HP 'to boost software business'

Hewlett-Packard (HP) is reportedly planning to improve its software business with the help of a string of takeover deals.

According to financial magazine Barron, the move could boost the company's shares.

Peter Goldmacher, an analyst at Cowen and Co, said HP should acquire open source technology solutions provider Red Hat. It offers Linux products and has a market value of $7.8 billion (£4.8 billion).

HP is also likely to buy other brands such as Symantec, Teradata, Informatica, BMC Software, CommVault Systems and Tibco Software.

Successful implementation of the strategy could see the firm's shares reaching the $60s range in a year, according to the report.

Copyright © Press Association 2011