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HP Pay-Per-Use Network Advantage Program Creates New Revenue Opportunities for CSPs

Program Enables Enterprises to Pursue Cloud, Mobility and BYOD Initiatives Without Capital Investment

PALO ALTO, CA -- (Marketwire) -- 12/12/12 -- HP (NYSE: HPQ) today announced the HP FlexNetwork Utility Advantage Program enabling communication service providers (CSPs) to offer managed network solutions on a pay-per-use basis,(1) creating new revenue opportunities without capital investment.

Enterprises spend more than 70 percent of their IT budget keeping the lights on, leaving less than 30 percent for innovation.(2) However, they need to invest in network upgrades that support initiatives like cloud, mobility, bring your own device (BYOD) and rich media, which drive innovation and business growth.

The HP FlexNetwork Utility Advantage Program enables CSPs, in collaboration with HP, to help enterprise customers modernize their network with standard, prepackaged networking solutions, including hardware and software, with no upfront cost. Customers then contract with the CSP for the managed network offerings they need to support initiatives that speed innovation on a pay-per-use basis.

"Our customers want to focus on running their business rather than operating networks for employee access to applications like voice and videoconferencing," said Oliver Spring, head of Product Line Management, Swisscom. "With HP's FlexNetwork Utility Advantage Program, we can close the gap in our managed service offerings to deliver a networking infrastructure that allows our customers to move beyond operations to innovation."

Leveraging solutions based on the HP FlexNetwork architecture, an open, standards-based architecture that is software-defined networking (SDN) enabled, the program enables CSPs to rapidly upgrade and future-proof their customer's network. As a result, their enterprise customers can reap the benefits of cloud, mobility and BYOD initiatives without capital investment, while freeing IT resources to focus on innovation that drives growth, as opposed to network infrastructure management.

"Cloud introduced consumption-based economics for a wide range of business applications," said Bethany Mayer, senior vice president and general manager, Networking, HP. "HP FlexNetwork Utility Advantage Program brings these economic benefits to CSPs as they support their clients to pursue initiatives that drives growth and innovation.

Unifying wired and wireless networks for consistent user experience
CSPs leveraging the HP FlexNetwork Utility Advantage Program also can deliver a unified wired and wireless local area network (WLAN) solution for cloud services or applications, on a pay-per-use basis.

"We have seen increased enterprise adoption of cloud-managed pay-per-use wireless local area network offerings," said Tim Zimmerman, vice president, Gartner. "We advise customers to deploy integrated wired and wireless networks with a single management application to deliver consistent services and simplify operations."

Availability

  • The HP FlexNetwork Utility Advantage Program is available worldwide through authorized CSPs.
  • Additional information for enterprises interested in learning how HP FlexNetwork Utility Advantage Program can benefit them is available here.
  • Additional information for CSPs interested in participating in the HP FlexNetwork Utility Advantage Program is available here.

About HP
HP creates new possibilities for technology to have a meaningful impact on people, businesses, governments and society. The world's largest technology company, HP brings together a portfolio that spans printing, personal computing, software, services and IT infrastructure to solve customer problems. More information about HP is available at http://www.hp.com.

(1) Pay-per-use is based on the equipment usage by the customers and HP maintains the ownership to the equipment. Customers can use ports (activate/deactivate) based on specific terms and agreements with their service provider and are subject to monthly support services fees.

(2) Based on HP internal research.

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, market share or competitive performance relating to products and services; any statements regarding 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 macroeconomic and geopolitical trends and events; the competitive pressures faced by HP's businesses; the development and transition of new products and services (and the enhancement of existing products and services) to meet customer needs and respond to emerging technological trends; the execution and performance of contracts by HP and its customers, suppliers and partners; the protection of HP's intellectual property assets, including intellectual property licensed from third parties; integration and other risks associated with business combination and investment transactions; the hiring and retention of key employees; assumptions related to pension and other post-retirement costs and retirement programs; the execution, timing and results of restructuring plans, including estimates and assumptions related to the cost and the anticipated benefits of implementing those plans; expectations and assumptions relating to the execution and timing of cost reduction programs and restructuring and integration plans; the resolution of pending investigations, claims and disputes; and other risks that are described in HP's Quarterly Report on Form 10-Q for the fiscal quarter ended July 31, 2012 and HP's other filings with the Securities and Exchange Commission, including HP's Annual Report on Form 10-K for the fiscal year ended October 31, 2011. HP assumes no obligation and does not intend to update these forward-looking statements.

© 2012 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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