After a month full of rumors about Hewlett-Packard's decision of laying off 10,000 to 15,000 employees, finally the company has revealed it will jettison 27,000 workers, 8 percent of its work force, in order to restructure the company.

With the growing popularity of iPad and other mobile devices, the Palo Alto, California-based company has said that it has become tougher for the company to sell personal computers. And with the layoff and some other cost cuts, the company expects to save $3 billion to $3.5 billion annually.

Hewlett-Packard Chief Financial Officer Cathie Lesjak told Bloomberg in an interview that no unit of the business will be saved from layoffs but the enterprise services group will have the major blow.

HP CEO Meg Whitman has announced that the company plans to channelize most of the savings into development of more products and services that will help the company in technology development.

Elsewhere, HP shares rose following the layoff announcement and reported better sales and profit result than it was forecast for the fiscal second-quarter.