News release

Compaq's Give Thanks America Program Expanded to Allow General Public to Send Video E-Mail Messages From Home

Sorenson Media's Vcast™ Client, Digital Island's 2Way Web Services™ Provide Infrastructure for Unique Technology Solution

With thousands of digital video messages recorded and sent, the Give Thanks America program is an acknowledged success at giving Americans the opportunity to express their thanks to U.S. troops around the world. Program sponsors today announced the second phase of the initiative, making it possible for the general public to send free video messages from their homes via a unique technology solution. The announcement came at the annual Consumer Electronics Show here.

Compaq Computer Corporation (NYSE: CPQ) and strategic technology partners Sorenson Media and Digital Island, a Cable & Wireless company, engineered the e-mail delivery system that was used in 22 cities throughout the U.S. in December. The same companies worked together to develop a unique technology solution that enables people to send their own digital video messages to anyone around the world.

With a digital video camera, computer and an Internet connection, anyone can send a video message to the service man or woman of their choice from the privacy of their own home. To get started, simply go to givethanksamerica.com and download the Sorenson Vcast™ client that was created for the GTA initiative. The rest is easy.

Sorenson Vcast stores the compressed video file on a Compaq server and generates a "video ticket." This ticket is embedded in the e-mail message and is sent instantaneously to the service man or woman. A copy of the e-mail message is sent to the original sender. Because a reference file or "video ticket" is placed into the e-mail the file size remains small.

Vcast also instantaneously sends out a reference file or second copy of the video file onto the Digital Island 2Deliver™ content delivery network, which will be replicated out domestically and internationally. The video message is stored on Digital Island's global streaming media content delivery servers. Service personnel may then open the e-mail message and click on the "video ticket." As the video ticket opens, Digital Island's 2Way Web Services infrastructure will properly route the video message.

""Americans have shown an incredible ability to give since the tragic events of September 11th," said Jim Sorenson, president of Sorenson Media. "Give Thanks America is another way that we can all make a difference. For those at the front lines of this war, good news from home is possibly their most valuable resource. Sorenson Media is thrilled to give Americans an automated e-mail solution to express gratitude to those that are giving so much."

The unique solution empowers simple e-mail messaging without burdening the military's computer networks and systems.

"Digital Island is pleased to be a partner with Compaq and Sorenson Media to enable the delivery of personalized video messages that will help inspire, uplift and bring our appreciation directly to those who are helping us in the war on terrorism," said Ruann Ernst, president and CEO of Digital Island. "By working closely with Compaq and Sorenson Media, we all have used innovation and groundbreaking creativity to bring the Internet to life to touch people's lives. This is a first and we are proud to be involved."

Mike Winkler, executive vice president, global business units for Compaq said the initiative grew out of employees' desire to honor the memory of five Compaq employees who were victims of the terrorist attacks on the World Trade Center and to show their support for the military effort.

"All Americans are, by association, victims of the terrorist attacks on Sept. 11," said Winkler. "Five of our employees lost their lives. It is in their memory and in memory of all who lost their lives that we launched this initiative. We realize that we can't reach everyone who wants to send a message, but with Sorenson's Vcast client we will be able to accommodate many more people in 2002."

About Sorenson Media

Sorenson Media was founded in April of 2000 to provide streaming media solutions that enable people anywhere to easily stream quality Web video. Sorenson Media is the recognized leader in video compression and streaming services that empower people to more expressly entertain, educate and communicate over the Web. With these innovative tools and services, Sorenson Media is in a unique position to drive mass-market adoption of Web streaming. For more information, please see: www.sorenson.com.

About Sorenson Vcast™

Sorenson Vcast is a Webcasting service that delivers compressed video content to anyone, anywhere over the Web. Vcast Video-on-Demand (VOD) was selected to support the "Give Thanks America" initiative because it automates the process for streaming pre-recorded video content globally. Additionally, Vcast Live offers streaming of live events in real time. For more information please see: http://vcast.sorenson.com.

About Digital Island

Digital Island®, a Cable & Wireless company, is the industry's first provider of 2Way Web Services that enable enterprises to leverage the Internet to increase the profitability of online operations, increase customer value and decrease costs. Digital Island provides robust managed hosting, content delivery and network infrastructure and applications required to transact, deliver, and manage profitable transactions and interactions. Digital Island leverages a global network of data centers, Cable & Wireless' advanced IP network reaching 70 countries and edge computers in 35 countries to lower transaction costs. Digital Island is headquartered in San Francisco. www.digitalisland.net

About Cable & Wireless

Cable & Wireless is a major global telecommunications business with revenue of over £8 billion (US$11 billion) in the year to 31 March 2001 and customers in 70 countries. Cable & Wireless' focus for future growth is on IP (Internet Protocol) and data services and solutions for business customers. It is developing advanced IP networks and value-added services in the US, Europe and the Asia-Pacific region in support of this strategy. With the capability of its global IP infrastructure and its strength in key markets, Cable & Wireless holds a unique position in terms of global coverage and services to business customers. For more information about Cable & Wireless, go to www.cw.com.

About Compaq

Founded in 1982, Compaq Computer Corporation is a leading global provider of enterprise technology and solutions. Compaq designs, develops, manufactures and markets hardware, software, solutions and services, including industry-leading enterprise storage and computing solutions, fault-tolerant business-critical solutions, communication products, and desktop and portable personal computers that are sold in more than 200 countries. Information on Compaq and its products and services is available at http://www.compaq.com.