Symantec reportedly in talks to split into storage and security units

The reported plans are in line with similar strategies announced by Hewlett-Packard and eBay

Taking a cue from Hewlett-Packard and eBay, Symantec is said to be in talks to carve out the company into two entities.

One of the entities will focus on storage while the other will address the security business, reported Bloomberg, citing people who asked not to be identified because the conversations are private.

An announcement of the split, which is supported by CEO Michael Brown, could be made in a few weeks, according to the report.

Symantec's spokesperson, Kristen Batch, said via email that the company does not comment on rumors.

Brown, who was Symantec's interim president and CEO since March this year, was appointed last month to the CEO position. After he took over, Symantec has returned to year-over-year revenue growth and has consistently exceeded its revenue and operating margin guidance, the company said. Symantec had in March fired its former CEO and president Steve Bennett, the second CEO to go in less than two years.

The Mountain View, California, company has explored and dropped the idea of a split in the past, according to Bloomberg, which quoted a person with knowledge of the matter.

Symantec reported in August that revenue in the first quarter of its fiscal year 2015, ended July 4, 2014, was $US1.7 billion, up 2 per cent from the same quarter last year. Net profit at $US236 million was up 50 percent in the quarter. Symantec's information management business, focused on backup and recovery, archiving, storage and high availability solutions, accounted for 37 per cent of revenue. The balance of revenue came from its information security, and user productivity and protection businesses.

Recent moves by tech companies suggest that they are looking at having nimbler operations, focused on specific businesses. HP, for example, plans to split by Oct. 31 next year into two companies, one addressing its printer and PC business, and the other addressing the enterprise market.

EBay said last month its board had approved a plan to split the company by the second half of next year into its eBay and PayPal businesses.

John Ribeiro covers outsourcing and general technology breaking news from India for The IDG News Service. Follow John on Twitter at @Johnribeiro. John's e-mail address is john_ribeiro@idg.com

Join the Good Gear Guide newsletter!

Error: Please check your email address.

Tags business issuessymantecstoragesecurityebayrestructuringHewlett-Packard

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

John Ribeiro

IDG News Service
Show Comments

Cool Tech

Crucial Ballistix Elite 32GB Kit (4 x 8GB) DDR4-3000 UDIMM

Learn more >

Gadgets & Things

Lexar® Professional 1000x microSDHC™/microSDXC™ UHS-II cards

Learn more >

Family Friendly

Lexar® JumpDrive® S57 USB 3.0 flash drive 

Learn more >

Stocking Stuffer

Plox Star Wars Death Star Levitating Bluetooth Speaker

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

GGG Evaluation Team

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Steph Mundell

LIFEBOOK UH574

The Fujitsu LifeBook UH574 allowed for great mobility without being obnoxiously heavy or clunky. Its twelve hours of battery life did not disappoint.

Andrew Mitsi

STYLISTIC Q702

The screen was particularly good. It is bright and visible from most angles, however heat is an issue, particularly around the Windows button on the front, and on the back where the battery housing is located.

Simon Harriott

STYLISTIC Q702

My first impression after unboxing the Q702 is that it is a nice looking unit. Styling is somewhat minimalist but very effective. The tablet part, once detached, has a nice weight, and no buttons or switches are located in awkward or intrusive positions.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?