GOVERNMENT

GLENDALE, CA -- Hewlett-Packard Company (NYSE:HWP) and DreamWorks SKG today announced a three-year, multi-million dollar technology strategic alliance aimed at revolutionizing animation production. HP will provide computing infrastructure for DreamWorks' next-generation digital studio at its main facility in Glendale, which will make it possible to create the latest computer-generated animation more quickly, cost effectively and with greater artistic quality than ever before. The alliance designates HP as DreamWorks' sole ``preferred technology provider'' for core technology purchases. HP will supply technical workstations, servers, printers, networking and Linux technologies as DreamWorks develops its newest animation pipeline. HP also will receive certain rights for product and brand placement. In addition, HP and DreamWorks will explore technologies that could enable creative collaboration by producers, directors, animators and others working from remote locations. The two companies also have agreed to jointly explore other technologies that may translate into new products, process improvements or solutions. ``This collaboration is a great example of how HP can put its inventive resources and systems solutions capabilities to work for customers,'' said Carly Fiorina, HP chairman and chief executive officer. ``We believe that HP technology will help the creative minds at DreamWorks provide movie fans with enriched, more entertaining experiences.'' ``Technology has been pivotal to our success at DreamWorks,'' said Jeffrey Katzenberg, DreamWorks co-founder. ``Our goal is to remain on the cutting edge, both creatively and technically, and that's why we're excited about working with HP.'' Relationship Began with ``Shrek'' Collaboration The two companies established the alliance after HP helped DreamWorks with the completion of ``Shrek,'' an animated tale about a lovable ogre, which became one of the highest grossing films of 2001. Four months before the film was released, HP delivered more than 40 HP Netserver lp1000 systems that enabled the studio to meet the production schedule. Subsequently, engineers from HP's graphics labs developed enhancements to Linux software to help power DreamWorks' proprietary animation software, ToonShooter. This tool was essential to the production of DreamWorks' next animated film, ``Spirit: Stallion of the Cimarron,'' a tale about a wild mustang stallion and its journey through the untamed American frontier. The film, which was created on more than 200 Linux-based HP workstations and servers, will be released nationwide May 24. HP will provide a broad range of products, services and integration expertise to create the new DreamWorks production facility at the Glendale campus. The facility will include the addition of more than 200 high-end Linux-based workstations, a 500-processor Linux renderfarm, 15 terabytes of storage and a high-speed Ethernet-based infrastructure. For further information visit www.hp.com