HP and EPS Merger

HP, Hewlett-Packard, said on Monday it is in talks to acquire EDS, Electronic Data Systems, in a deal that some estimate could be worth $13 billion, resulting in shares of EDS going up 28%.

Such a deal could dramatically reshape the high-tech industry once again, pushing HP further in the business of technology services and closer into competition with IBM.

It is going to hurt Dell, HP arch-rival, which has had a close relationship with EDS that has grown from the companies’ Texas roots since at least 2000.

Dell spokesman Jess Blackburn declined to comment on the potential of a HP-EDS deal.

Popularity: 2% [?]

Like this post? Subscribe to my RSS feed and get loads more!