HP Buys Voodoo PC

By Andrew, NotebookReview Staff | | 14461 Reads

HP has announced that it will acquire boutique PC and notebook maker Voodoo PC. Voodoo PC is based in Calgary Canada and 60% of their PC sales come from notebook computers -- most of which are high-end gaming notebooks.

It's of course no irony that Voodoo PC is a major competitor of Alienware, recently purchased by Dell, and HP and Dell are of course huge competitors. This purchase of Voodoo PC is most definitely a counter-strike by HP in regards to Dell's move of acquiring a boutique PC maker.

In a very interesting note, it was the CEO of Voodoo PC, Rahul Sood, that first started the Dell to buy Alienware rumor in his blog where he outlined why he thought it made sense. He now outlines in his online blog why Voodoo PC made the move to merge with HP. Rahul also reveals that he had been in talks with Dell in the past but things fell apart. He seems very excited about the HP relationship though.

Voodoo PC with the HP logo on it (view large image)

The Future of Voodoo PC and HP

Following the close of the transaction, HP will form a separate business unit within its Personal Systems Group focused on the gaming industry. VoodooPC co-owner Rahul Sood will become chief technologist for the unit and co-owner Ravi Sood will become the unit's director of strategy. This acquisition, once closed, will extend HP's presence into the high-performance gaming market and globally expand the reach of the VoodooPC brand.

This is different to Dell and Alienware in that Dell has not formally merged with Alienware nor shifted executives from Alienware into Dell positions. So while the Voodoo PC brand will be maintained, the tie between HP and Voodoo PC will be more visible than it is between Dell and Alienware it seems.

Voodoo PC History

Voodoo PC headquarters in Calgary Canada (view larger image)

Voodoo PC is the creation of Rahul Sood who was later joined by his older brother Ravi Sood. Founded in 1991, Voodoo was an early innovator in the early era of custom high-end PCs. Initially they established themselves for putting together very powerful gaming rigs. Over time, even the most powerful components began to become commoditized. Voodoo PC switched to differentiating their products through service and construction. Rather than cashing in on the brand and going main-stream, as many of their early competitors did, Voodoo PC continued to perfect their offerings.

Voodoo PC notebook paint job area (view larger image)

Currently, 60% of Voodoo's sales come from notebook computers. This reflects a shift in the PC market whereby most consumers are recognizing the benefits of going portable as the compromises become fewer and less significant.