Press Release: May 06, 2003

Adapt Faster: HP Blade Servers Outperform IBM on Web, e-Mail, ERP Benchmarks

HP ProLiant Blade Servers First to Ship with Latest Xeon Processors; Market Share Lead Continues with New Customer Wins
SAN JOSE, CALIF., MAY 6, 2003

In conjunction with today'sAdaptive Enterprise strategy announcement, HP (NYSE:HPQ) unveiled newbenchmarks, its latest ProLiant blade servers and a multitude ofnew customers using ProLiant blade server solutions designed tocreate a more adaptive infrastructure and drive down cost andcomplexity across their IT environments.

HP's next-generationProLiant BL20p blade server is the first to deliver Intel® Xeon™3.06-GHz processors, complete with 533-MHz front-side bus. Theupdated BL20p blade server outperforms IBM's latest blade offeringin each of three important benchmarks – Microsoft® Exchange 2000,SPECweb99_SSL and the SAP® Standard Application Sales andDistribution (SD) Benchmark. This builds on HP's commanding 49 percent worldwideunit share of the 2002 blade server market.(1)

The new HP ProLiant BL blade server lineexemplifies how HP technologycan enable an Adaptive Enterprise based on industry standards,modularity, simplification and enterprise integration. Theintegration of ProLiant Essentials management software with HP's intelligent blade architectureand management features allows customers new levels of flexibility,efficiency and automated control. ProLiant BL architectures actlike a mini-datacenter within a single rack, providing utility-likefunctionality and rapid deployment and re-provisioning of resourcesas demands change.

"Since the debut of ourfirst ProLiant blade server in January 2002, HP has led the industry in bladeserver hardware, software and technology innovation," said BradAnderson, vice president, HPIndustry Standard Servers. "The market for blades is buzzing, andcustomers are already realizing new performance capabilitiescoupled with space and cost savings that can positively affecttheir bottom lines."

HP has recently won a host of newblade customers from various industries worldwide, includingArchstone Communities, Delta Singular, Hostopia, New BalanceAthletic Shoe, Scripps Clinic, Singapore Department of Employmentand Workplace Relations, and United Title Company.

"Deploying HP ProLiant BL10e servers allowed usto collapse our physical infrastructure and save on recurringcosts," said Peter Bowman, chief information officer, United Title."We combined HP blade servers,ProLiant Essentials software and HP Insight Manager together withBig-IP software from F5 Networks in order to accommodate theexponentially increasing traffic to

Closingpoint, ourWeb-centric e-business application. We've been really impressedwith the results of HP'ssolution, which provides the flexibility and performance that weneed."

HP ProLiant BL Servers OutperformIBM in Key Benchmarks

The next-generation HP ProLiant BL20p recently earnedthe top Microsoft Exchange 2000 Benchmark result for two-processorblade servers. The server supported 9,500 MMB2 (users), which ismore than a nine percent increase in users over the previouslypublished two-processor IBM BladeCenter HS20 result.(2)MMB2 accurately reflects the increased workload seen by customersas they increasingly rely on messaging services deployed in today'sheavy corporate e-mail environments.

Additionally, HP achieved a leading result forblade servers in the two-tier SAP Standard Application SDBenchmark, with 315 SAP SD Benchmark users and an average dialogresponse time of 1.97 seconds, surpassing IBM's blade result by 37percent.(3) The benchmark was run on a next-generationHP ProLiant BL20p server,running Windows® Server 2003 Enterprise Edition and SAP R/3®Release 4.6C.

The configuration consistedof two-way SMP, Intel Xeon DP 3.06 GHz, with 512 KB of L2 cache and4 GB main memory. The achieved throughput was 31,670 fully businessprocessed order line items per hour. The standardized andwell-defined SAP benchmarking procedure helps to determine theoptimal hardware configuration for customers' IT solutions.

HP also posted a SPECweb99_SSL scoreof 1,242 conforming connections for the next-generation ProLiantBL20p server, which is the leading benchmark for two-processorblade servers. This score measures performance for companiesexecuting high volumes of secure transactions over the Internet.Working with Zeus, a leading provider of Web server infrastructure,this surpasses IBM's blade result by more than 43percent.(4) More information about HP's Zeus-based Secure WebServer

The HP Blade Server Portfolio The HP ProLiant BL blade server line isan excellent example of how HPis driving its Adaptive Enterprise strategy throughout HP and ProLiant technologies -- fromservers and storage to management software -- to maximize return onIT investment. HP offers theindustry's broadest portfolio of blade servers for front-end,mid-tier and back-end application deployments.

The portfolio offers anopen strategy for networking and storage, spanning one-, two- andfour-processor systems. This enables enterprise data centers,service providers and telecommunications companies to build acomplete, multi-tiered adaptive infrastructure using bladeservers.

Additional informationabout the HP blade serverportfolio is available at http://www.hp.com/products/servers/platforms.

About HP

HP is a leading global provider ofproducts, technologies, solutions and services to consumers andbusinesses. The company's offerings span IT infrastructure,personal computing and access devices, global services and imagingand printing. HP completed itsacquisition of Compaq Computer Corporation on May 3, 2002. Moreinformation about HP isavailable at http://www.hp.com.

(1) According toIDC Q4 2002 Server Tracker, HPhad 48.7 percent worldwide unit shipments for calendar year2002.

(2) The ProLiantBL20p G2 server, using two 3.06-GHz/512-KB processors and 4 GB ofmemory, achieved the two-processor result of 9,500 MMB2 (users) onthe Exchange 2000 Messaging Benchmark. The IBM BladeCenter HS20server, using two 2.4-GHz/512-KB Xeon processor DP and 4 GB ofmemory, achieved 8,700 MMB2.

(3) In thetwo-tier SAP Standard Application SD Benchmark, IBM achieved 230SAP SD Benchmark users and an average dialog response time of 1.98seconds. The benchmark was run on an IBM BladeCenter HS20 server,running Windows Server 2003 and SAP R/3 Release 4.6C. Theconfiguration consisted of 2-way SMP Intel Xeon DP 2.4-GHz, with512 KB of L2 cache and 4 GB memory. The achieved throughput was31,670 fully business processed order line items per hour.

(4) The ProLiantBL20p G2 server, using two 3.06-GHz/512-KB processors and 8 GB ofmemory, achieved 1,242 conforming connections on the SPECweb99_SSLbenchmark. The IBM HS20, using two 2.4-GHz/512-KB processors and 4GB of memory achieved 870 conforming connections. Competitivebenchmark results stated above reflect results published onwww.spec.org as of April 29, 2003. The comparison presented isbased on the best performing two-processor blade servers currentlyshipping by HP and IBM. Forthe latest SPECweb99 benchmark results, visit http://www.spec.org/osg/web99ssl.

The Exchange 2000benchmarks referred to in note 2 were certified by Microsoft andfully comply with the MMB2 specifications. Results referenced werecurrent as of April 30, 2003. A list of all benchmark results isavailable athttp://www.microsoft.com/exchange/techinfo/planning/2000/perfscal.asp.

The SAP benchmarks referredto in note 3 were certified by SAP AG and fully comply with theguidelines issued by the SAP Benchmark Council. Results referencedare current as of March 6, 2003. More information on SAP StandardApplication Benchmarks is available at http://www.sap.com/benchmark.


Intel is a U.S. registeredtrademark and Xeon is a trademark of Intel Corp. Microsoft andWindows are U.S. registered trademarks of Microsoft Corp. SAP, R/3and all other SAP product and service names mentioned herein aretrademarks or registered trademarks of SAP AG in Germany andseveral other countries. SPEC and the benchmark name SPECweb areregistered trademarks of the Standard Performance EvaluationCorporation.


This newsrelease contains 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; that benchmarks may be surpassed; and other risks that aredescribed from time to time in HP'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 http://www.hp.com.