Hewlett-Packard has confirmed it will split itself into two companies, one focused on cloud computing services and the other focusing on 3D printing and computing.
The California-based company has made the announcement in the wake of thousands of job cuts in recent years.
It has struggled to maintain market share in the PC sector as consumers and business customers shifted towards mobile devices.
As a result, demand for its desktop, laptop and printer products have waned, reducing its sector presence.
The company said the PC and printer business will use the name HP Inc., while the data storage services business will take the name Hewlett-Packard Enterprise.
Current boss Meg Whitman is to be the president and CEO of the cloud division and Dion Weisler is to be the equivalent for the PC and printing division.
The company promised investors that the split would make them more competitive and better able to deliver shareholder value.
"Our work during the past three years has significantly strengthened our core businesses to the point where we can more aggressively go after the opportunities created by a rapidly changing market," Ms Whitman said.
"The decision to separate into two market-leading companies underscores our commitment to the turnaround plan.
"It will provide each new company with the independence, focus, financial resources, and flexibility they need to adapt quickly to market and customer dynamics, while generating long-term value for shareholders."
HP Inc. will continue using the existing corporate logo with the cloud services choosing an alternative design.
In recent weeks HP has been running mainstream television advertisements highlighting its cloud storage and corporate solution-solving services.
The two new public companies are expected to be trading by the end of its 2015 fiscal year, and once complete HP stockholders will own shares of both companies.
HP is expected to complete the latest round of redundancies, between 11,000 to 16,000 people, this month - on top of the 34,000 people it had already cut from its payroll.
The news comes less than a week after eBay said it would spin off its lucrative payment system, PayPal, next year.
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