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Technology Stocks : Compaq

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To: Eddie Kim who wrote (33011)9/16/1998 6:23:00 PM
From: rudedog  Read Replies (2) of 97611
 
Eddie -
Perhaps, rudedog will have some answers
No answers but a few rumors. Prior to the merger, CPQ did analysis of AV as an independent business, as a sell-off, as an internal business, and as a driver for current business. The best $ benefit to CPQ by far was in the latter category but it looks like they are doing the last 2 options. As I understand it, there are 2 efforts underway, one of which leverages AV as an internal asset (we have seen a few signs of this in the consumer business) and one of which builds AV as a brand. Sorry I don't know more about it than this.

I do know that the team which originally thought up AV and built it inside of DEC left long before the merger. They had anticipated a spin-off in early 1997, but Palmer nixed it, and most of the original team bailed out at that point. Current management came in to replace the departing startup management.
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