Creo Print On Demand Solutions will be run as an independently managed unit within Kodak GCG.

A product to drive the HP Indigo presses is expected in the first half of 2006 following a technology demonstration at Print 05.

The firm decided to run the division as a independent unit to better serve its OEM customers. It will operate from separate premises and operate as a standalone legal entity to protect its client's confidentiality.

It's deal to supply Xerox, its biggest and best-known customer, with the Spire colour servers, used to drive the DocuColor range of presses, continues.

Until this year Xerox was the only customer but has been joined by Konica Minolta and Ikon and now HP. The firm plans to be the leading supplier of workflow for digital printing.

It has no timeframe for when, or if, its parent's NexPress and Versamark divisions will adopt its products, although it said that these firms would be "treated just like any other OEM".