News release

HP Introduces Scanner Designed for Online Photo-sharing with Internet Appliances

HP e-scanner and e-printer Allow WebTV Plus Users to Scan and Print Photos for Sharing with Family and Friends

PALO ALTO, Calif., Oct. 30, 2000

Hewlett-Packard Company (NYSE: HWP) today introduced one of the first scanners on the market specifically designed to enable online photo-sharing using interactive television. The HP e-scanner draws on HP's leadership role in the digital imaging arena and advances the company's vision of creating easy-to-use Internet solutions by taking image sharing beyond the PC and into the living room.

The HP e-scanner joins with the HP e-printer, expected to be available in December, to provide interactive television users with a full digital imaging and printing solution. The HP e-scanner and e-printer will be compatible with Microsoft® WebTV® Plus receivers. The HP e-printer is also compatible with WebTV Classic receivers.

The HP e-scanner and e-printer are designed for use in the living room environment. Their compact sizes and sleek designs stack neatly with the WebTV Plus set-top box in the entertainment center.

"As digital imaging expands beyond the desktop, the HP e-scanner provides users with the simplest way to scan and share their photos -- at the touch of one button -- without having a PC or using software," said Mary Peery, vice president and general manager, HP Digital Imaging Division. "HP is making the Internet work for our customers in the most personal way -- by allowing them to share the special events in their lives with friends and family through the power of images and the Internet."

"This is the first scanner, which joins a number of other peripherals targeting the growing market for information appliances," said Ron Glaz, program manager for digital imaging research with International Data Corporation (IDC). "IDC projects that worldwide shipments of information appliances will exceed 45 million units in 2001. With this volume forecast, we expect to see an expanded array of digital imaging and printing solutions available to consumers."

Making It Easy to Stay Connected

The HP e-scanner makes it quick and easy for novice users to start scanning and join in the growing trend of online photo sharing. The e-scanner connects in seconds through the WebTV Plus receiver's video input connector and requires no software installation.

With the touch of one button, users can scan sections of photos, drawings and text documents up to 4 x 6 inches, creating images with optimized optical resolution and color bit depth for sending as e-mail attachments over the Internet. Using the WebTV Plus Page Builder feature, users are able to easily scan photos to their personal Web pages.

Like the e-scanner, the HP e-printer will provide users with a new way to communicate and work with technology as it moves into the living room. The e-printer offers vivid color output and rich black text perfect for printing personalized news, educational and entertainment information, e-mail, e-commerce receipts, event tickets, stock charts, photographs, maps and other Internet-related content. In addition to WebTV Plus and Classic receivers, the e-printer will be compatible with AT&T Broadband Interactive TV. (See related release, "HP Introduces Its First Printer Designed Specifically for Use with Interactive Television," dated May 1, 2000.)

U.S. Pricing and Availability

The HP e-scanner, priced at $99.95,¹ is expected to be available for purchase beginning Nov. 7, 2000. The HP e-printer, retailing for $199,¹ is expected to be available in December.

Customers will be able to purchase both products from HP's award-winning e-commerce site at http://www.hpshopping.com/. HPshopping.com offers a wide range of HP products from PCs and handheld products to computer peripherals, digital imaging products and printing supplies.

The HP e-scanner is expected to be available for purchase to current WebTV Plus users through the WebTV Jazz shopping site beginning Nov. 14.

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 individuals and businesses through simple appliances, useful e-services and an Internet infrastructure that's always on.

HP has 86,000 employees worldwide and had total revenue from continuing operations of $42.4 billion in its 1999 fiscal year. Information about HP and its products can be found on the World Wide Web at http://www.hp.com.

¹ Estimated U.S. street prices. Actual prices may vary.

Microsoft is a U.S. registered trademark of Microsoft Corp.

This news release contains forward-looking statements that involve risks, uncertainties and assumptions. All statements other than statements of historical fact are forward-looking statements. Risks, uncertainties and assumptions include the possibility that the market for the sale of certain products and services may not develop as expected; that development of these products and services may not proceed as planned; and other risks that are described from time to time in HP's Securities and Exchange Commission reports, including but not limited to the annual report on Form 10-K for the year ended Oct. 31, 1999, and subsequently filed reports. If any of these risks or uncertainties materializes or any of these assumptions proves incorrect, HP's results could differ materially from HP's expectations in these statements. HP does not intend to update these forward-looking statements.