HOUSTON-Inside sources tell GlobeSt.com that Hewlett-Packard Corp. is planning to house its engineering operations and product development at the Compaq Computer campus once the merger is finalized.

The Palo Alto, CA-based Hewlett-Packard will be getting a 1,000-acre Compaq corporate campus, a hallmark of northwest Houston, in the takeover. The source says HP’s strategy is to use the site for development of products for industry stand servers and Intel-based businesses.

The Compaq campus’ fate is hushed, but published reports claim a 10% company-wide layoff will result from the merger. The campus consists of roughly 300 developed acres on the west side of Texas 249 in the city’s far northwest submarket. The east side contains about 700 acres of undeveloped land. Compaq began developing the space in 1983 and currently has 23 buildings on the property.

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