By Robert McMillan
As Hewlett-Packard inches toward its Nov. 1 breakup, one of the
people leading the charge is on his way out. Bill Veghte, the head
of H-P's business-centric Enterprise Group, is leaving the company
to "pursue a new opportunity," H-P said Tuesday.
Mr. Veghte, who couldn't be reached for comment, said in a
recent interview that he had two objectives: running the enterprise
business and facilitating H-P's split into two separate
companies.
"If the enterprise business is healthy and separation is
proceeding smoothly, then it's great. And if it's not, then I've
got to get on it," he said.
Mr. Veghte's departure comes as H-P struggles to turn around its
enterprise business, which saw revenue decline 1% year-over-year
during its most-recent quarter.
"You're talking about a company that's going through seismic
changes," said Daniel Ives, an analyst with FBR & Co. "I view
it as just another sign that large tech players like H-P need to
find success in the cloud."
H-P expects to file documents with the Securities and Exchange
Commission later this week detailing its division. The split will
create two $57 billion offshoots: the printer-and-PC seller HP Inc.
and the corporate-technology behemoth Hewlett Packard
Enterprise.
A former Microsoft executive who played a key role in the launch
of Windows 7, Mr. Veghte was hired by Mark Hurd in 2010 to build
H-P's software business. Chief Executive Meg Whitman, just months
after taking the helm at H-P in September, 2011, elevated Mr.
Veghte to the role of chief operating officer before putting him in
charge of the Enterprise Group. Ultimately, she gave him a key role
in plotting H-P's separation strategy.
Twenty-year H-P veteran Antonio Neri will take over the
company's enterprise business. The separation effort will now fall
on the shoulders of Chris Hsu, a private-equity turnaround
specialist hired by Ms. Whitman in early 2014. Mr. Hsu had already
been pegged to manage the breakup's day-to-day tactics. After the
split, he will be the chief operating officer within Hewlett
Packard Enterprise.
In H-P's statement, Mr. Veghte praised Mr. Hsu and Mr. Neri. "HP
is equipped to take the business to new heights with great leaders
like Antonio Neri and Chris Hsu and the progress we have made over
the last 4 years," he said.
Write to Robert McMillan at Robert.Mcmillan@wsj.com
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