Press Release:

HP Introduces New Pavilion PCs for Digital Media Enthusiasts

PALO ALTO, Calif., April 3, 2003

HP (NYSE:HPQ) today announced a new series of notebook PCs with DVD+R/+RW drives and four HP Pavilion desktop PCs with rewritable CD or DVD drives, all of which are ideal for enjoying digital music and editing photos or videos.

The HP Pavilion ze5300 series notebook PCs with rewritable DVD drives provide users the power, connectivity and convenience demanded by today's multimedia applications in a full-functioned device that doubles as a mobile entertainment center when connected to compatible DVD players.

HP Pavilion desktops offer a full range of powerful, easy-to-use PCs packed with hardware and software tools to make digital entertainment capture and editing a snap. The new models include the first desktop PC with a DVD+RW drive priced under $900.(1)

"The new HP Pavilion lineup offers customers the ability to capture, create and share digital video and pictures, enjoy music and play games in the home or on the go," said Sam Szteinbaum, vice president and general manager, North America consumer computing organization, HP Personal Systems Group. "By utilizing DVD+R/+RW drives, we provide consumers a platform that has high compatibility with DVD players and DVD-ROMs to create an awesome multimedia experience."

Pavilion ze5300 Notebook -- A Portable Entertainment Studio

The ze5300 series uses the DVD+R/+RW format, which is compatible with more DVD players tested(2) than other formats and is the only DVD recordable format to support partial overwrite and still maintain compatibility.

With the ze5300 series, consumers can use the menu screen from a digital video camera to record directly to a DVD or CD disc without having to edit movies first. And they can add digital still pictures to video to create a slide show -- and then record it on a DVD.

In addition to the ability to edit, record and play DVDs, the Pavilion ze5300 series has a drive that can store up to 4.7 gigabytes of data on each disc. This equates to the storage capacity of up to seven CD-R/RW discs.

The notebook series includes HP Memories Disc Creator(3) and ArcSoft software(3) that allow easy creation of slide shows, photo albums and archives of digital images for display on a PC with a CD player or a TV with a DVD player. Additionally, the ze5300 series offers three USB 2.0 ports (up to 40 times faster than USB 1.1), up to 80-GB hard drive, Sonic MyDVD suite for digital video editing (on models with an IEEE-1394 port) and MUSICMATCH Jukebox, a complete, personal music system.

With a choice of powerful Intel® Pentium® 4 or Celeron® desktop processors and integrated ATI Mobility Radeon graphics controller with 4X AGP 3D performance, the HP Pavilion ze5300 provides desktop convenience and functionality in a stylish, mobile design.

Estimated U.S. pricing for the HP Pavilion ze5300 series notebook configured with a 2.66-GHz Intel Pentium 4 processor, 512-MB RAM, 40-GB hard drive, 802.11b integrated wireless, DVD+R/+RW optical drive and 15-inch SXGA+ display is $1,725 (after $100 rebate) without a floppy disc drive.(4)

DVD+R/+RW is currently available on configure-to-order HP Pavilion ze5300 series notebooks. The notebooks can be customized with a full range of options and purchased through the Web at http://www.hpshopping.com/ or by phone at +1 888 999 4747.

Pavilion Desktops -- A Digital Media Experience for Most Every Budget

The new lineup of HP Pavilion desktop PCs, loaded with features to make digital media quick and easy to enjoy, includes the HP Pavilion 505n, 515n, 725n and the 735n -- which features a rewritable DVD and CD combo drive for under $900.

Ready to manage digital photography right out of the box, the HP Pavilion 505n desktop PC features an Intel Celeron 2.2-GHz processor to support daily computing tasks and make basic computing a breeze. The 505n also includes a 60-GB hard drive, 256-MB DDR (double data rate) memory, a 48x CD-RW drive and integrated Intel Extreme UMA graphics with up to 64-MB shared video memory.(5) At an estimated U.S. street price of $519,(1) the 505n is expected to be available in retail stores and on hpshopping.com beginning April 6.

With an estimated U.S. street price of $599,(1) the HP Pavilion 515n PC is ideal for viewing DVD movies and managing digital photography. The 515n includes an Intel Celeron 2.3-GHz processor, an 80-GB hard drive with ample storage for music, digital photography and data, 256-MB DDR memory, a 48x CD-RW drive for CD creation and playback, a 16x DVD-ROM for watching movies, and integrated Intel Extreme UMA graphics with up to 64-MB shared video memory.(5) The HP Pavilion 515n is expected to be available in retail stores and on hpshopping.com beginning April 6.

The HP Pavilion 725n desktop PC offers photo and video editing capability at a competitive price, featuring an AMD Athlon XP 2400+ processor, a large 80-GB hard disk drive, 512-MB DDR memory, 48x CD-RW and 16x DVD-ROM drives, front- and rear-access IEEE 1394 ports, NVIDIA 64-MB GeForce4 MX graphics with 64-MB allocated video memory(5) and a six-in-one media card reader(6) for quick and easy transfer of digital data from all common flash media formats. With an estimated U.S. street price of $699,(1) the 725n is expected to be available in retail stores and on hpshopping.com beginning April 13.

The HP Pavilion 735n desktop PC is an affordable DVD creation and video editing station, with DVD+RW/CD-RW drive (a DVD writer and CD writer combination drive) priced under $900.(1) The 735n features an AMD Athlon XP 2600+ processor, 512-MB DDR memory, NVIDIA GeForce4 MX graphics with 64-MB allocated video memory(5) and front- and rear-access IEEE 1394 ports for excellent video editing performance.

The 735n also includes a large 80-GB hard drive, a DVD+RW/CD-RW combo drive, a 48x CD-ROM drive and a six-in-one media card reader.(6) At an estimated U.S. street price of $899,(1) the 735n is expected to be available in retail stores and on hpshopping.com beginning April 13.

With HP Picture Toolkit software, included on all new HP Pavilion desktop PCs, consumers can easily edit and share digital photos by, for example, creating slide shows with original music on CDs that play on a home DVD player or printing greeting cards with personal photos using ArcSoft PhotoImpression, FunHouse and Greeting Card Creator.(7) The HP Picture Toolkit also makes it simple to back up photos to a CD for safekeeping. ArcSoft Showbiz is also included in select models for a complete video editing experience.

In addition to including the Norton Anti-Virus software solution with 60 days of free upgrades for added security,(8) the new Pavilion models feature Microsoft® Windows® XP Home with Microsoft Works, front- and rear-access USB 2.0 ports and Polk audio speakers. They also are broadband-ready, enabling users to cruise the Internet(9) using a built-in V.90 56K modem or a 10/100 Ethernet adapter for high-speed cable or DSL connections.

All new Pavilion models include a desktop icon to NetSmartz Workshop, an interactive educational resource from the National Center for Missing & Exploited Children and the Boys and Girls Clubs of America. The workshop provides parents and educators with 3-D activities to teach children how to safely surf the Internet.

Online and toll-free phone support is available for general service questions on HP consumer products 24 hours a day, 7 days a week in both English and Spanish. More information is available at http://www.hp.com/support or by calling +1 800 HPINVENT.

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 completed its acquisition of Compaq Computer Corporation on May 3, 2002. More information about HP is available at http://www.hp.com.

(1) Actual prices may vary.

(2) Intellikey Labs Study -- September 2002.

(3) United States, Latin America and Asia English only.

(4) Actual prices may vary. $100 mail-in-rebate offer good on purchases made between Dec. 30, 2002, and June 1, 2003, on qualifying notebook PCs.

(5) Processing speeds, storage capacity and memory capacity as represented by component supplier.

(6) The built-in six-in-one media card reader reads and writes Compact Flash I/II, IBM Microdrive, SmartMedia, Memory Stick, Secure Digital and MultiMedia cards.

(7) Intended only for original materials and other lawful uses.

(8) A paid subscription for updates to virus definitions is required after the 60-day trial period expires.

(9) Internet access required; must be purchased separately.


Intel, Pentium and Celeron are U.S. registered trademarks of Intel Corp. Microsoft and Windows are U.S. registered trademarks of Microsoft Corp.


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 and performance 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 for the year ended October 31, 2002, as filed with the Securities and Exchange Commission on January 21, 2003, 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 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 http://www.hp.com.