HP Pavilion Notebook PCs Post 150 Percent Increase in Market Share and 203 Percent Unit Sales Growth Since October - Product Information

Edge: Work-Group Computing Report, April 24, 2000

Hewlett-Packard Company Monday announced that, according to recent PC-industry figures, since October its highly reliable HP Pavilion notebook PC line has posted a 150 percent(1) increase in market share and experienced unit sales growth of 203 percent(1), vaulting HP to a solid No. 3 position in the U.S. retail notebook PC market.

Continuing to aggressively challenge its competitors and seek increased market share, HP has added Office Depot and Staples to its existing retailer base. HP also announced enhancements to the powerful HP Pavilion N3200 notebook PC line with two new models -- the N3295 and N3215 -- providing small- and medium-sized business (SMB) users and consumers with increased portable productivity and leading-edge multimedia performance at competitive prices.

"HP is experiencing explosive sales growth with its Pavilion notebook PC line, further validating the HP vision and our knowledge of the needs of SMB and consumer markets," said Bob Nitzberg, retail notebook marketing manager for HP's Mobile Computing Division. "Notebook users require the highest levels of reliable mobility and all-in-one versatility, which positions the HP Pavilion notebook PC as the product of choice for today's mobile customer. The addition of Office Depot and Staples to our sales channel, combined with the new HP Pavilion N3295 and N3215 models, helps HP expand on its commitment to deliver quality notebook PCs across the retail channel."

The HP Pavilion N3295 and N3215 notebook PCs offer HP retail customers a choice of platforms -- an Intel Pentium III processor with SpeedStep technology for extended portability and reliable mobility, or an AMD K6-2 processor for increased levels of speed and performance. In addition, HP Pavilion notebook PCs now have a spill-resistant keyboard, increasing durability and reliability while on the road. HP offers a variety of Pavilion notebook PCs, each one tailored to specific user needs.

HP also has incorporated its popular suite of electronic services -- e-center -- into its new Pavilion notebook PC models. E-center provides easy access to a valuable set of links with customized e-services, providing users with an extensive range of business-productivity and service and support solutions at their fingertips. E-center includes useful services such as file backup, remote printing and duplication, the ability to send and receive faxes via the Internet, free downloadable music tracks, and instant connectivity to the HP SMB support site.

The latest HP Pavilion notebook PCs are available in the following configurations:

-- The HP Pavilion N3295 notebook PC -- weighs 6.8 pounds and features an Intel Pentium III 600MHz processor with SpeedStep technology, 14-inch TFT display, 6GB hard-disk drive, 64MB memory, preloaded Windows 98, AGP graphics, and DVD-ROM drive for an estimated U.S. street price of $2,499(2).

-- The HP Pavilion N3215 notebook PC -- weighs 7.1 pounds and features AMD's K6-2 475MHz processor, 12.1-inch HPA display, 4.8GB hard-disk drive, 32MB memory, preloaded Windows 98, AGP 3-D graphics, and 24X CD-ROM drive for an estimated U.S. street price of $999(3).

The new HP Pavilion notebook PC models are slated to begin shipping immediately.

FMI: http://www.hp.com/notebooks/pavilion.> Hewlett-Packard Company -- a leading global provider of computing and imaging solutions and services for business and home -- is focused on capitalizing on the opportunities of the Internet and the proliferation of electronic services.

HP plans to spin off Agilent Technologies and distribute its shares to HP shareowners by mid-calendar year 2000. Agilent consists of HP's test and measurement, semiconductor products, chemical analysis and healthcare solutions businesses, and has leading positions in multiple market segments.

HP has 85,400 employees worldwide and had total revenue from continuing operations of $42.4 billion in its 1999 fiscal year. Information about HP and its products can be found on the World Wide Web at http://www.hp.com.

(1) NPD INTELECT -- October 1999 through February 2000.

(2) Actual prices may vary.

(3) Estimated price after $100 mail-in rebate. Actual prices may vary.