Will Apple and Dell be the vise that cracks HP?

will apple and dell be the vice that cracks hp thinkpad inDell’s financial results this week stunned the analyst community. The Round Rock, Texas company reported doubled net income in the most recent quarter, blowing away expectations. Meanwhile, Apple just shot past HP to become the top mobile vendor, leaving HP squeezed in the middle, at least with respect to personal technology. Its one defense, the TouchPad, appears designed to fail.

The market this decade is looking substantially different than last decade, and all three of these vendors will likely see their positions changed as a result. Ten years ago, HP was the company to beat. Prior to that it was Dell, and Apple was the first company driving the PC market. The recent success of both Apple and Dell leaves HP in a tough spot.

Dell’s success: Looking ahead

Dell’s problem last decade was getting overly invested in the business market. When that market went into a decline, so did Dell. The consumer market fared much better, but massive price drops along with consumers’ need to actually see the products they were buying made Dell’s lack of shelf space in stores a problem.

However Dell never lost that business focus, and poured resources into the mid-market after recognizing early that it would surge. Right on cue, the market started a massive refresh, and Dell is in an impressive position to ride the wave. This last quarter was the proof point that the strategy is working. Dell’s only weakness remains in consumer PCs, and that is where Apple comes in.

will apple and dell be the vice that cracks hp ipadApple’s success: The iPad

Consumers haven’t stopped buying, they’ve just shifted their buying behavior from laptops to iPads. Even folks who aren’t buying iPads are considering them, and while they make up their minds, they aren’t buying PCs at all. These two factors are having an adverse impact on the consumer PC segment, and providing the reason behind Apple’s continued financial performance and tablet market leadership with the iPad. So far, no other tablet has been successful yet in market.

The importance of influence

In this world of social media, folks often go to those they trust for advice on what to purchase – influencers. Once upon a time in the business world, when the ThinkPad ruled and Apple was just a tiny minority, HP matched influence with Dell. Over the last decade, the influencers have shifted their priorities. The ThinkPad is still favored by influential firms and analysts, but Dell and Apple are fighting for number two, largely thanks to the iPad. Meanwhile, HP has been trivialized.

What is interesting is that inside HP, this information is contained, so the company isn’t even aware of how much influence it has lost in the last decade. Gartner and IDC generally use ThinkPads, and Forrester, Dell computers. Increasingly, when the analysts are allowed to use their own hardware, they pick Apple iPads or notebooks. That is problematic for all three vendors, but mostly for HP, because they are the ones who were largely displaced.

HP’s problem

HP’s success last decade rode largely on its acquisition of Compaq, and the creation of a marketing team that was heavy in ex-Apple resources, coupled with a strong consumer-buying trend. That trend has now clearly shifted to favor Apple products, and HP has allowed its corporate influence in personal computers to drop sharply over the decade, allowing Dell to position for the recovery better, and Lenovo to hold on to its impressive lead as the preferred laptop vendor.

HP’s TouchPad effort, which could offset both trends, looks underwhelming, and appears to be repeating mistakes Palm made previously with the Pre. HP made the same mistakes with Voodoo, while avoiding successful practices that could have been, but evidently weren’t, learned from Apple. The big test will be comparing the result, in two years, of the Nokia-Microsoft partnership to HP’s WebOS efforts. We think the former has a good chance of being very successful, and it may represent the path not traveled for HP.

Revolution!

With all eyes on what is happening in the Middle East at the moment, it isn’t hard to see what is happening in the PC market as a revolution. HP, which has had the top spot since the Compaq merger, is being seriously challenged by pretty much every other major player in the market, many of which at one time were partners. This will put substantial pressure on HP’s new executive staff and board, who will likely be held accountable, even though the related problems were created by their predecessors. We’ve only touched on a handful of vendors, but I expect this change will have implications for everyone in the segment, from chip vendors at one end to institutional buyers at the other. We are seeing a revolution, but like any revolution, all we can tell at the beginning is that what we will end up with will be different.

The views expressed here are solely those of the author and do not reflect the beliefs of Digital Trends.

Deals

Take $250 off the HP Spectre x360 laptop with this Presidents’ Day sale

If you're hoping for something more powerful that will last more than a few months, you'll probably need to invest $1,000 or more. Unless, of course, you take advantage of the Presidents' Sale on the HP Spectre x360 13t.
Deals

From Chromebooks to MacBooks, here are the best laptop deals for February 2019

Whether you need a new laptop for school or work or you're just doing some post-holiday shopping, we've got you covered: These are the best laptop deals going right now, from discounted MacBooks to on-the-go gaming PCs.
Computing

In 2019, laptops are better than ever. Here are the best of the best

The best laptop should be one that checks all the boxes: Great battery life, beautiful design, and top-notch performance. The laptops we've chosen for our best laptops you can buy do all that — and throw in some extra features while…
Computing

AMD or Intel? We take a look at the pros and cons of both processors

When it comes to selecting a CPU for your PC, there's no shortage of chips for you to choose from. With Ryzen, Threadripper, and Core i9 CPUs though, the AMD vs. Intel argument is muddier than ever.
Mobile

How to check your IMEI number on an iPhone, Android, or other device

If you're wondering how to check your IMEI number, then this guide will show you how to do it, regardless of what phone you have. You can find your IMEI number using the dialer, in settings, or in a couple of other places.
Mobile

Need more power now? Here's how you can fast charge your iPhone

The new iPhones have almost everything an iOS addict could want -- except for a fast charger. If you need your iPhone powered back up in a hurry, here's everything you need to know to get your iPhone charged up quickly.
Mobile

The Apollo Traveller is the fastest recharging power bank we’ve ever used

Power banks are getting better all the time, but the Apollo Traveller from Elecjet hits new heights in terms of charging and recharging speeds thanks to the use of a graphene composite for cooling. Here's what happened when we tried it out.
Deals

From Air to Pro, here are the best MacBook deals for February 2019

If you’re in the market for a new Apple laptop, let us make your work a little easier: We hunted down the best up-to-date MacBook deals available online right now from various retailers.
Computing

These are the 6 best free antivirus apps to help protect your MacBook

Malware protection is more important than ever, even if you eschew Windows in favor of Apple's desktop platform. Thankfully, protecting your machine is as easy as choosing from the best free antivirus apps for Mac suites.
Computing

Get ready for new AirPods, MacBooks as rumored dates for Apple WWDC 2019 emerge

Apple developers and fans alike look forward, every year, to the company's World Wide Developer Conference, WWDC, and for this year, we already have the rumored dates that might bring us Apple's latest tech announcements.
Computing

This Mac keyboard is slim, dark, and clicky, but it’s still not perfect

There aren't many great mechanical keyboards for Macs. The Keychron K1 is just the latest attempt to join that hallowed group, but does its blend of style and substance tick all the boxes?
Computing

These 30 useful apps are absolutely essential for Mac lovers

There are literally hundreds of thousands of great software programs compatible with MacOS, but which should you download? Look no further than our list of the best Mac apps you can find.
Mobile

Need a date for Valentine's Day? Cozy up with the best dating apps of 2019

Everyone knows online dating can be stressful, time-consuming, and downright awful. Check out our top picks for the best dating apps, so you can streamline the process and find the right date, whatever you're looking for.
Computing

One of these monitors will look great next to your new MacBook Pro

Apple doesn't make its beloved Cinema Display monitors anymore, which makes finding the best monitor for the MacBook Pro more difficult. In this guide, we break down some of our favorites and offer something for every size and budget.