News release

HP Taps Mobile Communications Industry Executive as President of Embedded and Personal Systems

PALO ALTO, Calif., Feb. 21, 2001

Hewlett-Packard Company (NYSE:HWP) today named Iain M. Morris, a 23-year Motorola executive, as president of its new Embedded and Personal Systems (EPS) organization, which develops personal information appliances and embedded technologies that will power smart appliances.

"Iain comes from an environment where both personal appliances and mobility are well understood," said Carly Fiorina, HP chairman, president and chief executive officer. "He brings a keen understanding of how to develop profitable worldwide markets for personal appliances as well as how to establish a successful embedded solutions business. These attributes are cornerstone to HP's personal appliance strategy and make Iain ideally suited to lead us in this growth market."

Morris, 44, reports directly to Fiorina and joins the company's executive council. The EPS organization encompasses HP's existing PDA/handheld appliances, wireless and Internet services, personal storage appliances, embedded software and calculator businesses.

Morris joined Motorola in 1978 as a product planning engineer and has held a variety of leadership positions in general management, engineering, product design, conception and development, and marketing and sales.

Most recently, Morris was senior vice president and general manager of Motorola's Personal Communications Sector (PCS) Americas Region, which encompasses its cellular, advanced messaging and paging businesses in the United States and Canada. In addition, he had worldwide responsibility for advanced messaging and paging.

Embedded and Personal Systems

EPS becomes the fifth HP business organization. Two other product-generation organizations -- computing systems and printing and imaging systems -- are responsible for inventing, creating and manufacturing technology solutions and products. Two customer-facing organizations -- one for business customers and one for consumers -- are focused on marketing, selling and packaging HP solutions.

HP has made considerable gains in the high-growth PDA/handheld appliance and personal storage appliance markets.

In PDA/handheld appliances, HP has grown to the third largest supplier in the U.S. retail market, according to PC Data(1). The company is aggressively enhancing its current product line up with increasingly competitive pricing and expanded application platforms, including wireless capabilities.

HP also is the market leader -- 32.6 percent of the U.S. retail market, according to PC Data(2) -- in the fast-growing CD-writer category, which has been fueled by digital music and imaging. The company is a lead developer of the DVD+RW standard for DVD writers, which allow consumers to easily record videos and other content onto DVDs. These technology assets position HP well in the emerging digital entertainment market.

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.

(1) PC Data, "Hardware Retail Monthly Report, PDA/HPC," January 2001.
(2) PC Data, "Hardware Retail Monthly Report, Recordable CD-RW," January 2001.