HP announced over the weekend that they would be splitting the company into two pieces, one services and the other printers and computing hardware. The two companies will now have a better focus on their areas of concentration and according to Meg Whitman, this is all part of the progression of her 5-year turnaround.

[Tweet “It’s official, HP to split up company”]

Personally, I wonder why they don’t split off the computer hardware group from the printer group. To me that makes a lot of sense as print is still a solid revenue source and should be for many more years to come.

So what’s next? Will they spin off the computer hardware group, some of which Carly bought to great fanfare a few years ago? What’s next for our industry and who will fall, merge, acquire?

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Xerox is in a somewhat similar situation. For years there has been a strong emphasis on services, to the point that I sometimes feel like the print group doesn’t always get the same resources and glamor as their counterparts. Could Xerox’s technology group become a target for HP’s more focused printer group with respect to an acquisition? Would the FTC allow it? Would Samsung sit by idly and watch or would they make a play for Xerox if someone else went for them?

This is all speculation. It will be interesting to watch this play out over the next year or so.

Here’s the official announcement from HP…