HP is a company in transition, and we are executing a multi-year strategy that will position HP as a leader in the technology industry.
Analysis
At the time (2011), HP *was* undergoing a major strategic shift under Apotheker, including plans to divest its PC division and acquire Autonomy—a move later criticized as disastrous. While the 'transition' was real, the claim of future industry leadership proved unfounded: Apotheker was ousted within months, the Autonomy deal led to an $8.8B write-down, and HP’s market position weakened. The statement conflated short-term restructuring with long-term success, which never materialized.
Background
Léo Apotheker became HP’s CEO in November 2010 and unveiled a controversial strategy in August 2011 to exit the PC market and pivot to software/services. His tenure lasted just 11 months amid investor backlash and operational missteps. HP later reversed course under Meg Whitman, retaining its PC division but struggling with stagnant growth for years.
Verdict summary
Apotheker’s claim about HP being in transition was accurate, but his assertion about positioning HP as a 'leader' was overly optimistic given subsequent events.
Sources consulted
— HP Q2 2011 Earnings Call Transcript (Seeking Alpha, May 17, 2011) - [https://seekingalpha.com/article/270126-hp-q2-2011-earnings-call-transcript](https://seekingalpha.com/article/270126-hp-q2-2011-earnings-call-transcript)
— Bloomberg: *HP’s Apotheker Ousted as CEO After Less Than a Year* (Sept 22, 2011) - [https://www.bloomberg.com/news/articles/2011-09-22/hp-s-apotheker-is-out-as-ceo-after-less-than-a-year](https://www.bloomberg.com/news/articles/2011-09-22/hp-s-apotheker-is-out-as-ceo-after-less-than-a-year)
— Reuters: *HP takes $8.8 billion charge on Autonomy, blames fraud* (Nov 20, 2012) - [https://www.reuters.com/article/us-hp-autonomy/hp-takes-8-8-billion-charge-on-autonomy-blames-fraud-idUSBRE8AK00A20121120](https://www.reuters.com/article/us-hp-autonomy/hp-takes-8-8-billion-charge-on-autonomy-blames-fraud-idUSBRE8AK00A20121120)
— Forbes: *How Léo Apotheker’s 11 Months Destroyed $30 Billion in HP Market Cap* (Sept 2012) - [https://www.forbes.com/sites/stevedenning/2012/09/25/how-leo-apothekers-11-months-destroyed-30-billion-in-hp-market-cap/](https://www.forbes.com/sites/stevedenning/2012/09/25/how-leo-apothekers-11-months-destroyed-30-billion-in-hp-market-cap/)