HP Increases Workstation Market Share to 27% Worldwide

12/15/2003 - HP (NYSE:HPQ) captured 27 percent of the worldwide workstation market for units shipped for the third quarter of calendar year 2003, according to a report released recently by IDC.(1)

In the U.S. personal workstation segment, HP grew twice the rate of the overall market sequentially by increasing17.5 percent. HP recognized year-over-year growth in the same market with an increase of 24 percent, leading all other workstation vendors ranked by IDC. In Western Europe, HP continues to be the No. 1 workstation provider with sequential growth of 24 percent.(2)

"HP has continued to grow in units shipped by focusing on delivering customers higher levels of workstation features and performance through innovation, global partnerships and excellent customer support," said Jim Zafarana, vice president and marketing manager, Workstation Global Business Unit, HP. "Customers are responding to HP's broad workstation line, which is evident by the growth HP has realized within the overall market and in the third quarter when HP was the biggest contributor in moving the industry forward."

HP recognized the most growth within the Intel® Pentium® 4 and XeonTM based personal workstation segment by offering customers products, such as the HP Workstation xw4100, that provide innovative design capabilities at an affordable price. Announced in April, the entry-level xw4100 experienced dramatic growth in the third quarter.

HP increased units shipped across its entire workstation line, including the midrange HP Workstation xw6000 and high-performance HP Workstation xw8000, which provide customers an expandable, dual-processor system with enhanced visualization performance. HP's PA-RISC systems and its newest architecture Itanium® based systems grew in units shipped throughout the third quarter as well.

"The HP Workstation zx6000 based on the Intel Itanium 2 processor enables new modeling processes we did not think possible. The HP Workstation zx6000 allows us to do work the way we want, not fit our work process to what older technology enabled - splitting up models and filtering out components," said Mark Kurfman, design engineer for Red Bud Industries, a leading supplier of steel cutting and processing equipment. "The result is more timely communications for in-house manufacturing support, better sales effectiveness and the ability to streamline follow-on maintenance."

HP works closely with key software and hardware vendors to help ensure that its systems are high-performing, reliable and compatible with the tools needed by their customers.

"As a leader in digital nonlinear media creation, management and distribution solutions, we pride ourselves on delivering the most advanced software and hardware tools in the business," said Joe Bentivegna, vice president of Video Development and Operations, Avid Technology, Inc. "In order for our products to perform up to their potential, they need to run on host systems that match the high standards that our design, engineering and manufacturing teams have set for them. HP's personal workstations meet these requirements because HP understands our industry and shares our commitment to product innovation, engineering expertise and total performance."

HP provides customers in the MCAD, DCC, finance and GIS markets a range of systems: PA-RISC, Pentium, Xeon and Itanium based workstations that deliver highly tuned application performance and system expandability to meet visualization, design and analysis needs.

About HP
HP is a technology solutions provider to consumers, businesses and institutions globally. The company's offerings span IT infrastructure, personal computing and access devices, global services and imaging and printing. For the fiscal year ending on Oct. 31, 2003, HP revenue totaled $73.1 billion. More information about HP is available at http://www.hp.com.

(1) IDC's "Worldwide Workstation Tracker Quarterly Update," published November 2003.
(2) IDC's "European Workstation Tracker Quarterly Update," published November 2003

Intel, Pentium and Itanium are registered trademarks and Xeon is a trademark of Intel Corp. or its subsidiaries in the United States and other countries.

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