Hewlett-Packard has filed the necessary paperwork for the company to split itself into two entities. The existing HP Inc will remain intact, but the server business will be spun off as Hewlett-Packard Enterprise. This neatly divides the company between consumer tech and enterprise services,
HP has been planning to split the company in half as it tries to restructure itself. The company has been losing market share over the last few years, and is struggling to remain competitive. HP CEO Meg Whitman believes that HP needs to be smaller and more nimble in order to adapt to the rapidly changing PC market; and confirmed the plan to split the company back in October of last year.
Once the split is completed, Hewlett-Packard Inc will continue to sell consumer PCs and printers, while Hewlett-Packard Enterprise will cater to large businesses. As it stands, HP intends to make the split as even as possible, with each half set to bring in $55 million in revenue.