Compaq Offers ProLiant Servers Pre-installed with Red Hat 7.0, Simplifying Linux Deployment and Support

New ProLiant DL360 and ML330 Configurations Available Today

HOUSTON, November 21, 2000 - Continuing to simplify the customer experience for the New IT, Compaq Computer Corporation today announced the availability of ProLiant™ servers pre-installed with Red Hat Linux 7.0 on the ultra-thin ProLiant DL360 and the ProLiant ML330 server models. The new ProLiant server configurations with pre-installed Linux provide customers the added convenience of purchasing the server and operating system (OS) from one source as well as providing a single, consolidated service and support license to enable the easy deployment of new Linux servers.

Second quarter Linux OS market share numbers for industry standard servers, released in September, indicate Compaq ProLiant servers lead the market with 26 percent share of units shipped - more than twice the percentage of Compaq's nearest competitor(1). The new ProLiant configurations, pre-installed with Linux, combine industry-leading ProLiant server design and manageability technologies with the experience of Compaq's market leadership to speed and simplify deployment of Linux for customers.

"Compaq is committed to providing customers with the quickest, easiest and most reliable way to deploy Linux in their ProLiant computing environments," said Rick Becker, Director of OS Marketing, Compaq Computer Corp. "We promised our customers in August that we would have pre-installed Linux for them in 2000. Today, with the new ProLiant DL360 and ML330 configurations with Red Hat Linux 7.0, we deliver on that promise to radically simplify customers' Linux experience."

Rapid Deployment and Simplified Management

The new ProLiant DL360 and ML330 configurations with pre-installed Red Hat Linux 7.0 greatly reduce the time required by IT professionals to set up and install new servers by integrating the OS into the Compaq SmartStart Management tools, saving customers time and money. The new ProLiant servers with pre-installed Red Hat Linux are fully integrated Compaq solutions. Each server is fully tested and optimized for the most demanding implementations and is highly flexible to enable customization to meet individual customer needs.

The Compaq DL360 ProLiant solution and the ProLiant ML330 solutions for Red Hat Linux 7.0 are available immediately in North America, with no additional charge for Linux. The ProLiant DL360 starts at $4,205 and the ProLiant ML330 starts at $1,415. The new pre-installed Linux servers also include free 90-day hardware and OS installation support, as well as configuration and setup support license from Compaq Global Services, further simplifying Linux deployments.

Company Background

Compaq Computer Corporation, a Fortune Global 100 company, is the largest supplier of computing systems in the world. Compaq designs, develops, manufactures, and markets hardware, software, solutions, and services, including industry-leading enterprise computing solutions, fault-tolerant business-critical solutions, and communications products, commercial desktop and portable products, and consumer PCs.

Compaq products and services are sold in more than 200 countries directly to businesses, through a network of authorized Compaq marketing partners, and directly to businesses and consumers through Compaq's e-commerce Web site at Compaq markets its products and services primarily to customers from the business, home, government, and education sectors. Customer support and information about Compaq and its products and services are available at


1IDC 2Q00 Server Tracker Report.

Compaq and the Compaq logo Registered U.S. Patent and Trademark Office. Product names mentioned herein may be trademarks and/or registered trademarks of their respective companies. This financial discussion contains forward-looking statements based on current expectations that involve a number of risks and uncertainties. The potential risks and uncertainties that could cause actual results to differ materially include: delays in the implementation of changes in delivery models, component shortages, increased competitive environment and pricing pressures, delays in product rollout schedules, slow acceptance for new form factors, changes in product, customer and geographic sales mix, employee retention, the financial condition of resellers, delays in new systems implementation, operational inefficiencies related to sales cycles, equity investment volatility, emerging market political or economic instability and disruptions related to restructuring actions. Further information on the factors that could affect Compaq's financial results is included in Compaq's Securities and Exchange Commission (SEC) filings, including the latest Annual Report on Form 10-K and the latest quarterly report on Form 10-Q.