HP Acquires Poly, Provider of Hybrid Work Hardware, for $3.3 Billion

HP is doubling down on the push for hybrid work by acquiring Poly, a US company that sells video-conferencing equipment, such as headphones and meeting room systems. 

The PC maker will pay $3.3 billion for Poly in a bid to become a leading provider of hybrid work systems. “The rise of the hybrid office creates a once-in-a-generation opportunity to redefine the way work gets done,” HP CEO Enrique Lores said in a statement. “Combining HP and Poly creates a leading portfolio of hybrid work solutions across large and growing markets.”

Even though the pandemic is dying down, HP says it’s still seeing “sustained demand” from corporations looking for ways to enable seamless collaboration between home and office environments. The company’s own survey found that about 75% of office workers are investing in ways to improve their home office setups. 

“Traditional office spaces are also being reconfigured to support hybrid work and collaboration, with a focus on meeting room solutions. Currently, there are more than 90 million rooms, of which less than 10% have video capability,” the company adds, citing a market research study.

As a result, the company sees a lucrative market in selling hybrid work-tailored products. Poly CEO Dave Schull adds: “The combination gives us an opportunity to dramatically scale, reaching new markets and channels.”

The acquisition also means HP plans on offering more hardware peripherals from Poly, which also sells kits to turn home offices into a hybrid work environment. “HP will be able to cross-sell across its global commercial and consumer sales channels, while driving incremental sales from combining Poly’s products with HP’s PC portfolio,” the company adds.

The deal is expected to close by the end of this year, pending approval from Poly shareholders and government regulators.