HP reveals $24,999 hardware created just for Google Beam

HP has unveiled the HP Dimension, the first hardware device utilizing Google's Beam (formerly Project Starline) 3D video communication technology, priced at $24,999 excluding the required Google Beam software license. Designed for enterprise use, the 65-inch light field display aims to create a realistic 3D video conferencing experience without the need for headsets or special equipment, with companies like Salesforce and Deloitte already committed to adopting the technology. The HP Dimension will launch later this year in the US, Canada, the UK, France, Germany, and Japan.

Analysis

HP Inc. (HPQ) has unveiled the HP Dimension, the first hardware device developed for Google's (GOOG, GOOGL) Beam 3D video communication technology, priced at a significant $24,999 per unit, exclusive of a mandatory Google Beam software license whose cost has not yet been disclosed. This product, featuring a 65-inch light field display and six integrated cameras, is designed for enterprise use and aims to provide a highly realistic, glasses-free 3D video conferencing experience. The collaboration marks HP as the premier third-party manufacturer for Google Beam, potentially opening a new, high-value segment for HP, while Google seeks to monetize its advanced communication technology through hardware partnerships and software licensing. Commitments from enterprises such as Salesforce (CRM) and Deloitte to integrate Google Beam signal early positive reception within the target market, despite the substantial upfront investment. The HP Dimension is scheduled for release later this year in the US, Canada, the UK, France, Germany, and Japan. The general sentiment surrounding this announcement is moderately positive (sentiment score 0.45), with specifically higher positive sentiment for HPQ (0.7) and Google (0.6), though the overall market impact score is relatively low (0.35), suggesting the development is viewed as innovative but likely niche in its initial phase due to the price point and specialized nature.

Key Decisions for Investors

• Investors in HPQ should monitor the enterprise adoption rate and the total cost of ownership, including the Google Beam license, to gauge the revenue potential of this premium-priced product line.
• For GOOGL/GOOG investors, the success of the Google Beam licensing model and the onboarding of additional hardware partners will be key indicators of this technology's ability to penetrate the enterprise collaboration market and generate a new revenue stream.