Press Release: March 28, 2007
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HP Expands Technology Portfolio for Small Businesses

SAN FRANCISCO, March 28, 2007

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HP today unveiled 12 newproducts and services at a special event hosted by the company toshowcase how small business customers are making technology workfor their individual businesses.

At "The Art of SmallBusiness" event, HP also announced new HP Total Care services, aSmall Business Connection web portal and a "Boost Your Business"editorial contest with Forbes.com - all designed specifically forsmall businesses.

HP was joined by severalsmall business owners at the event, where the company additionallypreviewed small business owner and fashion designer Vera Wang'supcoming "Personal Again" ad campaign spot and showed off the HPChopper designed and built by another featured customer, the OrangeCounty Choppers.

"HP empowers smallbusinesses by making technology simple and accessible, freeing timefor business owners to focus on the business itself," said SatjivChahil, senior vice president, worldwide marketing, PersonalSystems Group, HP. "HP is the only company capable of providingsmall businesses what they need every step of the way, fromselecting reliable products to offering tailored advice andaward-winning service and support."

According to a fourthquarter 2006 report by the market research firm IDC, HP is theoverall worldwide leader in unit shipments in the PC, server andhard copy peripherals markets for small and medium-sizebusinesses.(1)

Products speciallytailored to meet critical small business needs

HP released several newproducts that address four key customer needs: mobility andnetworking, business protection and security, do-it-yourselfmarketing and retail point-of-sale.

Mobility andnetworking:

  • The new HP Compaq 6515b and 6715b Notebook PCs come integratedwith the latest mobile broadband,(2) Wi-Fi(3)and Bluetooth™ wireless technologies. They also provide a choice inthe latest AMD processors, including AMD Turion™ 64 X2 dual-coremobile technology.(4)

  • Backed by a lifetime warranty, the ProCurve Networking by HP1400 Series and 1700 Series network switches are easy to installand maintain, and they provide high-performance and highly reliableconnectivity that is ideal for building trusted networks for smalland growing businesses.

Security and dataprotection:

  • The HP StorageWorks Media Vault Pro enables businesses tobetter meet their growing needs through expandable network storageand enhanced protection services.

  • The HP ProLiant ML115 server, an entry-level server at adesktop PC price, can keep pace with the rapidly growing IT demandsof small and medium-size businesses.

  • The HP Compaq dx2300 Business Desktop PC combines value andadvanced features such as Intel® Core™ 2 Duo processors, withavailable services for assured data integrity in the event of adisaster, such as a 60-day free trial of the new HP Smart DataProtection Service on select models.

Retail point-of-salesystem:

  • The HP rp5700 Point of Sale system with HP-branded peripheralsoffers retailers a flexible, industry-standard solution withadvanced technology, five-year lifecycles and available Microsoft®Dynamics - Point of Sale 2.0 software to help automate business formore efficient operations.

Additional productinformation is available in an online press kit at http://www.hp.com/go/artofsmallbusiness2007.

Designed with smallbusinesses in mind

HP Total Care for SmallBusinesses, available in the United States, includes a range offree and fee-based support, services and programs to ensurecustomers receive personalized services for every stage of theircomputer's life: from choosing, configuring and protecting it, totuning and, ultimately, recycling it.

  • New additions to the Total Care portfolio include HP Total CareAdvisor, which will be available on commercial PCs and includes aninteractive interface that provides easy access to criticalinformation about the customer's PC. Total Care Advisor nowincludes Easy Printer Care Software 2.2, which offers proactivealerts to resolve printing issues, generates printer usage reportsand tracks toner cartridge and paper levels for easyreordering.

  • Financing options for small businesses enable customers toreduce the cost of obtaining their technology by taking advantageof promotional zero percent lease rates with a 27-month term acrossall products through April 30, 2007. Additionally, paperlessleasing is now extended to Canada in addition to the UnitedStates.

  • For small and medium-size business customers who already haveintegrated PC security protection, HP now offers the HP Smart DataProtection Service to further protect customers' critical businessdata from a variety of threats via online backup and recovery. Theservice starts at less than $12 a month.(5)

  • Between now and June 30, 2007, customers purchasing select HPCare Pack service plans on certain notebooks, desktops,workstations and handhelds will be eligible for a rebate of thefull price they paid for the Care Pack if they do not receiveservice on their hardware for the life of the service plan. Thispromotional rebate supports the newly launched HP Compaq 6715b and6515b notebook PCs and the Compaq dx2300 Business DesktopPC.(6)

"HP Total Care simplifiesthe technology experience for small businesses, giving them astraightforward way to access, use and evaluate solutions designedto meet their needs throughout the PC lifecycle," said LaurieMcCabe, vice president of AMI Partners, a research and consultingfirm to small businesses. "And, with Total Care Advisor, smallbusinesses have ready access to essential information about theirPCs, which makes its easier to manage their systems."

Tailoredadvice

HP is working withForbes.com on its "Boost Your Business" online contest for smallbusiness owners. Bolstered by a panel of experts, this contest aimsto identify and celebrate sound business ideas with the mostpromise for growth. Contestants can submit their stories about howthey want to grow their business to the Forbes.com websitebeginning today.

HP has expanded its smalland medium business website to include a new section called SmallBusiness Connection, www.hp.com/go/sbc. With this newsection, the website becomes a "one stop" location where businessowners can find information and resources to help grow and markettheir businesses. The new section prioritizes key products,services and solutions and shares helpful content from the mainsite, including free online classes and business templates, successstory videos and interactive features such as dynamic polling andsocial marketing tools.

Additional information onthe announcements above and today's "The Art of Small Business"event, including HP's work with SCORE, the National Association ofWomen Business Owners and Administaff to provide advice to smallbusinesses, is available in an online press kit at www.hp.com/go/artofsmallbusiness2007.

AboutHP

HP focuses on simplifyingtechnology experiences for all of its customers - from individualconsumers to the largest businesses. With a portfolio that spansprinting, personal computing, software, services and ITinfrastructure, HP is among the world's largest IT companies, withrevenue totaling $94.1 billion for the four fiscal quarters endedJan. 31, 2007. More information about HP (NYSE: HPQ) is availableat http://www.hp.com.


(1) IDCWorldwide Quarterly PC Tracker, IDC Worldwide Quarterly HardcopyPeripheral Tracker, Q4 2006.

(2)Wireless use requires separately purchased service contract. Checkwith service provider for availability and coverage area. Availablein select countries only.

(3)Wireless access point required and is not included. Availability ofpublic wireless access points limited. Wireless Internet userequires separately purchased Internet servicecontract.

(4) Thissystem requires a separately purchased 64-bit operating system and64-bit software products to take advantage of the 64-bit processingcapabilities of AMD Turion 64 X2 technology. Dual-core processingavailable with AMD Turion 64 X2 technology is a recent technologyinnovation designed to improve performance of this system. Giventhe wide range of software applications available, performance of asystem including a 64-bit operating system and a dual-coreprocessor will vary.

(5) HPSmart Data protection service is sold as a one-year fixed HP CarePack Service, which, including installation, start-up and ongoingsupport for data backup and restore, starts at $140 for 1 gigabyteof storage. Actual price may vary.

(6)Service is defined as an onsite visit by a technician, partsshipped to the customer or a unit shipped to HP for service. Phonesupport does not limit eligibility. This promotion only supportsthose products outlined in the terms and does not support all ofthe products described in this announcement. Customers mustregister the HP Care Pack Service with HP within 30 days of theoriginal purchase date on eligible products. (Resellers canregister products on behalf of their customers.) To claim therebate, customers must submit a completed and signed claim formalong with the invoice/receipt postmarked and received within therequired dates. Limit 10 rebates per customer. See the redemptionform for the full terms and conditions of this offer.

*Not all productsare available in all regions.

Bluetooth is atrademark owned by its proprietor and used by Hewlett-PackardCompany under license. AMD, AMD Turion and combinations thereof aretrademarks of Advanced Micro Devices, Inc. Intel and Intel Core aretrademarks or registered trademark of Intel Corp. or itssubsidiaries in the United States and other countries. Microsoft isa U.S. registered trademark of Microsoft Corp.


This news releasecontains forward-looking statements that involve risks,uncertainties and assumptions. If such risks or uncertaintiesmaterialize or such assumptions prove incorrect, the results of HPand its consolidated subsidiaries could differ materially fromthose expressed or implied by such forward-looking statements andassumptions. All statements other than statements of historicalfact are statements that could be deemed forward-lookingstatements, including but not limited to statements of the plans,strategies and objectives of management for future operations; anystatements concerning expected development, performance or marketshare relating to products and services; anticipated operationaland financial results; any statements of expectation or belief; andany statements of assumptions underlying any of the foregoing.Risks, uncertainties and assumptions include the achievement ofexpected results and other risks that are described from time totime in HP's Securities and Exchange Commission reports, includingbut not limited to the risks described in HP's Quarterly Report onForm 10-Q for the fiscal quarter ended Jan. 31, 2007. HP assumes noobligation and does not intend 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 http://www.hp.com.