Quant IP
The move of Xerox to pursue the acquisition of HP let to some questions by market pundits: Why is Xerox trying to buy now? Why are they even attempting to buy it´s much bigger rival? Will the final offer top 40 billion US-Dollars? I don´t know the answers but I do know that one part of the possible deal has been reported at all.
Sure, the synergies in a possible deal will come from the classic printing business and that´s why everybody is focusing on that right now. And sure, investors are right to ask about the future of the computer business of HP in a future combined company. But so far no one has talked about the possibilities in 3-D-Printing.
3-D-Printing or additive manufacturing is about to undergo a drastic shift from prototyping solutions to mass production various areas. HP just signed a long term agreement with Volkswagen to bring metal printing into real production. (here). It is easy to spot the investments of both HP and Xerox in this field, following the patent filings for additive manufacturing:
Watch the video here.
A merger would create a 3-D-Printing giant with more than double the patents of GE. Maybe this deal is not just another consolidation of old tech but more a strategic move into new tech?