Emma Walmsley, a prominent British executive, has been appointed as the new CEO of US-based computer maker HP, effective January 4. Walmsley, who previously led pharmaceutical giant GSK for nine years, takes over at a critical juncture for HP as it confronts challenges in the PC market and seeks to capitalize on the artificial intelligence (AI) revolution.
HP, a company with a long history in personal computing, is currently grappling with a shortage of memory chips, which has driven up prices and contributed to an industry-wide downturn. The company has also seen a decline in PC shipment volumes, although revenues have seen an increase due to a strategic shift towards more premium products, including AI-enabled PCs.
Walmsley's leadership at GSK involved navigating the company through the pandemic and overseeing a significant corporate restructuring, including the spin-off of its consumer healthcare division into a separate entity, Haleon. She also successfully defended her position against activist investor Elliott Management.
Despite her extensive experience in the pharmaceutical and beauty industries, Walmsley has no prior direct experience in hardware manufacturing. However, she serves as a board member at Microsoft, suggesting familiarity with the broader technology landscape. Her remuneration package at HP has not yet been disclosed, but her predecessor, Enrique Lores, earned approximately £17 million in his final year before moving to PayPal.
Bruce Broussard, who has been serving as interim CEO since February, will transition to the role of chairman when Walmsley assumes her new position. The appointment of Walmsley saw HP's shares increase by 6 percent in early trading. The company's stock has risen 27 percent year-to-date but remains about 30 percent below its 2022 peak.