HP Unveils Strategic Road Map For Delivering Windows Access Solution For
Unix System-Based Workgroups

Scaleable, Open Architecture to Provide Industry's Most Comprehensive,
Integrated Solution; HP 500 Version 1.1 Now Shipping

PALO ALTO, CALIFORNIA. JANUARY 8, 1996 -- Hewlett-Packard Company today
unveiled its strategic road map for delivering the industry's most
comprehensive and integrated Windows access solution for workgroups in
UNIX system-based environments. As part of its strategy, HP will broaden
the functionality of its HP 500 Windows Application Server to include full
support for Windows 95 and 32-bit PC applications as well as other new
enhancements. In addition, the company announced an enhanced version of
the product, HP 500 Version 1.1, which is now shipping.

The HP 500 Windows Application Server, available since August 1995, targets
UNIX system-based workgroups in heterogeneous technical and commercial
environments. These users primarily run UNIX system- based applications,
but occasionally require high-performance access to Windows personal
productivity tools, such as word processing, presentation packages and
e-mail -- all from the same desktop. Users in these environments need a
Windows application access strategy that will fit their current and future
network architectures. This strategy outlines seven product attributes
critical to consider now and in the future when implementing such network
architectures:

 excellent MS Windows compatibility;
 exceptional MS Windows performance;
 tight integration between UNIX system-based and Windows-based systems;
 open-systems solution;
 cost-effective solution;
 multi-user capability;
 scalable architecture.

"Customers who are evaluating integration technologies for these two
operating systems should invest in an architecture that fits their
existing client/server strategy and meets their specific requirements for
the future," said K.C. Chavda, marketing manager, HP's Panacom Automation
Division. "Purchase decisions made today will have long- term implications
for customers' network- and system-management strategies. The importance
of making the right decision can't be overestimated, so it's essential
that our customers understand how the HP 500 technology will evolve to fit
their future network architecture requirements."

Excellent MS Windows Compatibility

HP 500 version 1.1 provides support for Windows Enhanced Mode (386/486
mode) and executes MS Windows applications in native mode on Intel- based
platforms for maximum PC application compatibility. Additional features
include support for Windows 16-bit applications and Windows 3.x GUI.

In the second half of 1996, the HP 500 software is scheduled to provide
complete Windows 95 support. This is targeted to coincide with Microsoft's
delivery of a maintenance version of Windows 95, which is scheduled for
delivery in mid-1996, when HP expects large corporate customers will
implement the new operating system. With this capability, users will gain
transparent access to full 32-bit applications, as well as 16-bit
applications running in native mode, using a full implementation of
Windows 95.

Exceptional MS Windows Application Performance

HP 500 Version 1.1 today offers performance of 486/33MHz or higher for each
individual user with load-balancing capability between HP 500 servers. In
1996, the HP 500 hardware and software architecture is scheduled to be
enhanced to allow for an increased number of users at the server level and
better application performance per user.

For example, in the second quarter of 1996, the HP 500 is scheduled to
provide enhanced multiprocessing support with 486/50MHz performance for
each individual user. Later in the year and beyond, HP 500 performance is
slated to further increase to 486/66MHz and higher per user as HP closely
follows Intel's scheduled transition from P5 to P6 chip releases. The HP
500 also is scheduled to provide support for the new Intel/HP
architecture-based processors when they become available. In addition,
load balancing between HP 500 servers will be further enhanced.

Tight Integration

HP has established industry leadership in integrating these operating
systems. It was the first vendor to deliver cut-and-paste capability
between UNIX system-based and Window-based systems and the only vendor to
provide an integrated NFS-mounted floppy drive on an X station. HP extends
this capability to the HP 500 Version 1.1. For instance, with an
NFS-mounted floppy drive, an HP ENVIZEX station can become a virtual PC
that allows quick and transparent access to user data.

Future versions of the HP 500 are scheduled to offer additional integration
features. These include automated/centralized PC user setup from the UNIX
system-based environment, such as configuration files, log- on procedures,
security and system-performance monitoring tools that display, among other
things, the amount of available processing power and number of users
logged-on.

Beyond 1996, the HP 500 will utilize the unified 64-bit UNIX system that
combine features of HP-UX, Novell's UNIXWare and SCO UNIX.

Open-systems Solution

The HP 500 Version 1.1, based on open-systems standards, offers seamless
connectivity to Novell servers, providing file access and execution
capabilities while complying with Novell's licensing schemes. The HP 500
is scheduled to offer seamless connectivity to LAN Manager and Windows NT
servers this year to allow access to files, data and printers associated
with those servers.

The HP 500 is designed without proprietary local clients, protocols or
operating-system extensions. This enables the HP 500 to operate with one
of the most comprehensive array of desktops and networks. For example, the
HP 500 can work with any X11-capable device available today, including
workstations from HP, Sun Microsystems, Digital Equipment Corp., IBM and
Silicon Graphics. It also supports all X terminals from HP, Network
Computing Devices, Tektronix and others, as well as PCs running X server
software.

The HP 500 will continue to rely on networking standards such as TCP/IP, X,
NFS and NIS to ensure present and future compatibility with most networked
environments.

Cost-effective, Multiuser Capability and Scaleable Architecture

HP plans to improve its SMP capability this year through support for three
or more processors and support for up to 64 and 128 users on a single HP
500 server. Existing customers who need to add users to their systems have
investment protection through low-cost hardware and software upgrades,
backed by HP's commitment to high-level support.

By adding increased compute power and supporting more users per server, HP
will continue to provide a lower cost-per-seat while increasing the
performance available to each user. At a current cost of approximately
$300(2) per user, the HP 500 is substantially less expensive than PCs, and
it will become even more cost-effective through future enhancements.

Cost-of-ownership Advantages

The HP 500 also delivers substantial ongoing cost-of-ownership savings when
used with HP X stations. A recent study conducted by the X Business Group,
a division of Zona Research, reported that over a five-year life cycle,
the HP 500 and HP X station combination will provide a 51 percent cost
advantage over networked PCs running PC X server software for most
client/server environments.

Hewlett-Packard Company is a leading global manufacturer of computing,
communications and measurement products and services recognized for
excellence in quality and support. HP has 102,300 employees and had
revenue of $31.5 billion in its 1995 fiscal year.

Information about HP and its products can be found on the World Wide Web
at: http://www.hp.com.

(1) HP-UX 9.X and 10.0 for HP 9000 Series 700 and 800 computers are X/Open
Company UNIX 93 branded products.

(2) Based on the suggested list price of $7,995 for a 30-user software
license for the HP 500 Windows Application Server software.
 
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