Compaq is now one of the 2 or 3 largest
computer companies in the
world (
IBM and
HP are the other two.)
Acquired what was then left of Digital Equipment Corporation in 1998. DEC at that point had already sold off lots of their software business to various parties, their tape drive and hard disk business to Quantum, and had cut tons of people. This was all after Ken Olson left to be replaced by Robert Palmer.
If, say, in 1985, you walked up to Ken Olson and said, "Hey, you know that little two-bit clone company in Houston with the suitcase computer? Well, in just thirteen years they're going to buy what's left of your company," he'd probably have dope-slapped you. That's the beauty of the industry.
In fall of 2001 Compaq and HP announced plans to merge. The merger is subject to shareholder approval in March of 2002. The charitable foundations associated with the Hewlett and Packard families, who control a large part of HP's stock, have come out publicly against the merger; however, it seems unlikely that the merger won't go through.