Compaq 7742 225510886 2008-07-14T02:01:00Z Rjwilmsi 203434 no 'of' between a month and a year per [[Wikipedia:Manual_of_Style_%28dates_and_numbers%29#Longer_periods|MOS]] using [[Project:AutoWikiBrowser|AWB]] {{Refimprove|article|date=August 2007}} {{Infobox Defunct Company | company_name = Compaq Computer Corporation| company_logo = <!-- STOP! --> [[Image:Compaq Logo.png|150px|Compaq logo used since 2007]] <!-- READ! This is the current Compaq logo. All new PCs are shipped with this logo. You can also view the logo on the official Compaq Support page at http://h10025.www1.hp.com/ewfrf/wc/siteHomeC?lc=en&cc=us HP.com and at HP's/Compaq's online shop http://www.shopping.hp.com/webapp/shopping/store_access.do?template_type=computer_store&landing=notebooks&a1=Brand&v1=Compaq%20Presario&aoid=11073 --> | successor = [[Hewlett-Packard Company|Hewlett-Packard]] | fate = Acquired by [[Hewlett-Packard Company|HP]]; now an HP [[brand]] | key_people = [[Rod Canion]], Founder<br />[[Jim Harris]], Founder <br />[[Bill Murto]], Founder | location = [[Houston, Texas]], [[United States|USA]]| foundation = February, 1982 | defunct = 2002 | num_employees = 63,700 (2001) | industry = [[Personal digital assistant|PDA]] and [[Computer Hardware]] | products = [[Compaq Presario|Presario]] [[desktop computer|desktops]] [[notebook computer|notebooks]], [[Ipaq|iPAQ]],and ProLiant Servers. }} '''Compaq Computer Corporation''' was an [[United States|American]] [[personal computer]] company founded in 1982, and is now a brand name of [[Hewlett-Packard Company|Hewlett-Packard]]. The company was formed by [[Rod Canion]], [[Jim Harris (Compaq)|Jim Harris]] and [[Bill Murto]] &mdash; former [[Texas Instruments]] senior managers. The name "COMPAQ" was derived from "'''Comp'''atibility '''a'''nd '''Q'''uality", as at its formation Compaq produced some of the first [[IBM PC compatible]] computers. Once the largest supplier of personal computing systems in the world<ref> Rivkin, Jan W. and Porter, Michael E. Matching Dell, Harvard Business School Case 9-799-158, June 6, 1999.</ref>, Compaq existed as an independent corporation until 2002, when it merged with [[Hewlett-Packard Company|Hewlett-Packard]]. ==History== ===1980s=== [[Image:CompaqLogoOnCompaqPortable.jpg|160px|thumbnail|Early Compaq logo, used on the Compaq Portable.]] Compaq was founded in February 1982 by [[Rod Canion]], [[Jim Harris (Compaq)|Jim Harris]] and [[Bill Murto]], three senior managers from semiconductor manufacturer [[Texas Instruments]]. Each invested $1,000 to form the company. Their first venture capital came from Ben Rosen and [[Sevin Rosen Funds]]. Like many small startups with unique beginnings, the original Compaq PC was first sketched out on a placemat by the founders while dining in a local Houston restaurant, House of Pies. Two key marketing executives in Compaq's early years, Jim D'Arezzo and Sparky Sparks, had come from [[IBM PC|IBM's PC Group]]. Other key executives responsible for the company's meteoric growth in the late 80s and early 90s were Ross A. Cooley, another former IBMer, who served for many years as SVP and GM North America; Michael Swavely, who was the company's chief marketing officer in the early years, and eventually ran the North America organization, later passing along that responsibility to Mr. Cooley, when Swavely retired. In the United States, Brendan A. "Mac" McLoughlin (another long time IBM executive) lead the company's field sales organization after starting up the Western U.S. Area of Operations. These gifted executives, along with other key contributors, including Kevin Ellington, Douglas Johns, Steven Flannigan, and Gary Stimac, helped the company surpass the IBM Corporation in all personal computer sales categories, after many predicted that none could compete with the behemoth. ====Compaq Portable==== [[Image:Compaq portable.jpg|thumb|right|[[Compaq Portable]]]]In November 1982 Compaq announced their first product, the [[Compaq Portable]], a portable [[IBM PC compatible]] [[personal computer]]. It was released in March 1983 at $2995, considerably more affordable than competitors at the time. The Compaq Portable was one of the progenitors of today's [[laptop]]. It was the second IBM PC compatible, being capable of running all software that would run on an [[IBM PC]]. It was a commercial success, selling 53,000 units in its first year. The Compaq Portable was the first in the range of the [[Compaq Portable series]]. Compaq was able to market a legal IBM clone because [[IBM]] mostly used "off the shelf" parts for their [[IBM PC|PC]]. Furthermore, [[Microsoft]] had kept the right to license [[MS-DOS|the operating system]] to other computer manufacturers. The only part which had to be duplicated was the [[BIOS]], which Compaq did legally by using [[Clean room design|clean room reverse engineering]] for $1 million.<ref>{{cite web |url=http://www.extremetech.com/article2/0,1697,21218,00.asp |title=Loyd Case: A Trip Down Memory Lane with Hewlett-Packard & Compaq |accessdate=2008-01-31 |work=extremetech.com}}</ref><ref>{{cite web |url=http://www.pbs.org/cringely/pulpit/1999/pulpit_19990930_000400.html |title=Real Trouble: How Reverse Engineering May Yet Kill Real Networks |accessdate=2008-01-31 |author=Robert X. Cringely |publisher=PBS}}</ref><ref>{{cite web |url=http://www.islandnet.com/~kpolsson/comphist/comp1982.htm |title=Chronology of Personal Computers (1982) |accessdate=2008-01-31 |author=Ken Polsson}}</ref> [[Phoenix Technologies]] were the first to follow their lead, but soon "clone BIOSes" were available from several vendors. ====Deskpro ==== On June 28th 1984 Compaq Released the Compaq Deskpro, a 16-bit desktop computer using an [[Intel 8086]] microprocessor running at 7.14 MHz. It was considerably faster than an [[IBM PC]] and was, like the [[Compaq Portable]], also capable of running IBM software. This was the first of the [[Compaq Deskpro]] line of computers. ====Deskpro 386==== When in 1986 Compaq introduced the first PC based on [[Intel]]'s new [[Intel 80386|80386]] microprocessor, the [[Compaq Deskpro 386]],<ref>{{cite web |url=http://www.pcworld.com/article/id,126692-page,9-c,systems/article.html |title=PC World - The 25 Greatest PCs of All Time |accessdate=2008-01-31}}</ref> they began a period of increasing performance leadership over IBM, who were not yet using this processor. An IBM machine eventually reached the market seven months later, but by that time Compaq was the 386 supplier of choice and IBM had lost its image of technical leadership. ====Systempro==== This technical leadership and the rivalry with IBM was emphasised when the [[Compaq Systempro|Systempro]] server was launched in late 1989 - this was a true server product with standard support for a second CPU and [[RAID]], but also the first product to feature the [[Extended Industry Standard Architecture|EISA]] bus which was designed in reaction to IBM's MCA ([[MicroChannel Architecture]]). ===1990s=== <!-- Unsourced image removed: [[Image:CompaqLTE5400Laptop.JPG|thumb|right|This photo is of a Compaq LTE 5400 laptop that features a Pentium processor at 150 MHz, a 1 GB hard disk drive, 32MB of memory, and runs on the Windows 95 operating system.]] --> At the same time as they began to dominate the server market, in the early 1990s Compaq entered the retail computer market with the [[Presario]], and was one of the first manufacturers in the mid-1990s to market a sub-$1000 PC. In order to maintain the prices it wanted, Compaq became the first first-tier computer manufacturer to utilize CPUs from [[AMD]] and [[Cyrix]]. The price war resulting from Compaq's actions ultimately drove numerous competitors, most notably [[IBM]] and [[Packard Bell]], from this market. In 1997, Compaq bought [[Tandem Computers]], known for their [[NonStop]] server line. This acquisition instantly gave Compaq a presence in the higher end business computing market. In 1998, Compaq acquired [[Digital Equipment Corporation]], the leading company in the previous generation of [[minicomputer]]s during the 1970s and early 1980s. This acquisition made Compaq, at the time, the second largest computer maker in the world in terms of revenue. Unfortunately for the company, CEO [[Eckhard Pfeiffer]], who engineered both mergers, had little vision for what the combined companies should do, or indeed how the three dramatically different cultures could work as a single entity, and Compaq struggled as a result. Pfeiffer was forced out as CEO in 1999 in a coup led by board chairman Ben Rosen and was succeeded by [[Michael Capellas]], who had been serving as Compaq's CIO. Capellas was able to restore some of the luster lost in the latter part of the Pfeiffer era, but the company still struggled against lower-cost competitors such as [[Dell, Inc.|Dell]]. During November 1999, Compaq began to work with [[Microsoft]] to create the first in a line of small-scale, web-based computer systems called [[MSN Companion]]s.<ref>{{cite web | title = MSN Web Companion | url = http://www.wince.ne.jp/review/okamon/20000107.htm | accessdate = 2007-03-04 }}</ref> ==Merger with HP== [[Image:HPComputerHoustonISD.JPG|thumb|A HP Compaq computer and a HP Deskjet 5740 printer owned by the [[Houston Independent School District]]; HP gained Compaq's contract with Houston ISD and took over Compaq's role in the contract.]] In 2001, Compaq engaged in a merger with [[Hewlett-Packard Company|Hewlett-Packard]]. Numerous large HP shareholders, including [[William Hewlett]], publicly opposed the deal, which resulted in an impassioned public proxy battle between those for and against the deal. The merger was approved only after the narrowest of margins, and allegations of vote buying (primarily involving an alleged last-second back-room deal with [[Deutsche Bank]]) haunted the new company. It was subsequently disclosed that HP had retained Deutsche Bank's investment banking division in January 2002 to assist in the merger. HP had agreed to pay Deutsche Bank $1 million guaranteed, and another $1 million contingent upon approval of the merger. On August 19, 2003, the [[SEC| United States Securities and Exchange Commission]] charged Deutsche Bank with failing to disclose a material conflict of interest in its voting of client proxies for the merger and imposed a civil penalty of $750,000. Deutsche Bank consented without admitting or denying the findings.<ref> [http://www.sec.gov/news/press/2003-100.htm SEC Press Release:] "SEC Brings Settled Enforcement Action Against Deutsche Bank Investment Advisory Unit in Connection with Its Voting of Client Proxies for Merger Transaction; Imposes $750,000 Penalty" </ref> Before the merger, Compaq's [[ticker symbol]] was CPQ. This was melded with Hewlett-Packard's previous symbol (HWP) to create the current symbol of HPQ. ===Post merger=== Capellas left the company after serving less than a year as President of HP to become CEO of [[MCI Communications|MCI Worldcom]], leading it to be purchased by [[Verizon]]. [[Carly Fiorina]], the Chairman and CEO of HP, added Capellas's responsibilities to her own. Fiorina helmed HP for nearly three years after Capellas left. HP laid off thousands of former Compaq, DEC, HP, and Tandem employees,<ref> [http://www.signonsandiego.com/uniontrib/20061226/news_1b26hp.html "HP hires workers as it lets others go"]</ref> <ref>[http://www.denverpost.com/technology/ci_4893866 "What's 150,000 minus 45,--~~~~000? In Hewlett-Packard's world, the answer is still roughly 150,000."]</ref> its stock price generally declined and profits did not perk up. Though the merger initially made it the number one PC maker, it soon lost the lead and further market share to [[Dell Inc.|Dell]]. In addition, the merging of stagnant Compaq with HP's lucrative printing and imaging division was criticized as that overshadowed the latter's profitability. In February 2005, the Board of Directors ousted Fiorina. Former Compaq CEO Capellas was mentioned by some as a potential successor, but several months afterwards, [[Mark Hurd]] was hired as CEO. In late 2005, HPQ seemed to find its feet under the new leadership of Mark Hurd. At this same time Dell seemed to be faltering and HPQ took back the #1 sales position. Hurd separated the PC division from the imaging and printing division. HP's PC segment has since been reinvigorated and now generates more revenue than the traditionally more profitable printers{{Fact|date=December 2007}}. Most Compaq products have been re-branded with the HP nameplate, such as the company's market leading ProLiant server line, while the Compaq brand remains on only some consumer-orientated products, notably Compaq Presario [[IBM PC|PC]]s. HP's business computers line was deprecated in favour of the Compaq Evo line, which was rebranded HP Compaq. HP's Jornada PDAs were replaced by Compaq iPAQ PDAs, which were renamed HP iPAQ. In May 2007, HP in a press release announced a new logo for their Compaq Division to be placed on the new model Compaq Presarios.<ref>{{cite press release |url=http://www.hp.com/hpinfo/newsroom/feature_stories/2007/07mobility.html |title=Connect at the speed of business: HP Feature story (May 2007) |accessdate=2008-01-31 |publisher=Hewlett-Packard}}</ref> ==Sponsorship== Compaq sponsored [[Queens Park Rangers F.C.|Queens Park Rangers Football Club]] from 1994 to 1996, during their most recent two seasons as a [[Premier League]] club. Compaq sponsored [[Bradford Bulls]] Rugby League club from 1996 to 1998. Compaq also sponsored the [[WilliamsF1#BMW_and_Cosworth_.282000.E2.80.932006.29|Williams]] team in [[Formula One]]. Two sports stadiums were named after the company: * The [[Compaq Center (Houston)|Compaq Center]], of [[Houston, Texas]], formerly ''The Summit'', until its sports teams moved to the [[Toyota Center (Houston)|Toyota Center]]. The building became the new home of [[Lakewood Church]], one of the largest [[Protestant]] congregations in the United States. * The Compaq Center at [[San Jose, California|San Jose]], later renamed the [[HP Pavilion (sports arena)|HP Pavilion]] when HP purchased Compaq. ==Competitors== HP Compaq competes against other computer manufacturers including [[Dell]], [[Acer Inc.|Acer]], [[Lenovo Group|Lenovo]] and [[Toshiba]] among others. Originally the company competed against [[IBM]], making affordable [[IBM PC compatible]]s often cheaper and faster than the IBM alternative. [[Lenovo]], which purchased IBM's personal computer business in 2005, is a new competitor, especially in the [[People's Republic of China]] where it was founded. ==See also== *[[Compaq Portable series]] *[[List of computer system manufacturers]] ==References== <!-- ---------------------------------------------------------- See http://en.wikipedia.org/wiki/Wikipedia:Footnotes for a discussion of different citation methods and how to generate footnotes using the <ref>, </ref> and <reference /> tags ----------------------------------------------------------- --> {{Reflist}} ==External links== *[http://www.compaq.com/ Compaq official website] *[http://web.archive.org/web/20050331034315/http://h18000.www1.hp.com/corporate/history.html Compaq company history (hp.com via archive.org)] *[http://www.washingtontechnology.com/news/16_13/business/17177-1.html HP-Compaq merger (washingtontechnology.com)] [[Category:Companies established in 1982]] [[Category:2002 disestablishments]] [[Category:Electronics companies]] [[Category:Defunct computer hardware companies]] [[Category:Defunct computer companies of the United States]] [[Category:Hewlett-Packard]] [[Category:Companies based in Houston, Texas]] [[cs:Compaq]] [[da:Compaq]] [[de:Compaq]] [[es:Compaq]] [[fr:Compaq]] [[ga:Compaq]] [[ko:컴팩]] [[it:Compaq]] [[hu:Compaq]] [[nl:Compaq]] [[ja:コンパック]] [[no:Compaq]] [[pl:Compaq]] [[pt:Compaq]] [[ru:Compaq]] [[sk:Compaq]] [[fi:Compaq]] [[sv:Compaq]] [[th:คอมแพค]] [[zh:康柏電腦]]