Research firm Canalys has stated in a note to clients that HP should reconsider its decision to ditch its TouchPad tablet as it could double the value of the HP PC division.

This news emerges after a turbulent time during which HP announced its intentions to shed its PC business and do away with its webOS phones and newly released TouchPad.

The TouchPad had its price slashed down to $99 after the initial discontinuation announcement, prompting bargain hunting consumers to line-up outside retailers in order to get their hands on the device.

Premature conclusion of failure

"The TouchPad was overpriced at launch and did not sell. This led HP to draw a premature conclusion that the product category had failed," said Canalyst.

"The TouchPad has become the 'must-have' technology product of 2011. Perhaps no other technology vendor, apart from Apple, has ever created such hype for a technology product," it added, also mentioning that rocketing interest in TouchPad marks the highest exposure that any HP brand has attained in the last 10 years.

"HP has established a lead in the race to be the number two behind Apple in the pad business but the window of opportunity will begin to close if delays occur," Canalyst also warned

According to the research team, HP could obtain a 10 percent global market share in media tablets, which could double or triple the value of the PC unit's estimated value of $8 to $10 billion.

Earlier this month HP announced a final batch of TouchPads to be launched in the US along with refunds for TouchPad owners who had adopted the device before its hefty price cut.

[source: Reuters]