News release

Compaq Teams with WorldCom to Offer iPAQnet Mobile Internet

Compaq Computer Corporation (NYSE: CPQ) today introduced a suite of new wireless access products as part of its iPAQnet Mobile Internet service to equip "on the go" business people and consumers with the latest full-service Internet tools. The new iPAQnet Mobile Internet line of wireless-enabled pocket PCs and laptops furthers Compaq's wireless Internet strategy to extend the utility, flexibility and mobility of its products for customers.

Compaq's new wireless solution is powered by WorldCom Wireless Internet service in conjunction with WorldCom's high-performance global IP network and the Ricochet national wireless network. The service is the fastest available today, operating at speeds of 128 Kbps.

"As computers and the Internet become ever more fundamental in our daily lives, Compaq is taking both to a new level," said Mike Larson, senior vice president and general manager of Compaq's Access Business Group. "Working with WorldCom, we are taking a leadership position by delivering the first seamless, integrated wireless Internet products for the ultimate untethered eLifestyle—connecting people anytime, anywhere."

"Compaq's new products, powered by WorldCom Wireless Internet service, are helping to make wireless data communications a reality for the digital generation," said Cindy Andreotti, WorldCom senior vice president of Global Accounts. "Our industry-leading global IP network is fueling a host of new applications for business customers like Compaq and their customers to conduct 'e-business as usual,' by communicating and operating in new and different ways."

Available with the purchase of Compaq's new high-performance access products are all the equipment and services that make up iPAQnet Mobile Internet: a Novatel Merlin Ricochet PC Card modem and WorldCom Wireless Internet service. The wireless service is immediately available in 13 cities, including Atlanta, Dallas, Denver, Houston, New York City, Minneapolis, Phoenix, San Diego, Baltimore, San Francisco Bay Area, Philadelphia, Detroit and Los Angeles.

In addition to the iPAQnet line of mobility Internet products based on WorldCom Wireless Internet service, Compaq also introduced a full set of iPAQnet Mobility Solutions for the Armada notebook PC family and a sleek new wirelessly enabled Presario notebook computer for consumers. The company also announced a complete new line of Wireless Local Area Network (WLAN) services and solutions and an e-mail attachment handling solution for its iPAQ BlackBerry product offering.