Palo Alto-based HP Inc. is typically associated with personal computers and laptops, even virtual reality. But now, it wants to prove that it is more serious about flirting with the future of work. How serious? Try $3.3. billion dollars worth of seriousness.
The company is a global provider of workplace collaboration solutions, as well as PCs and laptops - and the purchase of Poly should help the firm place a tighter grip on that title to compete with industry heavy-hitters. In a statement, the company wrote:
"The deal should help accelerate HP’s strategy to create a more growth-oriented portfolio: further strengthen its industry opportunity in hybrid work solutions, and position the combined organization for long-term sustainable growth and value creation."
First announced in March 2022: the now complete acquisition, according to a statement, could mold two portfolios together for the betterment of hybrid work conditions in the form of many likely innovative pieces of hardware and software.
HP Brings (Much) Promise to the Table
HP already makes VR (virtual reality) hardware, laptops, workstations, digital workspaces, CX solutions, and even collaboration hardware. Pair this with Poly's already hardy portfolio of technologies and go-to-market strategy - the pair are suitable companions.
Plus, there is much room for growth in each respective niche. According to data cited by HP, today, there are more than 90 million meeting rooms. Of those 90 million rooms - it notes that less than 10% have video capabilities.
"As a result, the office meeting room solutions could more than triple 2024." a statement by HP reads.
This makes the timing of the purchase; seemingly perfect. Expressly: as employees are ultra-focused on finding better ways to connect in our new reality of a hybrid world. Furthermore, HP notes that almost 75% of office workers say they are making investments - looking to improve their home setups.
And with "traditional office spaces" now being redesigned and repurposed; to better support hybrid working and collaboration, meeting room solutions like the ones Poly develops, are increasingly-popular. I will dive deeper into the deal that should shake things up a bit more in the UCC space, especially in the hardware department.
So Does Poly, Expert Says
Poly designs a line of industry-leading video conferencing solutions, cameras, headsets, voice, and software - bringing all that innovation directly to HP. This should (more than) please HP customers who want to create meeting equity between those in a meeting room and those who are not - according to a statement.
Combined, the duo could create some premium experiences for users of the technology it pumps out jointly and the technology it decides to rebrand or repackage. Either way - there will be a new way for many parties involved; to make more money and create various sought-after workplace experiences.
This includes an already-thriving partner landscape which is slated for even more growth thanks to the deal.
The implications; are endless, including improving workforce productivity and lending enterprise customers access to better organization-wide visibility. More profound insights, security, and overall hybrid stack manageability are massive advantages to the merger - too.
When it comes to growth, the duo will focus on "two key growth areas: peripherals and workforce solutions. HP adds that peripherals represent a $110 billion segment opportunity. That growth rate is nine percent annually, and is primarily driven by the need for more immersive experiences - HP wrote.
The other area is workforce solutions, or $120 billion in segment growth at eight percent annually: "As companies invest in digital services to set up, manage, and secure more distributed IT ecosystems," a statement reads. Patrick Moorhead is CEO and Chief Analyst at Moor Insights & Strategy, and he commented on the deal, noting that:
“As ideas around the role of the traditional office continue to shift, there is a critical need for organizations to enable rich collaboration experiences between in-person and remote workers."
He went on to say that: combining Poly and HP: is a win-win for both organizations. "More importantly, he added: "Uniting these two companies will provide end-users with the essential hardware, software, and services required to navigate hybrid work experiences now and into the future.”
Some Restructigng is in Order
Of course, all this merging means that there will undoubtedly be some shakeups within the company structure and titles, etc. So, they are as follows. Poly CEO Dave Shull will join HP as President of Workforce Services and Solutions, effective November 1, 2022.
Shull will sit at the helm of the newly-formed sector, which HP says is laser-focused on driving a more expansive growth agenda across HP’s commercial services business. The role will leverage Shull's technology, digital media, operational transformation, and business development experience - with him joining the HP executive leadership team - reporting to HP CEO Enrique Lores.
Andy Rhodes, who joined HP in 2018, will run the combined HP-Poly business as General Manager, Hybrid Work Solutions and Peripherals. His previous experience includes having run HP's Personal Systems business. Before joining HP, Rhodes held several senior executive roles at Dell.
He will continue reporting to HP Personal Systems President; Alex Cho.
Innovation is the Name of the Game
With both firms pumping out massive amounts of innovation annually - the newly-formed unit should have no problem continuing this momentum. Poly released so many new capabilities during the Pandemic; it catapulted its potential years into the future; in roughly 24 months.
Poly, formerly Plantronics, has a host of tools designed to elevate several popular collaboration tool provider experiences, Microsoft Temas, Zoom, etc. That includes headsets, business phones, software, and various training/professional and managed services.
And the staff there are forward-thinking, something made apparent by the features it continues to pump out during a time where more folks depend on the technology they build - than ever before. HP is no exception, releasing futuristic tools like its HP xRServices – what it touts as being the world’s first mixed reality customer support for printers and presses.
The news: mostly met with industry acceptance of the deal, as both firms (simply) bring a lot to the table. Stay tuned for the latest UCC news, trends, and opinions here on GetVoIP News.