HP Vows to Get Aggressive on Printer Pricing
‘Hewlett-Packard Co. has fired the first salvo in what may turn out to be a price war over consumer inkjet printers, a move made easier by last week’s ouster of Chief Executive Carly Fiorina, analysts said on Thursday.
“We are not satisfied with our consumer hardware performance in the first quarter, and we will take aggressive action to correct this in the coming quarter,” said Vyomesh Joshi, who runs both HP’s printer and PC businesses on a conference call with analysts on Wednesday.
The No. 2 computer maker and No. 1 printer maker late on Wednesday posted a rise in quarterly profit of less than 1 percent, helped by a 10 percent revenue gain.
But profit margins narrowed in its imaging and printing business, the source of two-thirds of HP’s operating profit, amid strong pricing pressure from rivals including Dell Inc. and Lexmark International Inc..’
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