1>in my head. Yeah, So this was March. Now in April,

0:48:03.800 --> 0:48:07.799
<v Speaker 1>there was a report that leaked. There's that leak problem again. Um,

0:48:08.000 --> 0:48:10.480
<v Speaker 1>it was an earnings report that that showed that the

0:48:10.520 --> 0:48:14.480
<v Speaker 1>earnings HP had in the previous quarter were far below

0:48:14.560 --> 0:48:18.960
<v Speaker 1>what they anticipated and uh, and so HP was actually

0:48:18.960 --> 0:48:21.719
<v Speaker 1>forced to hold its earnings meeting early because of that

0:48:21.800 --> 0:48:23.839
<v Speaker 1>leak report. That was sort of a damage control sort

0:48:23.880 --> 0:48:29.520
<v Speaker 1>of thing. And then shortly thereafter, appar taker takes the

0:48:29.560 --> 0:48:33.360
<v Speaker 1>stage and says that you know, they're gonna stop supporting

0:48:33.520 --> 0:48:37.919
<v Speaker 1>webOS to start stop developing it. Yeah, just gonna set

0:48:37.960 --> 0:48:40.040
<v Speaker 1>that aside. It's they're no longer going to focus on

0:48:40.080 --> 0:48:44.600
<v Speaker 1>developing webOS. So which was troubling because they had come

0:48:44.600 --> 0:48:47.880
<v Speaker 1>out with their own tablet, the touchpad, and the touchpad

0:48:48.000 --> 0:48:51.200
<v Speaker 1>was highly anticipated and all of a sudden, you know,

0:48:51.360 --> 0:48:53.719
<v Speaker 1>it's supposed to release and now they're saying that it's

0:48:53.760 --> 0:48:55.879
<v Speaker 1>not gonna yes, so they get they said they're going

0:48:55.880 --> 0:48:59.560
<v Speaker 1>to back off of web Os, and they reveal that

0:48:59.719 --> 0:49:04.360
<v Speaker 1>the he is considering spinning off its personal computer division

0:49:04.960 --> 0:49:08.000
<v Speaker 1>to make it its own company, so divesting itself of

0:49:08.080 --> 0:49:12.279
<v Speaker 1>personal computers. And again this this made people question what

0:49:12.640 --> 0:49:16.319
<v Speaker 1>is going on over at HP. Now, remember, historically HP

0:49:16.440 --> 0:49:18.600
<v Speaker 1>had very little to do with the consumer market, but

0:49:18.640 --> 0:49:21.840
<v Speaker 1>in the last decade or so, it's really become a

0:49:21.880 --> 0:49:25.280
<v Speaker 1>big player in the consumer space. So to get out

0:49:25.280 --> 0:49:28.440
<v Speaker 1>of that just seemed complete, especially after the merger with Compact,

0:49:28.520 --> 0:49:31.960
<v Speaker 1>right because Compact was all about consumer electronics too. It

0:49:32.080 --> 0:49:35.399
<v Speaker 1>seemed counterintuitive and people were really wondering what was going

0:49:35.440 --> 0:49:38.480
<v Speaker 1>on over at HP, including as it turns out, the

0:49:38.520 --> 0:49:41.640
<v Speaker 1>board of directors, who did not really care for the

0:49:41.680 --> 0:49:45.439
<v Speaker 1>backlash that came out after Appo Taker had said these

0:49:45.440 --> 0:49:51.319
<v Speaker 1>things UM, and so the board pushed Appo Taker out

0:49:51.360 --> 0:49:55.480
<v Speaker 1>of the role, so he left, and then they looked

0:49:55.520 --> 0:49:59.360
<v Speaker 1>to a new person to come in and lead the company,

0:49:59.400 --> 0:50:03.320
<v Speaker 1>which was Meg Whitman, who was formerly the CEO of eBay.

0:50:04.000 --> 0:50:06.520
<v Speaker 1>And that's where we stand today. Meg Whitman is currently

0:50:06.560 --> 0:50:10.879
<v Speaker 1>the president and CEO of of HP. UM. They are not,

0:50:11.280 --> 0:50:14.560
<v Speaker 1>as far as we know, spinning off their personal computer business.

0:50:14.600 --> 0:50:18.120
<v Speaker 1>They they said back in October that they had reconsidered

0:50:18.120 --> 0:50:21.120
<v Speaker 1>this and decided that was a poor decision. Actually, they

0:50:21.120 --> 0:50:23.400
<v Speaker 1>said that the many of the things said on August

0:50:23.480 --> 0:50:28.560
<v Speaker 1>eighteenth were bad decisions. That's what meg women said. Um

0:50:28.600 --> 0:50:31.080
<v Speaker 1>So in October they announced that that's not going away,

0:50:31.160 --> 0:50:35.040
<v Speaker 1>and in December they said the company said that they

0:50:35.040 --> 0:50:38.000
<v Speaker 1>were no longer going to just abandon web os. Rather

0:50:38.040 --> 0:50:40.520
<v Speaker 1>they were going to turn webOS over to the open

0:50:40.560 --> 0:50:43.800
<v Speaker 1>source community as well as continued development of web os.

0:50:43.920 --> 0:50:46.480
<v Speaker 1>It's on their own, so they were also going to

0:50:46.480 --> 0:50:48.839
<v Speaker 1>contribute to web os as development. They weren't just gonna,

0:50:49.440 --> 0:50:51.640
<v Speaker 1>you know, throw it out in the wild and drive

0:50:51.680 --> 0:50:54.520
<v Speaker 1>away really fast. They were supposed to. Supposedly, they're going

0:50:54.520 --> 0:50:57.399
<v Speaker 1>to continue working on it. So they've reversed a lot

0:50:57.400 --> 0:50:59.560
<v Speaker 1>of their decisions. Now, whether or not that will be

0:50:59.719 --> 0:51:04.040
<v Speaker 1>enough to convince people that HP is kind of refound

0:51:04.080 --> 0:51:06.640
<v Speaker 1>its way, it's no longer sort of floundering around. That

0:51:06.719 --> 0:51:09.919
<v Speaker 1>remains to be seen. Yes, because if you look from

0:51:09.960 --> 0:51:14.360
<v Speaker 1>the time essentially when Packard passed away, moving forward, the

0:51:14.360 --> 0:51:19.120
<v Speaker 1>company seems to have really kind of just it's had

0:51:19.160 --> 0:51:21.440
<v Speaker 1>some rough spots, you know. It's it's not that the

0:51:21.480 --> 0:51:23.920
<v Speaker 1>company has completely lost its identity. I don't mean to

0:51:23.960 --> 0:51:26.760
<v Speaker 1>suggest that. I just mean to say that it looks

0:51:26.800 --> 0:51:30.839
<v Speaker 1>like once the founders were no longer an integral part

0:51:30.960 --> 0:51:34.320
<v Speaker 1>of running this company, uh, things got a little shaky.

0:51:35.120 --> 0:51:38.320
<v Speaker 1>It's hard when a company loses its um, its founder,

0:51:38.400 --> 0:51:43.239
<v Speaker 1>partially because the founders um belief system has worked into

0:51:43.239 --> 0:51:45.319
<v Speaker 1>the company to the point where Hewlett Packard I think

0:51:45.320 --> 0:51:51.600
<v Speaker 1>really exhibited uh Dave and Bill's d n A as

0:51:51.600 --> 0:51:54.239
<v Speaker 1>far as what they really thought of as a good

0:51:54.239 --> 0:51:56.400
<v Speaker 1>place to work in, a good place to come up

0:51:56.440 --> 0:51:59.120
<v Speaker 1>with new ideas and um, you know, when you have

0:51:59.200 --> 0:52:01.839
<v Speaker 1>somebody new come in, they have their own concept and

0:52:01.960 --> 0:52:04.400
<v Speaker 1>right and and a lot of people want to uh

0:52:04.560 --> 0:52:06.799
<v Speaker 1>put their own mark on a company and say, well,

0:52:06.800 --> 0:52:09.279
<v Speaker 1>I want this to be I want HP in my

0:52:09.400 --> 0:52:11.480
<v Speaker 1>years to be remembered for what I did with the

0:52:11.520 --> 0:52:14.800
<v Speaker 1>company and not what Mr Hewlett and Mr Packard did

0:52:15.880 --> 0:52:18.680
<v Speaker 1>back when they were in charge. Should accomplished for some

0:52:18.760 --> 0:52:22.200
<v Speaker 1>of those yes, not necessarily the way they want to do,

0:52:22.280 --> 0:52:25.000
<v Speaker 1>But I think that's that's part of it. As I think, um,

0:52:25.040 --> 0:52:26.960
<v Speaker 1>you know, now, I'm I don't mean to read minds,

0:52:27.000 --> 0:52:29.600
<v Speaker 1>but I uh, I think that that's that that figures

0:52:29.640 --> 0:52:31.359
<v Speaker 1>into it. You know, I want to want it to

0:52:31.400 --> 0:52:33.960
<v Speaker 1>be special when I'm there, not just you know, business

0:52:33.960 --> 0:52:37.800
<v Speaker 1>as usual, right. Um, So yeah, it's been an interesting ride,

0:52:37.840 --> 0:52:40.839
<v Speaker 1>and uh it'll be very interesting to see what has

0:52:40.840 --> 0:52:43.560
<v Speaker 1>in store with HP, um and see where they go

0:52:43.640 --> 0:52:47.280
<v Speaker 1>from here. Uh. As we record this, it's the friday

0:52:47.320 --> 0:52:51.120
<v Speaker 1>before I fly off to the Consumer Electronics Show CES

0:52:51.280 --> 0:52:54.640
<v Speaker 1>of Las Vegas, and I am very curious to see

0:52:54.680 --> 0:52:57.120
<v Speaker 1>what HP's presence is going to be like out there,

0:52:57.680 --> 0:53:00.120
<v Speaker 1>and to kind of get a look around and just

0:53:00.200 --> 0:53:02.360
<v Speaker 1>kind of get an idea here what the chatter is

0:53:02.400 --> 0:53:04.680
<v Speaker 1>on the show floor, and see if it's more of

0:53:04.719 --> 0:53:08.520
<v Speaker 1>a an optimistic discussion, um than it has been in

0:53:08.600 --> 0:53:12.680
<v Speaker 1>years past. Uh. You know, one one holds out hope

0:53:12.800 --> 0:53:15.000
<v Speaker 1>because you know, this is a company that has a

0:53:15.080 --> 0:53:18.319
<v Speaker 1>very long history and it's uh, you know, even in

0:53:18.360 --> 0:53:21.400
<v Speaker 1>its rough patches, it's it's been an important part of

0:53:21.400 --> 0:53:24.160
<v Speaker 1>Silicon Valley. Uh. One other thing I was going to

0:53:24.239 --> 0:53:28.120
<v Speaker 1>mention I should have mentioned it during the Fiorina era. Um.

0:53:28.160 --> 0:53:30.160
<v Speaker 1>You know, we had talked about how HP had really

0:53:30.160 --> 0:53:33.640
<v Speaker 1>been about dedicated about taking care of its employees. That

0:53:33.760 --> 0:53:37.080
<v Speaker 1>was one of the major criticisms directed towards Fiorina, and

0:53:37.160 --> 0:53:41.160
<v Speaker 1>that there were massive layoffs during her tenure as the presidency.

0:53:41.560 --> 0:53:45.280
<v Speaker 1>More than thirty thousand people lost their jobs during her

0:53:45.440 --> 0:53:50.640
<v Speaker 1>her time at HP, So you know, that's that's pretty

0:53:50.680 --> 0:53:54.400
<v Speaker 1>stark indicator that the people who have come into HP

0:53:54.560 --> 0:53:59.799
<v Speaker 1>after the founders may not have had the same philosophy,

0:54:00.360 --> 0:54:04.279
<v Speaker 1>right heart, So hopefully that has changed, and we'll just

0:54:04.360 --> 0:54:06.680
<v Speaker 1>keep our eyes on the company and see what happens

0:54:06.680 --> 0:54:10.359
<v Speaker 1>from here on out. Meanwhile, if any of you have

0:54:10.440 --> 0:54:13.600
<v Speaker 1>suggestions for topics that we should talk about on tech Stuff,

0:54:13.640 --> 0:54:17.759
<v Speaker 1>whether that's another company, whether it's innovative person within the

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<v Speaker 1>tech community, or perhaps just some other topic in general,

0:54:21.080 --> 0:54:22.839
<v Speaker 1>let us know. You can drop us a line on

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<v Speaker 1>Facebook or Twitter. Our handle is tech Stuff H. S

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<v Speaker 1>W and Chris and I will talk to you again

0:54:30.160 --> 0:54:34.960
<v Speaker 1>really soon. Be sure to check out our new video podcast,

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<v Speaker 1>Stuff from the Future. Join how Stuff Work staff as

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<v Speaker 1>we explore the most promising and perplexing possibilities of tomorrow.

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<v Speaker 1>The House Stuff Works iPhone app has arrived. Download it

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<v Speaker 1>today on iTunes, brought to you by the reinvented two

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<v Speaker 1>thousand twelve camera. It's ready, are you