HP Virtual Solution Eases Management of Desktop PC Environments

PALO ALTO, Calif., Nov. 8, 2006 - HP today introduced a solution that eases the management of desktop environments and lowers costs by reducing the need to over-provision IT resources.

The HP Virtual Desktop Infrastructure (VDI) provides customers with a cost-efficient desktop environment by consolidating many physical desktop PCs onto a single server that is centrally hosted and managed within the data center. The solution combines HP hardware and management software with services and partner components, such as VMware Virtual Desktop Infrastructure.

HP’s desktop virtualization solutions offer centralized manageability, efficiency and reliability through server-class hardware and virtualization software. These solutions also secure application and data centrally while saving power and cooling costs for underutilized PCs.

HP VDI complements other HP client virtualization offerings, including the HP Consolidated Client Infrastructure and Citrix solutions that extend the reach of virtual desktops over longer distances.

“HP is bringing advanced desktop virtualization capabilities into the reach of mainstream IT for cost-effective management of desktop environments,” said Nick van der Zweep, director, Virtualization, Technology Solutions Group, HP. “By pooling and sharing computing resources for desktop infrastructures, businesses can use computing resources that would otherwise be wasted.”

Making IT more efficient with a virtual desktop solution

A complete hardware and management solution, HP VDI supports dozens of virtual clients on a single HP ProLiant server or HP BladeSystem server blade, and delivers a PC computing environment that can be accessed from HP thin clients, desktops and notebooks. The servers use existing network switches and wide area network (WAN) infrastructure and leverage server-class high availability for data security and enhanced business continuity.

As a member of the VDI Alliance program, HP’s offering leverages Virtual Desktop Infrastructure from VMware, the global leader in virtualization software for industry-standard desktops and servers. VMware provides a scalable enterprise-class virtualization platform for virtual desktop solutions.

The solution also includes HP Systems Insight Manager and ProLiant Essential tools to unify management of virtual and non-virtual machines. To meet their storage needs, customers can use HP StorageWorks storage area network, network attached storage and HP Modular Smart Array direct attached storage solutions.

HP Services completes the offering with VMware Capacity Planner assessment, installation and startup, consulting and integration, educational and financial services, and hardware and software technical support.

“With the previous solution we were using, we noticed that managing IT was getting too expensive for us and end-user desktop management was a significant part of that cost,” said Thomas Petry, coordinator, Network Technology, District School Board of Collier County, Fla. “With this new virtual desktop infrastructure solution, we went from high-cost, underutilized IT islands to low-cost, optimized IT assets, experienced greater reliability and manageability and now have a more flexible infrastructure that can be more quickly modified as our business needs change.”

Attendees at VMworld 2006, Nov. 7-9 at the Los Angeles Convention Center, will have a chance to experience HP VDI first hand. During the conference, all of the email stations will be virtual clients, running on a single HP ProLiant server accessed through HP thin clients throughout the center.

The HP VDI is a solution within HP’s Adaptive Infrastructure portfolio, which helps enterprises capitalize on the move toward “lights out,” automated and virtualized 24x7 computing environments. More information on the HP Virtual Desktop Infrastructure offering, which is shipping worldwide, is available at www.hp.com/go/vdi.

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 July 31, 2006, HP revenue totaled $90.0 billion. More information about HP (NYSE, Nasdaq: HPQ) is available at http://www.hp.com.

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 but not limited to statements of the plans, strategies and objectives of management for future operations; any statements concerning expected development, performance or market share relating to products and services; anticipated operational and financial results; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include the achievement of expected results and other risks that are described from time to time in HP’s Securities and Exchange Commission reports, including but not limited to the risks described in HP’s Quarterly Report on Form 10-Q for the fiscal quarter ended July 31, 2006, and other reports filed after HP’s Annual Report on Form 10-K for the fiscal year ended Oct. 31, 2005. HP assumes no obligation and does not intend to update these forward-looking statements.

© 2006 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.

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