Press Release:

HP Drives Next-generation Animation on Linux with Walt Disney Feature Animation

Industry Icons Build on 60-year History

HP (NYSE:HPQ) today announced that Walt Disney Feature Animation has selected HP 's Linux-based workstations and servers as components in its next-generation digital animation production pipeline. Walt Disney Feature Animation will employ HP 's Linux infrastructure to give artists more powerful tools to translate their artistry into animation while achieving significant cost reductions.

The companies have been working together for the past 10 months to provide computing solutions for award-winning visual effects and to expand the boundaries of traditional and computer-generated animation. HP is delivering a broad range of products and services to power the production of Disney's visual effects and animation projects, including Intelâ Xeon-powered HP x4000 workstations running Linux for animators and high-density HP IA-32 based servers for rendering.

HP also is delivering graphics development expertise paired with its Leadership Graphics Program, which allows participants to partner with the leading graphic card vendors and graphics software developers to provide the broadest choice of graphic solutions for the entertainment industry.

"Animation is an iterative process," said John Carey, vice president of technology, Walt Disney Feature Animation. "It's simple really. Faster iteration gives rise to more innovation. Low-cost, high-power workstations like HP 's are an integral part of that equation."

HP has long been a technology partner behind the magic of Disney. In 1938, Disney became one of HP 's earliest customers after purchasing eight HP Model 200B resistance-capacity oscillators from founders Bill Hewlett and Dave Packard. At the time, Disney was seeking a way to produce their new movie "Fantasia" with lifelike sound by weaving works from Tchaikovsky, Beethoven, Stravinsky and others to produce an early version of SurroundSound in exclusive theatres around the country. More than 60 years later, Disney is again turning to HP technology to drive innovation in animation.

"Disney and HP have worked together at very pivotal points in history -- at the inception of the companies and now as the digital animation industry approaches a key turning point," said Martin Fink, general manager, HP Linux Systems Division. "Linux is quickly becoming the driving force behind the next phase of digital animation. HP is providing key technology infrastructure that will allow Disney to continue to create memorable animation while driving costs down and staying on the cutting edge."

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 merged with Compaq Computer Corp. on May 3, 2002. The merged company had combined revenue of approximately $81.7 billion in fiscal 2001 and operations in more than 160 countries. More information about HP is available at

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 products, 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 products and services and their feature sets; the challenge of managing asset levels, including inventory; the flow of products into third-party distribution channels; 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 annual report on Form 10-K, as amended on January 30, 2002, for the fiscal year ended October 31, 2001, HP 's quarterly report on Form 10-Q for the quarter ended January 31, 2002 (as filed with the SEC on March 12, 2002) and subsequently filed reports. HP assumes no obligation and does not intend to update these forward-looking statements.

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