HP buys Samsung printers for $1bn to disrupt outdated copiers

Copiers are outdated and easy pickings, HP hopes with Samsung acquisition

HP printer

HP Inc is dropping $1 billion (750 million) to pick up Samsung's printer business. 

The deal takes aim at the $55 billion copier industry, which HP said "hasn't innovated in decades". 

"Copiers are outdated, complicated machines with dozens of replaceable parts requiring inefficient service and maintenance agreements," HP said in a statement announcing the acquisition.

Advertisement - Article continues below

"Customers are frequently frustrated with the number of visits needed to keep copier machines functioning," the company said. "Today, HP is investing to disrupt this category by replacing copiers with superior multifunction printer (MFP) technology."

HP pointed to Samsung's "formidable portfolio" of multi-function printers that "deliver the performance of copiers" with the easy of use of printers, saying that will be combined with its own PageWide inkjet technologies and mobile and cloud printing systems.

Expanding into the stagnant copier market could help bulk up HP's sales in the print segment. HP already holds one-third of the printer market, but IDC stats suggest that figure is down by 19% from a year ago.

The move is the latest of many changes at the company. Last year, what was then known as Hewlett-Packard split into printers and PC firm HP Inc and Hewlett Packard Enterprise (HPE), a business IT firm that announced the sale of its software assets to Micro Focus last week. 

Advertisement
Advertisement - Article continues below
Advertisement - Article continues below

"When we became a separate company just ten months ago, it enabled us to become nimble and focus on accelerating growth and reinventing industries," said Dion Weisler, president and CEO of HP. "The acquisition of Samsung's printer business allows us to deliver print innovation and create entirely new business opportunities with far better efficiency, security, and economics for customers."

The deal is the largest print acquisition in HP's history, and will see Samsung spin off its printer division with 6,000 employees, which will be sold to HP. The deal is expected to close within a year. 

You'll still be able to buy a Samsung branded printer in some regions, but the Korean company will simply get them from HP. 

Featured Resources

Top 5 challenges of migrating applications to the cloud

Explore how VMware Cloud on AWS helps to address common cloud migration challenges

Download now

3 reasons why now is the time to rethink your network

Changing requirements call for new solutions

Download now

All-flash buyer’s guide

Tips for evaluating Solid-State Arrays

Download now

Enabling enterprise machine and deep learning with intelligent storage

The power of AI can only be realised through efficient and performant delivery of data

Download now
Advertisement

Recommended

Visit/printers/29013/best-printers
Hardware

Best printers 2020

18 Dec 2019
Visit/hardware/peripherals/354337/lexmark-c3224dw-review-cheap-but-not-necessarily-good-value
peripherals

Lexmark C3224dw review: Cheap, but not necessarily good value

14 Dec 2019
Visit/hardware/peripherals/354263/xerox-versalink-c500dn-review-appy-days
peripherals

Xerox VersaLink C500DN review: Appy days

3 Dec 2019
Visit/office-printers/26919/choose-the-right-colour-printer-for-your-business
Hardware

Choose the right colour printer for your business

29 Nov 2019

Most Popular

Visit/development/application-programming-interface-api/355192/apple-buys-dark-sky-weather-app-and-leaves
application programming interface (API)

Apple buys Dark Sky weather app and leaves Android users in the cold

1 Apr 2020
Visit/security/cyber-crime/355171/fbi-warns-of-zoom-bombing-hackers-amidst-coronavirus-usage-spike
cyber crime

FBI warns of ‘Zoom-bombing’ hackers amid coronavirus usage spike

31 Mar 2020
Visit/data-insights/data-management/355170/oracle-cloud-courses-are-free-during-coronavirus-lockdown
data management

Oracle cloud courses are free during coronavirus lockdown

31 Mar 2020