* HP shares slide after 3PAR offer
* Utilities sector leads gains as buyers seek safety
* 3M CEO says may double acquisition spending in 2010
* Dow, S&P 500 flat, Nasdaq down 0.44 pct (Updates to early afternoon)
By Rodrigo Campos
NEW YORK, Aug 23 (Reuters) - Falling technology shares weighed on the Nasdaq Composite index on Monday while gains by utilities, healthcare and other defensive sectors kept the broad market flat.
A possible bidding war over data storage company 3PAR between Hewlett-Packard Co and Dell Inc sent shares of HP 1.9 percent lower, which helped to drag tech stocks down.
"The market's worried HP may be overpaying for 3PAR," said Giri Cherukuri, head trader at OakBrook Investments LLC in Chicago.
Lingering concerns about the stalling economic recovery and its impact on profits further weighed on technology shares.
"I think it's these economic numbers that have been coming weak recently what people are trying to incorporate into the future view of the technology (sector)," Cherukuri said.
Gloominess over softer-than-expected data, including reports on jobless claims and regional manufacturing on Thursday, dragged shares lower, and both the Dow and S&P 500 have notched two straight weeks of losses.
The Dow Jones industrial average edged up 1.02 points, or 0.01 percent, to 10,214.64. The Standard & Poor's 500 gained 0.55 point, or 0.05 percent, to 1,072.24. The Nasdaq Composite dropped 9.56 points, or 0.44 percent, to 2,170.20.
The S&P 500 was kept afloat by gains in utilities and healthcare stocks, traditionally considered defensive plays as they are less sensitive to the economy.
"The flip side of weaker economic numbers is that the more stable sectors are doing better today," Cherukuri said.
The S&P utilities sector rose 1 percent while the healthcare stocks added 0.7 percent.
HP, the computer maker, bid $24 a share in cash for 3PAR, topping an earlier bid from Dell. Shares of 3PAR surged 42.2 percent to $25.69, while HP dropped 1.9 percent to $39.10. Dell shares fell 1.5 percent to $11.89.
In another major technology deal announced last week, chipmaker Intel Corp moved to acquire software maker McAfee Inc for $7.7 billion..
3M Co's Chief Executive George Buckley said the Dow component may spend about $2 billion on acquisitions in 2010, twice its previous estimate. 3M shares gained 1.1 percent to $81.56.
Campbell Soup Co may make a $2.3 billion break-up bid for Britain's United Biscuits, which is owned by private equity firms PAI Partners and Blackstone Group LP. Campbell shares were up 1 percent to $37.02. (Reporting by Rodrigo Campos; Editing by Kenneth Barry)