Hewlett-Packard (HP), the world’s largest computer company, says it plans to cut 24,600 jobs, almost 8% of its workforce, to streamline its business.

The cuts will take place over the next three years as it combines operations with Electronic Data Systems, the technology company it recently bought.

EDS employees are expected to bear the brunt of the cuts.

HP hopes the acquisition will allow it to take on rival IBM and win more lucrative, long-term contracts.

Half of the jobs cuts will be in the US, with finance, human resources and legal departments expected to be affected.

The company said that it eventually planned to add about half the positions back as different jobs in different departments within the company.

HP’s $13.9bn takeover of EDS is the firm’s biggest acquisition since 2002 when it bought Compaq for $19bn.

News reported by The BBC

Hewlett-Packard (HP), the world’s largest computer computer, has seen its quarterly profits boosted by robust international sales.

The firm saw profits for the three months to 31 July reach $2.5bn (£1.3bn), up from $1.78bn in the same period a year earlier.

Revenue from outside the US accounted for some 68% of the total, with particular strength in Asia.

Computer firms have targeted overseas markets as the US economy has cooled.

Lou Miscioscia of Cowen said: “Many had expressed concerns that HP’s results were going to start to be affected by the economy, but HP had solid numbers.”

Europe, Middle East and Africa saw revenue climb 5%, while revenue in Asia Pacific was 8% higher.

The Americas saw revenue up 3%.

The personal systems group saw revenue of $10.3bn, marking a rise of 15% and revenue from notebooks was 26% higher year-on-year.

Jason Pride of Haverford Trust said HP seemed to be “a standout”.

“The only other company that has a similar ability to stand out is IBM, but that’s a very different story, a story of transitioning to a more service-oriented approach.

“But HP is still primarily a hardware provider, and in that space, they are absolutely a standout.”

News reported by The BBC