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HP and America Online to Deliver Instant Messaging to Businesses Worldwide

HP Expands Its Enterprise-class Messaging Portfolio with AOL's Instant Messenger Services

PALO ALTO, Calif., and DULLES, Va., Jan. 22, 2003

HP (NYSE:HPQ) and America Online today announced an agreement intended to further the value and convenience of enterprise-based instant messaging to businesses worldwide.

Under the distribution and development agreement, HP will integrate AOL's Enterprise AIM™ Services into its global messaging portfolio, helping enterprises develop agile, flexible IT environments. Enterprise AIM Services is the first business-class instant messaging offering based on the AOL® Instant Messenger™ Service, making it easier for companies to maintain a greater level of control of instant messaging.

"Messaging is the circulatory system of today's enterprise, and HP Services is integral in helping companies keep that system in perfect health," said Rene Schuster, vice president and general manager, Consulting and Integration, HP Services. "By teaming with an industry leader such as AOL, coupled with HP's strengths in IT infrastructure services, HP is able to offer an unmatched portfolio of messaging services critical to our customers' ability to effectively communicate internally as well as with customers and business partners."

While enterprises value the opportunity to have on-the-spot communication with employees and customers, they also want to ensure the security of their network. This agreement, based on a long-term relationship that has seen HP become one of the leading computing infrastructure providers to AOL, will enable the delivery of a messaging solution that is both robust and rich with functionality.

"HP is a leader in providing collaborative solutions to enterprises and understands that having instant access to colleagues for quick exchange of information is a real advantage in today's business environment," said Bruce Stewart, senior vice president, AOL Strategic Business Solutions. "By teaming with HP, a wide range of businesses can take advantage of highly integrated, enterprise-centric instant messaging applications that enable enterprises and employees to become more nimble, efficient and productive."

In addition, as a participant in AOL's new Enterprise AIM Certified Partner Program, HP will have the ability to build AIM-enabled enterprise applications that leverage the Enterprise AIM Gateway and integrate with its current suite of enterprise solutions. These applications will help HP Services enable customers to lower costs and improve the performance of enterprise messaging while responding to the changing needs of their businesses and fluctuating user bases.

The full suite of Enterprise AIM Services, from the AIM Enterprise Gateway to AOL's Private Domain Service with Authentication, are supported by AOL's instant messaging network -- the world's largest -- which delivers over 1.5 billion instant messages each day and supports more than 195 million registered users of the AIM service.

HP's global hosted enterprise services, including messaging and exchange-on-demand, target enterprise, carrier and small- and medium-sized business markets. HP's offerings focus on companies that want to upgrade, extend or replace legacy e-mail systems and/or offer e-mail to workers in remote locations, as well as service providers and carriers which offer bundled or a la carte messaging.

About America Online, Inc.

America Online, Inc. is a wholly owned subsidiary of AOL Time Warner Inc. Based in Dulles, Va., America Online is the world's leader in interactive services, Web brands, Internet technologies and e-commerce services.

About HP

HP is a leading global provider of products, technologies, solutions and services to consumers and businesses. The company's offerings span IT infrastructure, personal computing and access devices, global services and imaging and printing. HP completed its merger transaction involving Compaq Computer Corporation on May 3, 2002. More information about HP is available at http://www.hp.com.


This news release contains forward-looking statements that involve risks and uncertainties, as well as assumptions that, if they never materialize or prove incorrect, could cause the results of HP and its consolidated subsidiaries to differ materially from those expressed or implied by such forward-looking statements. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including any projections of earnings, revenues, or other financial items; any statements of the plans, strategies, and objectives of management for future operations; any statements concerning proposed new services or developments; any statements regarding future economic conditions or performance; statements of belief and any statement of assumptions underlying any of the foregoing. The risks, uncertainties and assumptions referred to above include employee management issues; the timely development, production and acceptance of services and their feature sets; the challenge of managing asset levels, including inventory; the difficulty of keeping expense growth at modest levels while increasing revenues; and other risks that are described from time to time in HP's Securities and Exchange Commission reports, including but not limited to HP's quarterly report on Form 10-Q for the quarter ended July 31, 2002 and reports filed subsequent to HP's annual report on Form 10-K, as amended on January 30, 2002, for the fiscal year ended October 31, 2001. HP assumes no obligation to update these forward-looking statements.


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