Hewlett-Packard Co has announced the formation of the Internet Business Unit (IBU). This unit will be charged with creating internet software, appliances and e-services, and will spearhead HP’s e-services strategy. Headquartered in Cupertino, California, the IBU was formed by integrating the internet- related activities throughout HP. It has five divisions: e- services; internet security; the wholly owned VeriFone subsidiary; e-commerce; and e-business.
Industry observers applauded HP’s initiative. Merrill Lynch’s Steven Milunovich, for one, was cautiously optimistic. He noted that the term e-services is a little too close to IBM’s e-business, perhaps because HP hired the woman behind IBM’s campaign. HP seems to be positioning e-services as what comes after e-business; IBM could say it’s a subset. Still, it’s good to see HP get more aggressive.
