HP, Microsoft announce joint SMB initiative

Microsoft Corporation India and Hewlett Packard India
announced a new partnership to address the needs of the emerging small and
medium business community in India. The two companies will roll out a 'Smart
Office' initiative to offer organizations integrated, out of the box IT
solutions tailor made to suit their needs. Under the initiative the two
companies will for the first time, create powerful yet easy to use desktop
solutions by pre-loading versions of Microsoft Office on a range of hardware
options from Hewlett-Packard, Microsoft and HP said in joint press release.

On the server front, HP will offer its Proliant range of
servers with Windows Server 2003 and Windows Small Business Server 2003. HP's
extensive channel and service network will also
address the after sales support
requirements.

The desktop and server solutions sold under this new
initiative are targeted to specifically suit the needs of SMB customers in the
country by providing them with the tools and resources to enable their
businesses to grow and evolve.

BALU DORAISAMY HP will offer its Proliant range of servers with Windows Server 2003	NEELAM DHAWAN To empower SMBs through Smart Office portfolio of solutions

Commenting on the announcement Neelam Dhawan, MD, Microsoft
India, said, "When evaluating a technology solution, SMBs look for three
things - a solution that will help address their business need, one that they
can easily implement, use and support, and finally is cost effective in the
short and the long term."

HP and Microsoft have custom developed these desktop and
server solutions to specifically suit the needs of our SMB customers. "The
products combine best of breed software and hardware options, are out of the
box, require minimal set up and maintenance and come at cost effective prices.
HP's strong after sales service and support network strengthens the value
proposition," she added.

Balu Doraisamy, MD, HP India Sales said, "Today, Indian
SMB's are gearing up to tap the benefits of a fast growing economy and they
are looking at technology as a growth enabler. Through this initiative with
Microsoft, we will reach out to empower SMBs in the country through our Smart
Office portfolio of solutions developed specifically for them. HP's Smart
Office framework provides SMBs with reliable high-quality products and
solutions, local and specialized expertise and a simplified experience with
technology."

Under this initiative, HP in alliance with Microsoft will
offer products that fall under the D260, Dx6120 and Dc7100 desktop PC ranges.
These are full-featured desktop PCs designed for Small and Medium Sized
Businesses running basic office applications. Each of these desktop PCs will be
available pre-loaded with a version of Microsoft's Office productivity
software - Office Basic, Office Professional and Office Small Business Edition,
which have been created specifically for small businesses. These desktops will
be offered with a 3-year warranty from HP. The price of these desktop solutions
will range between
Rs 42,000 and Rs 50,000.