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Hughes Network Systems and HP Establish Alliance to Jointly Promote and Market First End-To-End Enterprise Solution for Content Delivery

Hughes Joins HP Service Provider Program to Help Drive Demand for Satellite Content Delivery Solutions

Germantown, MD, and Palo Alto, CA, March 4, 2002

Hughes Network Systems, Inc. (HNS), the world's leading provider of broadband satellite network solutions, and Hewlett-Packard Company (NYSE:HWP) today announced a strategic alliance to jointly market a managed suite of content delivery services for enterprise customers. The new HNS offering will be available under the name DIRECWAY® Content Delivery Services (CDS).

DIRECWAY CDS is a suite of managed services that include multicast streaming, multicast delivery, video-on-demand and network acceleration. Enterprises can immediately support a variety of business applications such as real-time corporate communications, distance learning, and mission-critical Internet back-up.

As an integrated solution, DIRECWAY CDS delivers bandwidth-intensive content via HNS' continent-wide satellite broadband network, reaching virtually any enterprise location. Content is sent directly to an HP media cache appliance loaded with specially developed Inktomi caching software at each enterprise site, thereby avoiding Internet congestion and improving overall utilization efficiency of the existing WAN infrastructure. Users can then access particular content, which is intelligently preloaded at each site, faster and more cost-effectively than what is achievable through alternative terrestrial solutions.

Other IP multicasting solutions often require network upgrades or change-outs, such as routers, which can be an expensive and disruptive proposition that still leaves "last mile" issues unresolved. DIRECWAY CDS is scaleable to fit each customer's requirements and comes packaged with several value-added, IP multicast features, including encryption, intelligent caching and streaming compatibility with Real Networks, Windows Media, and Quicktime.

Hughes Network Systems and HP Establish Alliance to Jointly Promote and Market First End-To-End Enterprise Solution for Content Delivery

"DIRECWAY CDS is the product of three innovation-driven companies and sets a new performance bar for enterprise networks," said Emil Regard, vice president of Marketing for HNS. "We are excited to introduce this integrated solution to a marketplace hungry for broadband applications that are easy to implement and won't break the IT budget."

Under the terms of the agreement, HNS joins the HP Service Provider Program (SPP) as a Select level member. The HP SPP is designed to dramatically accelerate the market adoption of service offerings, thereby furthering HP's vision of "service-centric computing." Features of the HP SPP include co-selling and incentive programs, co-marketing, joint solutions development, and a comprehensive, end-to-end infrastructure, applications and operations certification program.

"A goal of the HP Service Provider Program is to work with leading service providers, such as HNS, to bring exciting, compelling new services to market," said Sam Mancuso, vice president and general manager for HP Business Customer Sales Organization, North America. "Working with HNS to enable and jointly market DIRECWAY CDS will allow our mutual customers to utilize the combined power of HNS' satellite broadband services, HP's innovative appliances, servers, and professional services, and Inktomi's industry-leading caching and content distribution software."

About the HP Service Provider Program

The HP Service Provider Program generates awareness and drives demand for joint HP and service provider solutions. Program features include co-selling, incentive and co-marketing programs. To help differentiate service providers within the market and set standards of excellence, HP has also instituted a comprehensive, end-to-end infrastructure, applications and operations qualifications program. Information about the HP Service Provider Program can be found on the World Wide Web at http://www.hp.com/go/spp.

About HP

Hewlett-Packard Company -- a leading global provider of computing and imaging solutions and services -- is 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 http://www.hp.com.

About DIRECWAY

DIRECWAY is the world's leading broadband by satellite service for consumer, small business and enterprise markets. Consumers anywhere in the continental U.S. can get DIRECWAY high-speed Internet service from major providers including EarthLink, AOL, Pegasus, NRTC and DIRECTV. Enterprises have access to a wide variety of value-added solutions, all on a single platform, and all backed by comprehensive support from HNS, to give companies the edge they need in today's market. To learn more about DIRECWAY, please visit www.direcway.com.

Hughes Network Systems and HP Establish Alliance to Jointly Promote and Market First End-To-End Enterprise Solution for Content Delivery

About Hughes Network Systems

Hughes Network Systems, Inc. (HNS), a wholly owned subsidiary of Hughes Electronics Corporation (HUGHES), is the world's leading provider of broadband satellite network solutions for businesses and consumers, with more than 500,000 systems installed in 85 countries. HNS pioneered the development of high-speed satellite Internet access services, which it markets globally under the DirecPC® and DIRECWAY® brands, and is a major supplier of mobile satellite networks, including GSM-enabled portable handsets and Internet devices. For terrestrial access, it offers the comprehensive AIReach® family of broadband wireless, point-to-multipoint products. In addition, HNS is a leading manufacturer of DIRECTV® satellite television receivers, having shipped over 8 million systems to date.

Headquartered outside Washington, D.C. in Germantown, Maryland, USA, HNS maintains sales and support offices worldwide. The earnings of HUGHES, a unit of General Motors Corporation, are used to calculate the earnings attributable to the General Motors Class H common stock (NYSE: GMH). To learn more about HNS, please visit www.hns.com.

HUGHES, DIRECWAY, DirecPC, and AIReach are trademarks of Hughes Electronics Corporation. Other trademarks are the property of their respective owners.

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.