Here’s Why HP Is Looking to Sell Patents
Hewlett-Packard (NYSE:HPQ) recently began looking to sell mobile-computing patents, including intellectual property such as WebOS — a tablet and smartphone operating system the company received when it bought Palm Inc. Previously there had been restrictive conditions that discouraged purchasers, according to Bloomberg, but those have now been scaled back — making a higher selling price probable.
While Palm Inc. was not a success story for Hewlett-Packard, patents are valuable enough these days that the the company could find redemption in their sale — assuming the computing company finds a suitable buyer. Bloomberg cites the example of Google (NASDAQ:GOOG), whose purchased of Motorola Mobility in 2011 at $12.5 billion was likely motivated in large part by its patents.
When it bought Palm Inc., the company was under the planning of previous Packard CEO, Leo Apotheker. Apotheker had been forced to shut down the division and halt production of its devices. His replacement as CEO, Meg Whitman, has been working to stabilize revenue and reverse damage to company finances wrought by poor acquisition choices.