Compaq and Packeteer Team to Accelerate the Speed of Internet-Enabled Learning

October 30, 2001

Distance learning solutions in the higher education marketplace just got faster by some 500 percent, thanks to Compaq Computer Corporation’s (NYSE: CPQ – news) use of Packeteer Web acceleration software.

The solution has been named the Compaq Dynamic Content Accelerator, Enabled by Packeteer. Loaded on Compaq industry-standard servers and powered by Packeteer’s (Nasdaq: PKTR – news) PacketWise/XA™ Internet Content Acceleration software, it maximizes the performance of higher education applications like eLearning, online registration, and other business-critical Web-based programs.

“The Internet has transformed the business of education and the process of learning as curriculums have become more net-dependent and virtual classrooms have reached out to remote students,” said Mike Humke, Compaq director of higher education markets. “Given this new open-education environment, the quality of the remote connection is an important factor in the quality of education delivered. When you take Compaq’s innovative products and enable them with software like Packeteer’s Internet Content Acceleration technology, the user’s online experience is maximized because Internet performance problems no longer impede the learning process.”

The Compaq Dynamic Content Accelerator solution will be factory-bundled on Compaq ProLiant DL320 industry-standard server platforms. The system installs transparently in front of Web servers to optimize and accelerate the performance of Web-based applications all the way to the user’s desktop.

“Success or failure of an eLearning program depends largely on the students’ satisfaction with that program, and delivering slow, jittery or otherwise sub-standard content is just not an option,” said Ron Smith, associate director of information systems at California State University, Monterey Bay. “Installing the Compaq ProLiant DL320 DCA in front of our Blackboard eLearning system servers helps ensure performance of the application regardless of our students’ connection speeds, keeping them, and us, well-satisfied with the eLearning program.”

The solution combines content-intelligent image and text compression, with auto detection of end-user browser and connection speed to optimize the delivery of both dynamic and static content across the Internet. The Compaq solution solves the most vexing problem associated with Web application performance — the “last mile,” where the connection is most often comprised by a low-speed dial-up or bandwidth constrained connection.

“Compaq’s new Dynamic Content Accelerator solution will help schools bridge the digital divide by making their online offerings — whether Web-based registration or eLearning — equally accessible to all students, regardless of their Internet connection speeds,” said Todd Krautkremer, vice president of worldwide marketing for Packeteer. “Compaq’s significant presence and strong commitment to the education market makes them an ideal partner to bring the benefits of Packeteer’s Internet Content Acceleration technology to K-12 and higher education institutions in the U.S. and around the world.”

The Compaq Dynamic Content Accelerator, Enabled by Packeteer, is available today from Compaq and retails for $12,000 (U.S.).

Company Background

Founded in 1982, Compaq Computer Corporation (“Compaq”) is a leading global provider of enterprise technology and solutions. Compaq designs, develops, manufactures, and markets hardware, software, solutions, and services, including industry-leading enterprise storage and computing solutions, fault-tolerant business-critical solutions, communication products, and desktop and portable personal computers that are sold in more than 200 countries. Information on Compaq and its products and services is available at www.compaq.com.

Compaq and the Compaq logo are trademarks of Compaq Information Technologies Group, L.P. This news release may contain forward-looking statements that involve risks, uncertainties and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. Risks, uncertainties and assumptions include the possibility that the Hewlett-Packard/Compaq merger does not close or that the companies may be required to modify aspects of the transaction to achieve regulatory approval or that prior to the closing of the proposed merger, the businesses of the companies suffer due to uncertainty; the market for the sale of certain products and services may not develop as expected; that development of these products and services may not proceed as planned; that Compaq and Hewlett-Packard are unable to transition customers, successfully execute their integration strategies, or achieve planned synergies; other risks that are described from time to time in Compaq and Hewlett-Packard’s Securities and Exchange Commission reports (including but not limited to Compaq’s annual report on Form 10-K for the year ended December 31, 2000, HP’s annual report on Form 10-K for the year ended October 31, 2000, and subsequently filed reports). If any of these risks or uncertainties materializes or any of these assumptions proves incorrect, Compaq’s results could differ materially from Compaq’s expectations in these statements. Compaq assumes no obligation and does not intend to update these forward-looking statements.