5 Biggest Tech Acquisitions That May Never Be Topped

2. HP’s Acquisition of Compaq

In 2001, The Hewlett-Packard Company or HP, which is now HP Inc (NYSE:HPQ), stunned the world when it announced its $25 billion acquisition of its main rival, Compaq. The deal caused ripples across the computing market, as both companies had overlapping supply chains and common contractors. The deal was also not welcomed by HP’s shareholders. The company’s outspoken director Walter Hewlett, who is also the son of HP’s co-founder, even went into a proxy battle to kill the deal. A decade after the deal, HP said in a statement that the decision to buy Compaq proved to be correct in retrospect, as both companies achieved a lot more together than they would have apart. But in 2015, HP split into two companies: Hewlett Packard Enterprise Co (NYSE:HPE), which covered its software and services business, and HP Inc (NYSE:HPQ), which contained the former company’s PC, printers and consumer products business. After buying Compaq, several problems marred HP’s reputation and business, including failed acquisitions like 3COM and EDS, and scandalous and ineffective management, which ultimately resulted in the ouster of Chairwoman Patricia Dunn and the resignations of two CEOs, Mark Hurd and Leo Apotheker.

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