HP, Looking for Edge, Close to Buying EDS for $12-13B

Computing giant seeks to expand services division, gain advantage over IBM
By Jonas Oransky,  Newser Staff
Posted May 12, 2008 4:29 PM CDT
The EDS headquarters visitors entrance sign is seen in Plano, Texas.   (AP Photo/LM Otero, file)
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(Newser) – Hewlett-Packard is near a deal to buy Electronic Data Systems for $12-13 billion, the Wall Street Journal reports, an acquisition that would make it more competitive in the services sector with rival IBM. Confirmation was expected soon (HP admitted “advanced discussions” were underway), even as the tech consulting and outsourcing company, valued at $9.5 billion, saw its stock soar on the news.