To do this, they have announced that they will be acquiring Samsung’s printer business for $1.05 billion. According to HP’s press release, “Copiers are outdated, complicated machines with dozens of replaceable parts requiring inefficient service and maintenance agreements. Customers are frequently frustrated with the number of visits needed to keep copier machines functioning.”
With this investment, HP plans to replace copiers with “superior multifunction printer (MFP) technology”. In addition to acquiring Samsung’s printer business, HP will also be buying about 6,500 printer-related patents in the process. Given that HP is a company known for their printers, no doubt these patents will help strengthen their position in the market.
According to HP, “This is the largest print acquisition in HP’s history and accelerates its growth opportunities in the copier segment, strengthens its leading laser printing portfolio that has been established with Canon, and paves the way for future printing innovation.” HP expects that the deal will take about a year to close pending regulatory approval.