Press Release: February 06, 2007
Topics:

HP Breaks Record for Annual Page Growth in Digital Printing

PALO ALTO, Calif., Feb. 23, 2007

HP today announced that it set new industry records in digital printing in calendar year 2006, surpassing several milestones that signify an acceleration in its Indigo digital press business, including:

  • Number of annual impressions printed on HP Indigo surpassed 10 billion;
  • Single-month record with more than 1 billion impressions printed in November;
  • HP Indigo year-over-year impressions grew by 40 percent.

According to industry analyst firm InfoTrends, overall U.S. revenues for digital presses in the high-volume, “1M+ average monthly impressions” category is expected to grow from $3.5 billion in 2006 to $13.5 billion by 2010.(1)

“HP is addressing industry market growth by continuing to take a leadership position in R&D and product development, as well as in offering its customers comprehensive business development services so that they can also target high-growth application areas,” said Charlie Corr, group director, InfoTrends.

In addition, InfoTrends data lists HP as the leading provider of digital presses for the digital label printing industry.(2)

“Achieving the 10 billion impressions milestone demonstrates how the advantages of HP Indigo digital print technology, such as personalization, short-run quantities and elimination of inventories, are helping HP lead the transformation from analog to digital,” said Alon Bar-Shany, vice president and general manager, Indigo Division, HP. “Our customers are discovering that the real profit opportunity in digital comes from offering the best quality, and this is especially apparent in direct mail and marketing collateral markets as well as rapidly growing niche markets such as books-on-demand, photo merchandise and label printing.”

Number of digital print applications grows

Marketers, publishers, consumer product companies and consumers are increasingly using digital print technology to produce everything from marketing collateral and direct mail to photo merchandise and books and manuals. Digital print technology, like that found in HP Indigo presses, offers great value and convenience with its ability to print in small runs while also providing offset-quality imaging.

HP Indigo presses are widely used in the production of personalized direct mail and marketing communications materials. According to an InfoTrends survey, marketing collateral and direct mail are the top two segments for high-volume digital color printing, collectively accounting for 44 percent of high-volume digital color press pages.(3)

The rise of digital printing in key industries such as photo, publishing and labels has contributed to the growth of HP Indigo press installations and impressions. Emerging high-growth niche areas for HP Indigo include:

  • Books-on-demand: HP Indigo presses cost-effectively produce full-color and mixed monochrome/color texts on demand, eliminating the minimum run lengths required for offset printing. Customers such as Amazon, which installed multiple HP Indigo presses in 2006, are using digital to increase the number of available titles, including texts that were previously not available on demand.
  • Photo merchandise products such as personal calendars, cards and photobooks: HP Indigo is among the leading brands in digital presses used to produce photo merchandise products and the only one capable of producing images in up to seven colors for more life-like, silver-halide-quality images.
  • Labels and packaging: HP Indigo industrial-model presses, such as the newly released HP Indigo press ws4500, are used to print high-quality packaging and labels. In the past five years, the volume of labels printed with HP Indigo presses has increased by 500 percent.

More information on HP’s Graphic Arts business, including HP Indigo digital presses, is available at www.hp.com/go/graphicarts.

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 $94.1 billion for the four fiscal quarters ended Jan. 31, 2007. More information about HP (NYSE: HPQ) is available at http://www.hp.com.


(1) InfoTrends, Inc., “U.S. Print On Demand Market Forecast, 2005-2010,” page 83, Aug. 8, 2006.

(2) InfoTrends, Inc., “The Opportunity for Print On Demand Solutions in the Label Industry,” page 39, April 1, 2006.

(3) InfoTrends, Inc., “The Evolving U.S. Digital Color On Demand Printing Opportunity,” page 170, Nov. 30, 2005.


This news release contains forward-looking statements that involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of HP and its consolidated subsidiaries could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to statements of the plans, strategies and objectives of management for future operations; any statements concerning expected development, performance or market share relating to products and services; anticipated operational and financial results; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include the achievement of expected results and other risks that are described from time to time in HP’s Securities and Exchange Commission reports, including but not limited to the risks described in HP’s Annual Report on Form 10-K for the fiscal year ended Oct. 31, 2006 and other reports filed after that Form 10-K. HP assumes no obligation and does not intend to update these forward-looking statements.

© 2007 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.
2/2007

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.