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HP ProCurve Growth Accelerates at Nearly Four Times Industry Rate

PALO ALTO, Calif., May 27, 2008

HP ProCurve experienced year-over-year port growth for the first quarter of calendar year 2008 that nearly quadrupled the growth rate of the networking industry, according to data from a report by market research firm Dell’Oro Group.(1)

According to the analyst firm’s data, ProCurve, the world’s second largest enterprise LAN networking vendor, grew worldwide port shipments by 28.4 percent in the first calendar quarter of 2008 compared to the same period in 2007. The industry growth rate for this same period was 7.82 percent.

“In the face of a challenging global economy, ProCurve’s impressive growth is based on the ability to provide customers with choice to handle their most difficult deployments, from small offices to global enterprises,” said Mark Thompson, HP ProCurve global director of sales and marketing. “This growth reflects a dramatic increase in the number of customers who are reconsidering their alternatives and looking to ProCurve for flexibility to quickly meet the changing needs of users, applications and organizations.”

Comparing quarter-over-quarter regional port growth in total switched Layer 2 through Layer 7, ProCurve’s port shipments in Asia Pacific grew by 52.4 percent versus an Asian market that declined 5.1 percent. In North America, ProCurve shipments grew at 10.4 percent in a market that declined by 11.8 percent. ProCurve port shipments in Europe, the Middle East and Africa grew at 14.0 percent in a market that declined 1.0 percent.

In addition, according to Dell’Oro Group data ProCurve’s Power over Ethernet (PoE) worldwide shipments grew 68.4 percent year over year compared to market growth of 26.0 percent. This data sustains ProCurve in the No. 2 industry position in PoE.

In Layer 2 and Layer 3 total Gigabit port shipments, ProCurve quarter-over-quarter growth was 20.8 percent in a market that declined 2.0 percent. Dell’Oro Group data places ProCurve as the No. 2 overall Gigabit networking vendor.

In the Web managed Gigabit segment category, ProCurve grew at a 60.6 percent rate, in contrast with quarter over quarter industry growth of 12.7 percent, boosting ProCurve Small Business Networking switches to the No. 2 position in this segment with a 21.5 market share.

About HP ProCurve

HP ProCurve is the Network of Choice for best-in-class solutions, products and services for wired and wireless networks. ProCurve’s Adaptive Networks vision enables customers to implement an open, standards-based network infrastructure that adapts to the changing needs of users, applications and organizations.

ProCurve was positioned in the Leaders quadrant in research and advisory firm Gartner Inc.’s 2008 Magic Quadrant Report for Global Campus LANs and is No. 2 worldwide in Ethernet switch market revenue and ports according to Dell’Oro Group.

More information on HP ProCurve is available at www.procurve.com.

About HP

HP focuses on simplifying technology experiences for all of its customers - from individual consumers to the largest businesses. With a portfolio that spans printing, personal computing, software, services and IT infrastructure, HP is among the world's largest IT companies, with revenue totaling $110.4 billion for the four fiscal quarters ended April 30, 2008. More information about HP (NYSE: HPQ) is available at http://www.hp.com.

(1) Dell’Oro Group, “Q1'08 Switched Ethernet Report,” May 2008.

© 2008 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. The only warranties for HP products and services are set forth in the express warranty statements accompanying such products and services. Nothing herein should be construed as constituting an additional warranty. HP shall not be liable for technical or editorial errors or omissions contained herein.

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