Despite the controversial results of the separation of Hewlett Packard, Xerox Corporation will also be divided into two companies

    Xerox has decided to split into two companies. Today, the corporation should announce this officially. Today, she will publish fresh financial results.

    After the separation, one of the companies will be exclusively engaged in the production of printing equipment, while the other will focus on providing professional services and servicing business clients. As specifies The Wall Street Journal, the decision was made possible after the acquisition of Xerox's Affiliated Computer Services , which is engaged in the provision of services.

    It was bought by Xerox back in 2010 for $ 5.6 billion. This transaction was an attempt by Xerox to expand its activities and make a profit by providing services for the business. The CEO of Ursula Burns, who initiated this scheme, defended her to the last, but afterwards she revised her position. But was it only the drop in sales and the decline in the value of Xerox shares that made management think about such dramatic changes?

    The New York Times writes that investor Carl Aikan influenced the decision. He acquired an 8.13% stake in Xerox and said the company's securities were undervalued. He also noted that he had met with her leadership and expressed to him his thoughts on how to increase quotes. It is known that the mentioned investor was one of the initiators of the eBay branchfrom PayPal .

    The corporation Hewlett-Packard in the past has been the largest manufacturer of PCs and servers in the world. But things were getting worse and worse. In 2011, HP executives thought about separation. And in 2015, this process was completed .

    New HP Inc. received all the assets for the development and production of personal computing systems and printers. Hewlett Packard Enterprise ( HPE ) went to the whole corporate business. For the corporation, these changes were the largest since it acquired Compaq from 63.7 thousand employees in 2002 for $ 25 billion.

    However, after the division of the corporation into two companies, the business of each of them is not easy. So far, business restructuringdoes not give positive results. Given the mixed results of the Hewlett Packard division, it's hard to say what Xerox expects in this sense. Perhaps more eloquently we will be later told about this by the new financial report and management.

    It is known that Xerox quotes fell by 28% year-on-year. At the moment, the entire company is valued at $ 9.3 billion. Over the past three years, her annual profit was about $ 1 billion.

    Xerox was founded in 1906. Then she worked under the Haloid brand and initially specialized in the production of photo paper. Her story has changed since she acquired the copy machine patent. In 1949, the first model was released, called the Xerox, and after another 12 years, the company changed its name and began to make big profits due to the massive sales of copy machines. Xerox currently employs 147,000 people worldwide.

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