News release

HP and StarVox Introduce Next-generation Telephony Solution

IP Telephony Solution Enables Service Providers to Provide Advanced Services, Reduce Operational Risk

PALO ALTO and SAN JOSE, Calif., Feb. 12, 2001

Hewlett-Packard Company (NYSE: HWP) and StarVox, Inc., a provider of next-generation telephony network software, today announced one of the industry's first factory-integrated, complete IP telephony solutions for service providers. The co-developed solution accelerates service providers' potential to generate revenue from converged voice and data services. This is the first offering in HP's next-generation telephony solutions portfolio.

The HP and StarVox next-generation telephony solution integrates the open standards-based HP Opencall Multiservice Controller (OCMC) and StarVox's IP telephony applications. The solution's interoperability with Cisco network equipment coupled with OCMC's carrier-class platform offers service providers an infrastructure that enables advanced services, while reducing operational risk.

HP will market the solution, including StarVox's application software. HP also will provide co-development, solution validation and single vendor accountability for design, global consulting, integration, installation and support services, including the Cisco infrastructure components.

The collaboration between HP and StarVox enables next-generation IP service providers, national second-license holders, ISPs and ASPs to generate additional revenue by adding scalable, reliable, IP-based voice services to their existing business customer offerings.

Implementation is streamlined by using scalable, factory-integrated core elements and is augmented by HP's ability to tailor the solutions to the service providers' requirements. Complete infrastructure design and installation, as well as integration into existing -- or the development of new -- operations and billing systems, further accelerate overall implementation. In addition, HP Smart Internet Usage enables service providers to augment conventional flat rate or time-and-distance billing models with usage-based billing plans sensitive to quality of service.

"Through this alliance with StarVox, HP continues to lead the service provider marketplace by offering a complete, easily deployed solution for next-generation networks," said Todd Reece, general manager, HP Network and Service Provider Services. "Our solution lowers the barrier to entry for service providers seeking to take advantage of emerging voice over IP opportunities."

"HP's decision to adopt our applications, and put the power of its worldwide sales force behind our products, is a strong validation of our technology and a milestone toward converged voice and data services," said Al Wokas, president and CEO of StarVox, Inc. "Together, HP and StarVox have conquered problems for service providers such as lack of integration, support and services, and made the deployment of IP-based telephony a seamless process for the first time."

The HP and StarVox solution is built around the following StarVox applications:

• StarVox™ VoIP Business Trunking with VPN, which enables service providers to become licensed, IP-based telephony carriers and to offer VoIP toll bypass without the need for a Class 5 switch; the VPN application fuses PBX systems from different vendors into a single virtual network offering private dialing capabilities across multiple business offices, and

• StarVox IP Centrex, a virtual PBX solution for single-site businesses or branch offices of larger enterprises.

HP's global reach and delivery of 24x365 support through its worldwide telecom support centers facilitate rapid worldwide deployment. The HP and StarVox solution is available today worldwide and is sold through HP's global sales force.

About StarVox

StarVox provides key enabling software infrastructure technology for Next Generation Telephony solutions. StarVox carrier-class software products allow service providers to offer virtual PBX and Class 5 business trunking applications via low cost VoIP gateways integrated with managed IP networks. StarVox's unique ability to seamlessly integrate existing PBX, PSTN, wireless and softswitch networks -- and their disparate dial plans -- to Next Generation Telephony networks enables service providers to migrate existing applications and provide new services not currently available on legacy networks, while protecting their existing network investments. Founded in 1997, StarVox is a privately held company headquartered in San Jose, California, with offices in London, Chicago, and Atlanta.

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 88,500 employees worldwide and had total revenue from continuing operations of $48.8 billion in its 2000 fiscal year. Information about HP and its products can be found on the World Wide Web at http://www.hp.com.

This news release contains forward-looking statements that involve risks, uncertainties and assumptions. All statements other than statements of historical fact are statements that could be deemed 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, 2000, 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.