How can such a large reputable company like HP, with all of their intelligent employees, and “top talent” management make such a huge ($8.8 billion) mistake?

This is more evidence of the Ponzi scheme and casino like aspects of the stock market.

http://www.forbes.com/sites/danielfisher/2012/11/20/with-autonomy-h-p-bought-an-old-fashioned-accounting-scandal/