Press Release:

HP Expands Network Storage Services Portfolio, Enhances Pay-per-use Solution for Disk Arrays

New Offerings Provide Enterprises Customized, Scalable Solutions for Optimizing Storage

HP (NYSE:HPQ) today announced fivenew services to help companies optimize and more effectively managetheir complex, heterogeneous storage environments. In addition,HP announced enhancements toits Pay-per-use solution for HP StorageWorks XP disk arrays,allowing customers to pay based on actual storage capacityusage.

The new network storageservices include: HP DataReplication Solution; HPDisaster Tolerant Management; HP Storage Optimization Assessment;HP Data Sanitization; andHP Storage Area ManagementSolution.

"Companies are demandingmore from their IT partners, and we are delivering more withtoday's announcement," said Gary Wright, vice president, networkstorage services, HP Services."Increasing agility and return on IT investment will continue to becritical business imperatives moving forward, and HP, with its Adaptive Enterprisestrategy, is strongly positioned to help companies create morebusiness value with services such as these."

HP Data Replication SolutionService

The HP Data Replication Solution serviceallows customers to manage and control their data replication needsby implementing a customized, fully integrated and operational datareplication solution using HPContinuous Access and Business Copy technologies. HP provides best practiceimplementation and integration expertise for the installation andconfiguration of customers' data replication products and tightlyintegrates these products into the storage managementenvironment.

With this service,customers can experience an accelerated return on IT investment andbenefit from a simplified solution that can be scaled up or downbased on business needs. The service delivers enhanced availabilityand disaster recovery protection and helps enterprises to becomemore responsive to change by better aligning business with IT.

HP Disaster Tolerant ManagementService

In the event of a disaster,maintaining data availability and integrity can be critical to acompany's survival. The HPDisaster Tolerant Management service helps customers improve theeffectiveness of their data center disaster tolerant strategy byreducing downtime and stabilizing recovery processes.

The completely customizedservice is unique in that it extends across the entire ITenvironment -- encompassing facilities, storage, servers, networksand application management -- to address the entire disastertolerant infrastructure, speed recovery times and simplifyday-to-day operations.

The HP Disaster Tolerant Managementservice helps customers implement effective recovery solutionsbased on the HP StorageWorksContinuous Access Enterprise Virtual Array, a controller-basedapplication that performs real-time data replication betweenarrays. This tightly integrated service provides low-riskdisaster-tolerant solutions for the most demandingenvironments.

HP Storage Optimization AssessmentService

The HP Storage Optimization Assessmentservice provides expert storage capacity and performance analyses,optimization recommendations and planning assistance to helpcustomers realize higher returns on their storage investments.

Customers are provided withsolution recommendations that can help them increase dataavailability, storage efficiency, utilization levels and networkstorage performance, while decreasing wasted capacity andbandwidth. Businesses are thus able to become more agile and canplan more effectively for future capacity and performancerequirements.

HP Data SanitizationService

The HP Data Sanitization servicesafeguards confidential business information as the ITinfrastructure evolves. Customers are able to maintain increasedcontrol of confidential information to the end of itslifecycle.

The service is designed toeliminate the possibility that sensitive data can be retrieved orreconstructed from de-commissioned storage devices. It addressesthis potentially serious yet often overlooked security risk byremoving confidential data from hardware after system upgrades,consolidations and storage platform migrations.

HP is the only vendor that currentlyprovides data sanitization as a standard service offering. TheHP Data Sanitization serviceis available for UNIX® and Windows®-based computing platforms usingHP StorageWorks disk-basedstorage devices.

HP Storage Area Management SolutionService

Taking control of storageresources is critical to cutting costs and establishing a storageenvironment better aligned with business goals. The HP Storage Area Management Solutionservice enables companies to have better control of theirincreasingly complex storage environments, while being able toincrease scalability, availability and flexibility. It does this byproviding expert project management, design activities,environmental analysis, business process and reporting needsanalyses.

HP Services storage consultantsleverage their in-depth knowledge of the HP OpenView Storage Area Manager --an integrated suite of storage area network management softwareproducts that support HP andnon-HP storage devices -- todeliver a tailored solution for each customer.

Pay-per-useSolution for HP StorageWorksXP Disk Arrays

Pay-per-use on HP StorageWorks XP 128 and 1024 diskarrays lets customers pay a fixed monthly fee plus a variable feethat is based on metering the actual usage of their disk storagesystems.

Updates to the solutioninclude a refined pricing model and enhanced metering methodology.Designed to scale right along with a company's IT environment, thesolution takes the guesswork out of forecasting anticipated storageneeds, aligns costs with storage usage and eliminates large upfrontstorage investments. This can improve service levels by providingreserve storage capacity that is accessed when needed, ensuringless frequent procurement and simplifying capacity planning.

The Pay-per-use solutionfor StorageWorks XP is an offering in HP's industry-leading On Demandsolutions portfolio and is delivered through HP Financial Services. HP was the first company tointroduce a pay-per-use selling model. Related HP storage products, software andservices are also available via this model.

"By helping customersimprove alignment between business and IT through innovative,flexible and customized offerings, HP is enabling them to reducecomplexity and optimize their assets for today and tomorrow," saidWright.

More information on theHP storage services describedabove is available at

More information on HP On Demand storage solutions,including the Pay per Use solution for StorageWorks XP, isavailable at

About HP

HP delivers vital technology forbusiness and life. The company's solutions span IT infrastructure,personal computing and access devices, global services and imagingand printing for consumers, enterprises and small and mediumbusiness. For the last four quarters, HP revenue totaled $70.4 billion.More information about HP isavailable at

UNIX is a registeredtrademark of the Open Group. Microsoft and Windows are U.S.registered trademarks of Microsoft Corp.

This news releasecontains forward-looking statements that involve risks,uncertainties and assumptions. All statements other than statementsof historical fact are statements that could be deemedforward-looking statements. Risks, uncertainties and assumptionsinclude the possibility that the market for the sale of certainproducts and services may not develop as expected; that developmentand performance of these products and services may not proceed asplanned; and other risks that are described from time to time inHP's Securities and ExchangeCommission reports, including but not limited to HP's quarterly report on Form 10-Qfor the quarter ended January 31, 2003, and subsequently filedreports. If any of these risks or uncertainties materializes or anyof these assumptions proves incorrect, HP's results could differ materiallyfrom HP's expectations inthese statements. HP assumesno obligation to update these forward-lookingstatements.

About HP

HP Inc. creates technology that makes life better for everyone, everywhere. Through our portfolio of printers, PCs, mobile devices, solutions, and services, we engineer experiences that amaze. More information about HP Inc. is available at