HP, Compaq Deal Puts FCB on the Defensive

Foote, Cone & Belding could stand to be the biggestloser should Hewlett-Packard go through with its plans to buy Compaq, sources said.

Traditionally, agencies that work with the acquiring company have the edge in maintaining the relationship. That, combined with remarks from HP CEO Carly Fiorina last week, doesn’t bode well for FCB’s future on the brand, sources said last week.

At a news conference, Fiorina said the HP brand would become the dominant one and intimated that Compaq could disappear altogether or at least be relegated to a “sub-brand.”

“If the Compaq name is going away, so is the agency,” said one source.