News release

HP Launches Broad Imaging and Printing Services and Solutions for Businesses

New Offerings Drive Cost Savings and Greater Productivity for Imaging and Printing Environments

HP (NYSE:HPQ) today unveiled services and solutions designed to help enterprise companies reduce costs and increase productivity relating to their imaging and printing. The new offerings are specifically designed to help companies optimize their imaging and printing environments and manage the costs that, according to industry reports, consume up to an estimated 15 percent of operating revenue.⁽¹⁾

Industry reports note that a high percentage of companies do not track printing costs. HP's new portfolio of services and solutions enables companies to manage, track, deploy, diagnose and optimize their entire printing and imaging environment.

HP's new imaging and printing services include the following:

• Business Critical Services -- to improve business operations by ensuring reliable delivery of critical information to a variety of devices and applications;
• Infrastructure Services -- to improve knowledge and worker productivity through a variety of flexible services, including outsourcing, pay-per-page billing and mobile printing; and
• Digital Publishing Services -- to improve marketing effectiveness by providing marketing and sales teams the ability to order customer collateral on demand for personalized direct marketing campaigns.

The services portfolio is complemented with new products and technologies. This includes a new version of the HP output server -- scalable software that provides reliable document delivery across an extended enterprise to output destinations such as print, fax, e-mail, Web and file directories. Also complementing the portfolio is the HP managed print portal -- a customized, secure Web site that gives customers the ability to monitor and track printer usage and view detailed reports and analysis on their fleets.

"This announcement propels our ability to bring even more benefits to our customers," said George Mulhern, senior vice president, HP Shared Printing and Imaging Group. "We're building on our printing and imaging legacy and -- through these new solutions and services -- are enabling customers to drive down costs and improve the productivity of both users and IT managers."

The imaging and printing services portfolio is delivered by a team of experienced consultants who are dedicated to helping customers with printing and imaging issues across an enterprise: from the office to the copy center, from the data center to the in-plant print shop.

"The consulting and insight HP provides enabled us to reexamine our current printing environment as a strategic element of our enterprise infrastructure," said Jeff Gelb, director of information technology, DreamWorks LLC. "HP's services and technology will play an integral role in improving printing efficiencies and reducing costs."

Services are delivered using the appropriate level of the following capabilities, depending on the needs of the customer:

• Consulting -- analysis and assessment of customers' business processes, issues and needs;
• Integration -- infrastructure design, installation, implementation, project management and technology migrations;
• Management -- outsourcing; transfer ownership of hardware assets and service/support responsibility to HP; equipment, staff, services and supplies;
• Support -- on-site/off-site support; preventative maintenance and break/fix support; installation of software upgrades and fixes; customer training and support; and
• Financing -- flexible financing options such as pay-per-use to provide customers with a scalable environment tailored to their changing requirements.

HP's total print management portfolio combines the infrastructure services with HP's imaging and printing management solutions that include tools to help companies reduce print-related help desk calls and lower overall printing costs. These tools are designed to work together to form a solution of a quality and flexibility only HP can offer.

HP's imaging and printing management solutions can be utilized by enterprises or medium-sized companies that need a flexible solution to manage networked printers. These solutions can be implemented independently by the customer, through a consulting engagement with HP or by outsourcing the entire project to HP.

These imaging and printing management solutions consist of the following four components:

• Management tools -- help customers resolve print issues and intelligently manage print infrastructure to reduce costs, increase efficiency and protect investments;
• Print infrastructure -- provides a simplified, reliable print-area network and includes products such as HP Print Server Appliance to increase productivity through automatic driver distribution, spooling and print queue hosting -- for a fraction of the time and money currently being spent;
• Connectivity -- enhances workflow by enabling wired and wireless printing in certain cases. This includes products such as HP Jetdirect print servers, giving customers the flexibility to choose their preferred means of connectivity: wireless, wired, internal or external; and
• HP Internet-enabled printers/multi-function printers -- extend solutions to the device level, providing greater control over costs and productivity. HP's printers and multi-function devices contain firmware and software that enable intelligent Internet communication with PCs and servers, allowing efficient tracking of consumables usage (select printers) and streamlined consumables ordering via a simple, intuitive Web-based process.

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 acquisition of Compaq Computer Corporation on May 3, 2002. More information about HP is available at http://www.hp.com.

⁽¹⁾ Cap Ventures, "Decision Making Dynamics in the Convergence Domain," February 2002.