Press Release:

HP Dramatically Reduces Networking Costs with New Ethernet Switches

HP Procurve Networking Switches Offer L3/L4 Wire Speed Performance at L2 Prices

Hewlett-Packard Company (NYSE: HPQ) today announced additions to its HP Procurve networking switch product line that are priced dramatically below comparable products from 3Com and Cisco. The company also announced enhancements to the networking management suite of its software products.

HP's new Ethernet 5300xl series switches and its latest switches in the HP Procurve 4100gl series -- the 4104gl and 4148gl -- dramatically reduce the investment customers must make in their Ethernet networking infrastructure. For example, in a 96-port configuration using published list prices, the HP price per port for a 5300xl switch is $99 compared to similar products from 3Com at $220 and Cisco at $421.(1)

The HP Procurve Switch 5300xl and HP Procurve Switch 4100gl series offer customers a modular alternative to stackable products with media flexibility, port density, high performance and redundancy at or below the price of most competitors' stackables. In addition, the 5300xl series provides customers Layer 2/3/4 capabilities throughout their network at a price below that of most competitors' Layer 2 chassis products.

The new switch families from HP also provide customers with the ability to expand their networking without additional cost and complexity, while removing the bandwidth constraints of proprietary stacking kits required for stackable network solutions. Software upgrades, phone support and limited lifetime warranties also are included free of charge.

"As IT budgets continue to be squeezed, HP continues to help customers obtain the most for their IT dollars by providing some of the best price/performance networking solutions in the industry," said John McHugh, general manager, HP Procurve Networking Business. "HP's ability to deliver customers greater return on their investment in networking has propelled HP Procurve products into the No. 3 position in the total Ethernet market and to the No. 2 player in the L2 10/100 modular Ethernet switch market."

The HP Procurve Switch 5300xl series is based on HP-developed ASIC chip technology, which provides wire speed performance, traffic flow prioritization and access and management security features. Additionally, customers can adapt their networking requirements as needed by adding functionality through free software updates.

The HP Procurve Switches 4148gl and 4104gl offer high-performance, low-cost chassis alternatives to stackable switches in a compact 3U design. HP Fast Path Technology enables wire speed intra-module switching without having to go to a central switching fabric. The HP Procurve Switch gl mini-GBIC module offers high-speed fibre flexibility for Gigabit SX, LX and future LH connectivity.

Feature enhancements to HP Toptools for Hubs and Switches, HP Procurve Network Management for OV-NT, as well as HP Hub and Switch Management for OV-UX provide customers comprehensive tools to configure and monitor their networks.

Price and Availability

The HP Procurve Switch 5300xl series starts at an estimated U.S. list price of $99 per 10/100 port. The HP Procurve Switch 4100gl series starts at an estimated U.S. list price of $62 price per 10/100 port.(2)

The switches, the HP Procurve Switch gl mini-GBIC module and the updated network management applications are expected to be available June 1.

More information about this announcement is available in an online press kit at

About HP

HP is a leading global provider of computing and imaging solutions and services focused on making technology and its benefits accessible to all. HP had total revenue of $45.2 billion in its 2001 fiscal year. Information about HP and its products can be found on the World Wide Web at

(1) Price comparison based on manufacturers' April 2002 list prices.

(2) Actual prices may vary.

This news release contains forward-looking statements that involve risks, uncertainties and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. Risks, uncertainties and assumptions include the possibility that the market for the sale of certain products and services may not develop as expected; that development of these products and services may not proceed as planned; 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, and subsequently filed reports. If any of these risks or uncertainties materializes or any of these assumptions proves incorrect, HP's results could differ materially from HP's expectations in these statements. 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