News release

HP and webBASIS Form Strategic Alliance to Enable e-Services Through Always-on Internet Infrastructure and Web-based Software Solutions

HP to Provide Financing, Infrastructure and Technology Support

PALO ALTO, Calif. and BAKERSFIELD, Calif., Nov., 8, 2000

Hewlett-Packard Company (NYSE: HWP) and webBASIS Inc., a leading Web-based software company and global e-business infrastructure provider, today announced that they are working together to build and deploy an always-on Internet infrastructure. WebBASIS is providing its Internet infrastructure to large enterprises and small businesses to help them communicate and conduct business via the Web.

As part of the agreement, HP is providing webBASIS with up to $9 million in debt financing to help webBASIS expand its network of data centers. The next data center will be in San Diego, followed by other sites around the United States and throughout the world. webBASIS will leverage HP's portfolio of system servers, enterprise storage systems, software, consulting and support services. Additionally, HP will become a preferred technology provider and the two companies plan to work together to develop co-marketing initiatives to support the growth of webBASIS' core business.

"We are very pleased to have HP as our partner," said Michael Galloway, president and CEO of webBASIS. "HP is a recognized leader in providing enterprise-quality, scalable and reliable mission-critical server solutions. This support and financing from HP enables webBASIS to expand its aggressive Web-based strategies and will be enormously beneficial to our customers." HP servers support webBASIS' Web-based offerings, including a Web-based communications suite and an information management suite that can be easily purchased and installed via the Web. By running webBASIS software through webBASIS' own secure Internet data centers, businesses and organizations can complete a broad range of business tasks and operations easily, economically and securely via the Web.

"webBASIS provides a fully integrated way for companies and organizations to do business through the Internet," said Dave Scantling, general manager, HP E-Services.Solutions . "We are looking forward to working with a company that we feel is well positioned to be a leader in Web-enablement and e-business provisioning."

About webBASIS

webBASIS, Inc. is the world's first fully integrated, Web-based software company. Through a combination of software solutions, Internet data center hosting and network management services, data storage and consulting services, webBASIS allows businesses and organizations to communicate and conduct business through the Internet. webBASIS' model for Internet infrastructure provisioning allows customers to select from a comprehensive fully integrated solutions suite. Founded in 1996, webBASIS is a privately held company headquartered in Bakersfield, Calif.

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.