News release

HP No. 1 in Worldwide Factory Revenue for the Midrange UNIX Server Market in 2000

Company Solidifies No. 2 UNIX Position Overall, Strengthens UNIX Entry-level Position

PALO ALTO, Calif., March 14, 2001

Hewlett-Packard Company (NYSE:HWP) today announced that figures compiled by market research firm IDC for the year 2000⁽¹⁾ show that HP has once again secured the No. 1 position in worldwide factory revenue for the midrange UNIX server market.

The figures also show that HP is the worldwide No. 2 UNIX server vendor with UNIX server revenue growth of 16.7 percent over the year 1999. HP has maintained the No. 2 position year over year for the past four years. Furthermore, HP was No. 2 in UNIX entry-level server revenue and No. 3 in UNIX high-end server revenue.⁽²⁾

"Once again our strong UNIX story is confirmed," said Mark Hudson, director of worldwide marketing, HP UNIX Server Business. "HP's proven, sustained leadership and superior technology have made us a market leader that powers market leaders."

HP has led the midrange market for the past four years with the HP 9000 N-class midrange server. The N-class midrange servers offer customers industry-leading price and performance advantages and meet the demands of enterprise and service provider customers trying to maneuver in today's ever-changing and challenging economy.

HP's entry-level servers, including the A-class and the L-class servers, also offer industry-leading price and performance advantages that are attracting customers at a rapid pace. The HP L3000 entry-level server is the fastest 4-way UNIX configuration available in the marketplace today. The HP L3000 entry-level server is the industry's first 4-way server to support partitioning, features built-in reliability in an entry-level server and offers I/O bandwidth.

Sales of the high-performance HP Superdome platform continue to ramp steadily with revenue from first shipments being realized in the first-quarter 2001. HP Superdome recently achieved world records in the TPC-H and SAP/ATO benchmarks and logged excellent TPC-C results.

"Top to bottom, HP offers the best UNIX product line in the industry," said Hudson. "Over time we believe the results will speak for themselves."

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 solutions for an Internet infrastructure that's always on.

HP 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.

UNIX is a registered trademark of the Open Group.

⁽¹⁾ According to IDC's Quarterly Server Tracker Report released on Wednesday, March 14, 2001.

⁽²⁾ IDC uses price points to differentiate servers into entry-level (which is up to $100,000), mid-range (which is $100,000-$1,000,000) and high-end (which is $1,000,000+).