HP Helps Telecom Industry Deliver New Wave of Mobile Services

PALO ALTO, Calif., Feb. 7, 2006, HP today announced new products and customer successes that highlight how it is enabling global telecom companies to create and deliver a new wave of mobile services.

Leading mobile operators, including Vodacom South Africa and Telefonica Moviles España, have deployed HP solutions to enhance their wireless networks and streamline the management of mobile handsets. In addition, HP released a new blade server based on telecom industry standards.

IT, telecom and entertainment are converging around HP strengths. With extensive offerings in all three areas, HP is helping operators take advantage of the trends that are re-shaping the industry, such as the evolution toward open, IP-based networks; blended, content-rich services; and easy-to-use personal devices.

“The stage is set for operators to deliver on the mobile promise, but they can’t do it alone,” said Sebastiano Tevarotto, vice president and general manager, Network and Service Provider Business, HP. “To deliver the new mobile services people want, operators need to enhance their platforms, networks, operations, service creation and personal devices. HP and its partners are uniquely positioned to help them every step of the way.”

To generate new revenue and reduce cost and risk, mobile operators are working to simplify everything from network infrastructure and operations to the personal devices used by mobile customers. HP has core competence in four key areas needed for mobile operators to succeed:

* Information technology - HP offers standards-based solutions proven in the enterprise market, including service delivery platforms implemented on a service-oriented architecture and enhanced to meet carrier-grade needs;


* Telecom - HP offers software, servers, solutions and services - and works with more than 500 partners; plus, it has 30 years of experience in core telecom networks, service creation, delivery and management, and operations/business support systems (OSS/BSS);


* Media and entertainment - HP offers digital content management and distribution solutions, including IPTV, and strong relationships with major content providers;


* End-user experience - HP has deep expertise in consumer behavior and a large portfolio of personal devices that bring the power of the network directly into the hands of mobile customers.


As part of a company-wide mobility initiative, HP is making several news announcements in advance of the 3GSM tradeshow, as summarized below. Detailed information on each announcement is available in an online press kit at http://www.hp.com/go/3gsm.

HP expands telecom platform line with AdvancedTCA blade server

The new HP bh5700 blade server is among the first platforms based on the industry-standard Advanced Telecom Computing Architecture, known as AdvancedTCA®. Delivered as an integrated, fully supported solution, the server reflects HP’s expertise in enhancing commercial off-the-shelf technologies to meet telecom requirements. It is scheduled to ship in April.

In related news, HP partner Red Hat, Inc. has announced its support of the new HP blade server with the latest version of Red Hat Enterprise Linux, RHEL 4.

Vodacom taps HP to support rapid wireless growth in South Africa

Vodacom, the leading wireless operator in South Africa, has deployed the HP OpenCall Home Location Register (HP HLR) in its GSM/UMTS wireless network. An HLR functions at the heart of a network and holds the record of all services a subscriber has purchased.

With 17.6 million subscribers and rapid growth, the innovative operator wanted to migrate from a Release 98 HLR to advanced HLR technology - to maintain the highest levels of service - even as it expanded the network to accommodate millions of new customers. Vodacom selected the HP OpenCall HLR because its single logical database offered Vodacom a simplified one-stop solution.

“Vodacom continuously offers innovative and world-class products and services to our growing customer base, and to ensure that we do that successfully, we make use of the most advanced mobile service,” said Pieter Uys, chief operating officer, Vodacom Chief. “The new HP OpenCall HLR is a core building block in our growth plans.”

The HP OpenCall HLR is currently deployed by 35 operators on five continents, managing mobility for more than 120 million subscribers.

Telefonica Moviles España deploys HP solution

Telefonica Moviles España (TME) has deployed the HP Mobile Device Management (MDM) solution to provide better remote support - and an easier and more enjoyable experience - for consumer and enterprise customers. TME, which serves 19.5 million customers in Spain, is a part of Telefonica Moviles Group, the world’s fourth largest mobile provider.

The HP MDM solution consists of HP hardware and integration services and mFormation’s comprehensive mobile device management software.

With the HP solution, TME now leverages wireless “over-the-air” technology to remotely manage mobile users’ handsets. For example, TME helps users configure their mobile handsets to access data services, diagnose the handset and its connectivity, update existing applications, and correct firmware problems - all without inconvenient handset recalls or in-office visits.

“By streamlining remote handset management, HP MDM is helping Telefonica Moviles España improve the overall customer experience,” said Carlos Melendo, smart cards and handset director, Telefonica Moviles España. “We chose HP because of its familiarity with our service delivery platform, its track record of success with its partner mFormation, and because the HP MDM solution could be tightly linked to our existing HP Mobile E-services Server solution.”

HP MDM is helping TME and other operators worldwide accelerate the deployment of new services, increase average revenue per user and reduce operational costs and churn (customer defection).

Visual Radio offers new business models for mobile operators

Developed by Nokia and powered by HP, Visual Radio allows listeners to tune in to FM radio via their mobile phones while receiving on the handset screen interactive information and graphics that are synchronized with the broadcast.

By partnering with broadcasters to offer Visual Radio, mobile operators encourage usage and enhance the customer experience in specific market segments, such as youth and music lovers.

The service is now commercially available in Finland and Singapore and will begin to roll out in the United Kingdom, Turkey, India, Thailand, Sweden and the United States throughout 2006.

HP at 3GSM World Congress, Feb. 13-16, Barcelona, Spain

HP will feature at the 3GSM World Congress in Barcelona a wide range of HP and partner solutions for the network and service provider industry at its pavilion in booth B02b in the Fira de Barcelona. More information on specific solutions is available at http://www.hp.com/go/communications. More information on the announcements above is available in an online press kit at http://www.hp.com/go/3gsm.

HP Executive Vice President and Chief Strategy and Technology Officer Shane Robison will deliver a keynote address on the challenges and opportunities facing mobile operators. The address is scheduled for Feb. 16 at 9 a.m. CET in hall 5 of the Fira village, level 3, auditorium 1.

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 Oct. 31, 2005, HP revenue totaled $86.7 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 and uncertainties, as well as assumptions that, if they ever materialize or prove incorrect, could cause the results of HP and its consolidated subsidiaries to 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 Annual Report on Form 10-K for the fiscal year ended Oct. 31, 2005 and other reports filed after such report. HP assumes no obligation and does not intend to update these forward-looking statements.

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