HP Unveils New Linux Solutions for Enterprise, Telecommunications Customers at LinuxWorld

Expands Linux Software, Hardware and Services; CEO Fiorina to Deliver Opening Keynote Address

PALO ALTO, Calif., Jan. 29, 2002

Hewlett-Packard Company (NYSE:HWP) today expanded its range of Linux-based solutions with new systems, software and services for business and telecommunications customers and network equipment providers.

The company introduced new offerings in its services portfolio for Linux, a pay-per-use utility pricing program for Linux service providers, the availability of Linux-based carrier-grade servers and a developer's platform for HP Opencall software. These announcements further solidify HP's leadership position in delivering comprehensive Linux solutions and reflect its drive to broaden the value and accelerate the adoption of Linux solutions for businesses and consumers.

"Linux is clearly attracting customers in a variety of markets who are adopting this technology to achieve increased productivity, greater efficiency and lower costs," said Carly Fiorina, HP chairman and chief executive officer. "By partnering with the Linux development and open source communities, HP is able to deliver a full set of applications, based on open industry standards, that help customers address real-world business challenges and opportunities."

Fiorina will deliver the opening keynote address at the LinuxWorld conference on Wednesday, Jan. 30. She will discuss the progress of Linux, showcase Linux solutions that customers are implementing today, and highlight the benefits that HP's pending merger with Compaq are expected to bring to Linux adoption.

HP, in collaboration with its partners, provides Linux-based solutions to companies such as Amazon, BMW, Boeing, HSBC's Brazilian bank operations, Nokia, Mexico's Penoles mining company, Speedera, ViaWest and Verizon's India operations.

"HP is working with us to develop and implement a complete Linux solution, including servers, customized software and consulting services, to help us rebuild our branch automation system and seamlessly integrate with our central data center, enabling us to increase time-to-market and better meet our customer needs," said Rumi Contractor, chief information officer, HSBC Brazil. "We chose Linux on HP systems because of HP's support of open standards and the integrated, open source software that gives us flexibility and independence from proprietary platforms, helping reduce our operating costs."

HP customers and partners will be on hand in HP's booth (No. 723) at LinuxWorld, where the company will demonstrate its Linux solutions and services. Featured products include HP's Linux-based compute clusters, Linux-based workstations, carrier-grade servers, Linux solutions for HP Officejet and inkjet printers, and software manageability offerings including HP Servicecontrol Manager, HP Toptools and HP MC/Serviceguard. The company also will demonstrate the HP Opencall Linux software developer's kit (SDK) and show a prototype smart handheld appliance using HP Chai-LX software. In addition, HP experts will be available to discuss Linux support, education services and consulting services.

"To ensure long-term success, Linux needs to gain wider enterprise adoption and an increased presence in Internet infrastructure," said Martin Fink, general manager, HP Linux Systems Operation. "This is precisely where HP continues to focus its R&D efforts and collaborate with other Linux and open standards leaders."

Product Details


To help global businesses maximize the potential and minimize the risks of new Linux deployments, HP has extended its current IT infrastructure consulting to include the Linux platform and enhanced its Linux-based integration and deployment services.

Expanded infrastructure service offerings for Linux include porting and migration services, security services and telecommunications application services. Similar to services programs offered for HP-UX and Windows®, HP helps customers to capitalize on Linux's potential in the enterprise by offering end-to-end services and support.

HP has extended its outsourcing services program to include Linux for running and managing customer operations and IT infrastructures. In addition, HP will test, deploy and maintain the Linux solutions it installs.

Pay-per-use Program

HP's pay-per-use utility pricing program for Linux, expected to be available in spring 2002, allows service providers to better align information technology costs with revenues as technology use fluctuates over time. With the program they can respond more effectively to unexpected capacity needs and pay for capacity only when it is used. HP also offers pay-per-use programs for HP-UX and Windows systems.

Carrier-grade Servers

HP today unveiled two carrier-grade servers based on open industry-standard technologies, including Linux and the Intelâ architecture, for the telecommunications industry. This approach enables HP to offer leading performance and density at a low cost.

HP's carrier-grade servers running Linux are designed to reduce time and risk in deploying and managing network infrastructure, while reducing operational costs for maintenance. The servers, along with HP carrier-grade storage, are ideal for network applications and contribute to the ability to generate new revenue streams quickly and profitably. The servers are 1U to 2U, Intel-based and NEBS Level 3 compliant.

HP Opencall SS7 Linux Development Platform

The HP Opencall SS7 Linux Development Platform is an Intel-based platform that connects to the telecom network and allows developers creating SS7-based solutions with the Linux SDK to live test them in real network environments. The comprehensive HP Opencall line, comprising hardware and software, is a market share leader within the telecommunications industry for signaling, service development and voice-interactive platforms for SS7-based and converged SS7-IP services.

About Linux at HP

Linux is one of three strategic operating systems HP offers to its customers, the others being HP-UX and Windows. HP has a comprehensive Linux and open source strategy based on the understanding that Linux is a preferred platform for a wide variety of business needs. HP believes in developing its Linux solutions by collaborating with the open source community. Furthermore, HP integrates and implements Linux across its businesses to provide customers with industry-leading end-to-end Linux solutions that feature HP Netservers, server appliances, 3D workstations, business desktop PCs, storage products, printers, intelligent devices, developer tools, system management and security software, services and support. More information is available at http://www.hp.com/linux.

About HP

Hewlett-Packard Company -- a leading global provider of computing and imaging solutions and services -- is focused on making technology and its benefits accessible to all. HP had total revenue of $45.2 billion in its 2001 fiscal year. Information about HP and its products can be found on the World Wide Web at http://www.hp.com/.

HP-UX Release 10.20 and later and HP-UX Release 11.00 and later (in both 32- and 64-bit configurations) on all HP 9000 computers are Open Group UNIX 95 branded products. UNIX is a registered trademark of the Open Group. Windows is a U.S. registered trademark of Microsoft Corp. Intel is a U.S. registered trademark of Intel Corp.


This document contains forward-looking statements that involve risks, uncertainties and assumptions. If any of these risks or uncertainties materializes or any of these assumptions proves incorrect, the results of HP and its consolidated subsidiaries could differ materially from those expressed or implied by such forward-looking statements.

All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including any projections of earnings, revenues, synergies, accretion or other financial items; any statements of the plans, strategies, and objectives of management for future operations, including the execution of integration and restructuring plans and the anticipated timing of filings, approvals and closings relating to the Merger or other planned acquisitions; any statements concerning proposed new products, services, developments or industry rankings; any statements regarding future economic conditions or performance; any statements of belief and any statements of assumptions underlying any of the foregoing.

The risks, uncertainties and assumptions referred to above include the ability of HP to retain and motivate key employees; the timely development, production and acceptance of products and services and their feature sets; the challenge of managing asset levels, including inventory; the flow of products into third-party distribution channels; the difficulty of keeping expense growth at modest levels while increasing revenues; the challenges of integration and restructuring associated with the Merger or other planned acquisitions and the challenges of achieving anticipated synergies; the possibility that the Merger or other planned acquisitions may not close or that HP, Compaq or other parties to planned acquisitions may be required to modify some aspects of the acquisition transactions in order to obtain regulatory approvals; the assumption of maintaining revenues on a combined company basis following the close of the Merger or other planned acquisitions; and other risks that are described from time to time in HP's Securities and Exchange Commission reports, including but not limited to HP's annual report on Form 10-K, as amended on January 30, 2002, for the fiscal year ended October 31, 2001 and HP's registration statement on Form S-4 filed on February 5, 2002.

HP assumes no obligation and does not intend to update these forward-looking statements.


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