HP to set up separate portable device business

SAN FRANCISCO: Hewlett-Packard Co. said on Monday it will separate its handheld device business into a stand-alone entity, aiming to capitalize on the growing popularity of such gadgets, especially those with wireless connectivity.

The company will separate its portable device business from its notebook computer operations to benefit from the growth of devices that allow consumers to make phone calls and check electronic mail, among other functions, said Palo Alto, California-based HP in a statement.

HP said the so-called converged device market is growing at more than 60 percent per year.

Hewlett-Packard has appointed David Rothschild, a former executive at rival Sun Microsystems Inc., to lead the handheld business, HP said.

Rothschild will report directly to Todd Bradley, executive vice president for the personal systems group, or PSG.

After the move, PSG will have four main product business units: notebook computing, desktops, workstations and handhelds.

The notebook computer unit will continue to be led by HP Senior Vice President and General Manager Ted Clark.