LAS VEGAS, NEVADA
NOVEMBER 15, 1999
© Copyright 1999 Hewlett-Packard Development Company, L.P
All rights reserved. Do not use without written permission from HP.
On Monday, November 15, 1999 HP CEO, Carly Fiorina delivered
a keynote speech focusing on the future of the Internet and
how HP will play an integral role in making the Internet work
for people. She went on to describe those elements that would
drive the future of HP's success, including a promise of a
new HP, a spirit captured in HP's new brand identity that
was launched at the conclusion of her speech. The following
are highlights of that speech.
Carly opened her remarks by asking if the Internet was really
working for people and continued to affirm that she believes
that we are at a critical juncture in the Internet. Describing
the present Internet as elite, the purview of technologists
and, as implied by the word Cyberspace - distant, cold, alien
and threatening, Fiorina outlined the future of the Internet
as pervasive, intimate, warm, friendly, useful and personal.
To realize this promise of the Internet, where rather than
working the web, the web works for people, a change, in our
companies is required.
"I believe companies, to succeed in this new era, to really
fulfill the promise of the Net, must build a new culture."
Carly explained this new culture as composed of three elements:
- Radical ideas - allow unorthodox ideas to flourish.
- Inventiveness - take those radical ideas and execute them
- Balance - synthesize the old and the new, dot-com and
established business, the old guard and the young turks.
In addition to this culture, Carly described a world driven
by services -- a world in which the pure product era has ended,
where products become much more useful because they are surrounded
by service. Products are platforms for delivering services;
cars for example from in-car navigation to emergency roadside
Companies are figuring this out because services drive the
customer experience and where products are wrapped around
by a service is where customers find it more valuable and
useful. The question then, is to define what types of services
are going to define a company's value proposition to customers.
"This new opportunity is about the intersection of three
The first vector is about the e-services wrapped around products.
HP's Internet strategy revolves around creating and delivering
services over the Net. This is about more than web sites.
According to Carly, it is about delivering Internet services
to devices, and she described HP being about helping new business
models to be created and inventing the technologies that support
them, with HP's E-speak at the core of this inventiveness.
HP E-speak was described as a remarkable software technology
that is at the heart of the company's belief that anything
can be turned into a service for revenue and profit, a technology
that makes it possible to create, locate and request any service
on the Internet from any device. In the spirit of HP's history
of being a better partner and collaborator than any other
technology company in the world today, Carly announced that
HP intends to release its E-speak source code on the web on
December 8, 1999.
The second vector is appliances. Carly thinks appliances
will proliferate and that everything with a microchip in it
becomes an appliance and can be connected to the web.
The third vector is infrastructure and Carly went on to describe
that HP views it as needing to be always on, always reliable
and always secure. This infrastructure environment, described
as pervasive computing - as available as oxygen, as reliable
as the sun and as invisible as radio waves - is a concept
first developed by HP chief scientist, Joel Birnbaum, 15 years
ago. HP has been building this infrastructure to create a
computing utility that meets the challenge to support billions
of devices and trillions of transactions.
"It is the intersection of those three points that really
is the promise of the Net, a Net that can work for you, instead
of you working for it. HP has a unique position. We sit right
in the middle of this intersection."
Carly then indicated that she, and the rest of the people
at HP, was focused on one goal - to exploit the intersection.
She continued to emphasize huge confidence in HP's future,
confidence supported because of the people of HP and their
inventive spirit, best personified by what she found in HP
In talking about appliances, Carly indicated that they have
to be useful, everywhere and inexpensive. What she found in
HP Labs are contributions like Chai, software that allows
device manufacturers to enable their appliances to access
e-services and communicate intelligently with each other.
Other contributions include hardware, the foundation of HP's
PC appliance program called e-PC, combining the functionality
of a PC with the form factor of an appliance.
Carly also announced a new partnership with Swatch to develop
the word's first wristwatch that delivers on the promise of
the Internet. This watch will be a device through which e-services
can be accessed, a watch that connects to the web. Carly asked
the audience to imagine a world where these types of appliances
were everywhere. Then people will have the ability to access
services anywhere. This imagined world is a reality today
in HP Labs, a town where e-services are accessible from almost
any point. HP calls it Cool Town. In Cool Town, everything
is connected. It is a model for how appliances, plus e-services,
plus infrastructure will deliver what people want. Cool Town
is about reinventing the Net to work for people.
Another exciting area for HP outlined by Carly is Digital
Imaging. A major area of invention for HP, what is now broadly
called Digital Media, is the embodiment of thinking in terms
of the intersection between the three vectors of services,
appliances and infrastructure.
"We happen to be the largest, most successful printing and
imaging company in the world. But now we are putting our inventive
minds to work to identify ways in which services, plus digital
imaging and e-publishing, will revolutionize the whole process."
Carly spoke about an installed base of 130 million printers,
and how HP was thinking about how to add a service component
to make those printers, those appliances, more useful for
businesses and families by connecting them to web in new ways.
An example presented was one in which a printer becomes like
a mailbox where, in the morning, only those newspaper articles
of interest are automatically printed. Another technology
described was JetSend that enables information exchange between
digital imaging devices, avoiding the need for cables or printer
drivers. HP is also expanding into e-publishing and the digitization
of hard copy, where we move from print and distribute to distribute
and print. These are examples Carly used to describe how the
Internet will work for people.
Carly summarized HP's vision of the Internet by emphasizing
- Profit is at the intersection of services and appliances
- Revenue comes from wrapping services around products.
- Culture, more than technology is going to help the Net
deliver what people want.
Carly concluded her remarks with a brief description of how
HP's culture is being changed to meet these challenges. She
described HP as having started in a garage 60 years ago by
inventors with radical ideas. HP invented many firsts, from
the hand held calculator to creating flexible working hours
on the factory floor. HP is a company of inventors with great
inventive capability and Carly talked about how HP will re-ignite
this spirit and start talking about invention again.
"You can expect to work with a reinvented HP. We will work
differently. We will sound different in our communications.
We're even going to look different, and it will be far more
than a symbol. It is about the fundamental transformation
and reinvention of this company."
Carly explained that HP was returning to its roots, preserving
the things that made the company great and offered to reintroduce
the audience to HP by screening a video that captured the
spirit of HP and launched its new brand and new cultural identity