HP Adds iPod Shuffle to Digital Music Player Lineup

Business Wire, July 1, 2005

PALO ALTO, Calif. -- Rounding out its lineup of digital music players, HP (NYSE:HPQ)(Nasdaq:HPQ) today added the Apple iPod shuffle from HP.

HP is offering two models: the $99.99 512 megabyte version, which holds up to 120 songs, and the $129.99 1 gigabyte version, which holds up to 240 songs.(1,2)

The Apple iPod shuffle from HP, the most affordable iPod to date, allows users to experience their music a million different ways. Smaller and lighter than a pack of gum, the Apple iPod shuffle from HP comes with its own lanyard, so it's ready to wear right out of the box.

The Apple iPod shuffle from HP works seamlessly with the AutoFill feature of iTunes, which automatically selects songs from a user's music library to fill up the shuffle with just one click.

Users can conveniently charge and transfer music from their PC by plugging the Apple iPod shuffle from HP directly into a USB port. The device also doubles as a portable USB flash drive to back up personal files or exchange them between computers.

In addition to the Apple iPod shuffle from HP, HP offers(2):

--4 GB and 6 GB Apple iPod minis from HP ($199.99 and $249.99)

--20 GB and 60 GB Apple iPods from HP ($299.99 and $399.99)

--10-pack of HP Printable Tattoos for the iPod ($14.99)

--5-pack of HP Printable Tattoos for the iPod mini ($9.99)

HP's Total Care customer support covers all Apple iPod from HP models. This includes one year of phone support and a one-year limited warranty. The Apple iPod shuffle from HP is available today to consumers in the United States and Canada online at hpshopping.com and is expected soon at major retailers, including Radio Shack, Sears and Wal-Mart.

About HP

HP is a technology solutions provider to consumers, businesses and institutions globally. The company's offerings span IT infrastructure, global services, business and home computing, and imaging and printing. For the four fiscal quarters ended April 30, 2005, HP revenue totaled $83.3 billion. More information about HP is available at www.hp.com.

(1) 1 GB = 1 billion bytes. Actual formatted capacity is less. Capacity based on 4 minutes per song and 128-Kbps AAC encoding.

(2) Estimated U.S. retail prices. Actual prices may vary.

Apple and the Apple logo are trademarks of Apple Computer, Inc., registered in the U.S. and other countries. iPod is a trademark of Apple Computer, Inc. iPod is for legal or rightholder-authorized copying only.

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 the expected development, performance or rankings of products or services; statements of expectation or belief; and any statement of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include the development, performance and market acceptance of products and services 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 Quarterly Report on Form 10-Q for the fiscal quarter ended Jan. 31, 2005, and other reports filed after HP's Annual Report on Form 10-K for the fiscal year ended Oct. 31, 2004. HP assumes no obligation and does not intend to update these forward-looking statements.

(C) 2005 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.