The HP-Compaq Merger Story

HP's growth was aided by heavy purchases made by the US government during the Second World War. During the 1950s, HP developed strong technological capabilities in the rapidly evolving electronics business. In 1951, HP invented the high speed frequency counter, which significantly reduced the time required to measure high frequencies. HP came out with its first public issue in 1957. HP entered the medical field in 1961 by purchasing Sanborn Company. In 1963, HP entered into a joint venture agreement with Yokogawa Electric Works of Japan to form Yokogawa-Hewlett-Packard. In 1966, the company established HP Laboratories, to conduct research activities relating to new technologies and products. During the same year, HP designed its first computer for controlling some of its test-and-measurement instruments.

In 1977, John Young was named HP president, marking a transition from the era of the founders to a new generation of professional managers. During the 1980s, HP emerged as a major player in the computer industry, offering a full range of computers from desktop machines to powerful minicomputers. This decade also saw the development of successful products like the Inkjet and LaserJet printers. HP introduced its first personal computer (PC) in 1981, followed by an electronic mail system in 1982. This was the first major wide-area commercial network that was based on a minicomputer. HP also introduced its HP 9000 computer with a 32-bit superchip. HP became a leader in workstations with the 1989 purchase of market leader, Apollo Computers. In 1992, HP acquired Texas Instruments' line of UNIX-based computers...