HP is buying Kingston’s HyperX for $425 million. HP will gain access to HyperX gaming peripherals and expects to tap into the fast-growing gaming peripherals market.
The Hewlett-Packard Company (HP) is buying Kingston’s Gaming division, HyperX for $425 million, the company announced earlier on Thursday. The HyperX brand offers a wide range of products including keyboards, mice, headsets, microphones, mousepads, USB microphones, and console accessories. The deal only covers gaming peripherals and does not include the brand’s RAM products.
“HyperX is a leader in peripherals whose technology is trusted by gamers around the world and we’re thrilled to welcome their outstanding team to the HP family,” said Enrique Lores, President and CEO, HP Inc. “[…] We see significant opportunities in the large and growing peripherals market, and the addition of HyperX to our portfolio will drive new sources of innovation and growth for our business.”
PC Gaming is one of the most popular forms of video gaming according to a statement by HP. The PC Hardware industry is estimated to be worth $70 billion in 2023 with the global peripherals market expected to grow to $12.2 billion by 2024. HP expects gaming peripherals to represent a disproportionate share of this growth.
“HyperX products are designed to meet the most rigorous demands of all gamers – from casual to the most hardcore – giving them a winning edge and helping them stay on top of their game. Both of our companies thrive because we focus on our employees and share the same core values and culture. David Sun (Co-founder and COO) and I saw the possibilities for the HyperX business and its employees and we both realized that this change brings a brighter future for HyperX.”John Tu, Co-founder and CEO, Kingston.
The transaction would close by calendar Q2 2021, pending regulatory review.
HP Looks to Tap Into The Fast-Growing PC Gaming Peripherals Market
HP’s last gaming-related acquisition was in 2006 when the company acquired Voodoo. HP would later drop the brand to introduce the OMEN by HP in 2013. It will be interesting to see how the hardware company integrates gaming peripherals into its existing brand.
The company has not revealed its plans for the integration of the HyperX brand into its existing portfolio.
Featured Image Credit: CNN.