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HP Helps DreamWorks Create ''Spirit: Stallion of the Cimarron''

HP Helps DreamWorks Create ''Spirit: Stallion of the Cimarron''


I'm passing on the final release for today's HP-DreamWorks/"Spirit"
announcement, which crossed the wire today at 11:00 a.m. (PT).   There's an
interesting Silicon Valley-Hollywood-Linux trend wrapped up in this - and
an emerging battle with IBM - thought you'd be interested.

A little background that may be helpful ---

As you may have seen, in January this year, Carly Fiorina and Jeffrey
Katzenberg (the K in DreamWorks SKG) announced a major multi-million dollar
alliance aimed at revolutionizing animation at LinuxWorld in NYC (
http://www.hp.com/hpinfo/newsroom/press/30jan02a.htm). Essentially, HP is
helping DreamWorks become the most innovative animation studio in
Hollywood. This is exemplified through last year's Academy Award winning
film, Shrek and most recently, through "Spirit," currently in the box
office.  This movie represents the re-invention of traditional animation
into the "tradigital" format ? blending 2D and 3D animation ? and the new
format was done using Linux on HP equipment.

"Spirit" provides a look at the convergence between Silicon Valley and
Hollywood and marks a significant milestone of the alliance, showing
tangible results emerging from DreamWorks' and HP's relationship. This
movie is one of this studio's most technologically complex films to date
and a film currently on the US Box Office Top Five.

This deal also signifies a larger emerging trend - the shift in Hollywood
from proprietary (a la SGI's IRIX systems) to open source platforms, and
HP's leading role in this evolution.  Many of the major studios are moving
over to Linux, but DreamWorks is pioneering this movement. The evolving
relationship between HP and DreamWorks and the movies emerging from the
multi-year alliance is indicative of this movement.

Let me know if you have any questions or would like to talk further with
HP.

Regards,
Karen

HP Helps DreamWorks Create ''Spirit: Stallion of the Cimarron''
Film Represents Re-invention of Traditional Animation into ''Tradigital''
Format
http://biz.yahoo.com/bw/020603/30618_1.html


PALO ALTO & GLENDALE, Calif.--(BUSINESS WIRE)--June 3, 2002--HP (NYSE:HPQ -
News) today announced that its Linux-based technology played a critical
role in the production of "Spirit: Stallion of the Cimarron," the newest
animated film from DreamWorks SKG. To date, the film has grossed more than
$38.7 million.


The popular movie is the first to place Linux in the hands of traditional
animators, allowing for a seamless blend of two-dimensional (2D) with
three-dimensional (3D) animation, a format that DreamWorks calls
"tradigital" animation. During the making of the film, HP engineers worked
closely with DreamWorks to enhance the functionality of Linux to power
ToonShooter(TM), DreamWorks' proprietary 2D animation software. ToonShooter
allows animators to convert traditional hand-drawn artwork into a digital
format that can be easily played back and manipulated during production.


ToonShooter's video playback feature needed to run at film speed (24
frames-per-second) with synchronized audio. At the time, 2D playback at
that speed had never been achieved on Linux. HP and DreamWorks worked
together to enable ToonShooter to perform at well above the necessary 24
frames-per-second, running on Linux. The result is a film with visual
dimensions never before achieved in traditionally-animated films.


"HP is giving our animators the chance to stay a step ahead of today's
production technology and helping them focus on what they do best --
creating memorable films for audiences," said Ed Leonard, head of animation
technology, DreamWorks.


To complete the film, DreamWorks used high-performance HP Linux
workstations and HP servers. The combination allowed DreamWorks to leverage
the visual power of 3D while preserving the expressiveness of hand-drawn
animation to enhance the film's detail. The result has set a new benchmark
for the visual complexity and richness of traditionally animated films.


"DreamWorks pushes the limits of Linux-based computer technology in a
constant effort to lower costs and provide animators with the best
filmmaking tools possible," said Terry Brown, manager, HP Entertainment
Industry Solutions. "As the face of digital animation continues to change
rapidly, HP is pleased to help DreamWorks stay on the cutting edge of
today's technology."


HP and DreamWorks began their relationship two years ago when the studio
determined that driving down costs and production time while leveraging
emerging technologies was imperative to success.


DreamWorks is currently in production with three animated films using HP
technology which will be produced almost exclusively using Linux. Earlier
this year, HP and DreamWorks announced a three-year multi-million dollar
technology alliance with HP providing the computing infrastructure for
DreamWorks' next-generation digital studio. The Glendale-based studio is
beginning production on an all-computer graphics animated feature.


About DreamWorks


DreamWorks SKG was formed in October 1994 by its three principal partners
-- Steven Spielberg, Jeffrey Katzenberg and David Geffen -- to produce
live-action motion pictures; animated feature films; network and cable
television programming; home video entertainment; records; books; toys; and
consumer products.


About HP


HP is a leading global provider of products, technologies, solutions and
services to consumers and businesses. The company's offerings span IT
infrastructure, personal computing and access devices, global services and
imaging and printing. HP merged with Compaq Computer Corp. on May 3, 2002.
The merged company had combined revenue of approximately $81.7 billion in
fiscal 2001 and operations in more than 160 countries. More information
about HP 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 never 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. All statements other than statements of
historical fact are statements that could be deemed forward-looking
statements, including any projections of earnings, revenues, or other
financial items; any statements of the plans, strategies, and objectives of
management for future operations; any statements concerning proposed new
products, services, or developments; any statements regarding future
economic conditions or performance; statements of belief and any statement
of assumptions underlying any of the foregoing. The risks, uncertainties
and assumptions referred to above include employee management issues; the
timely development, production and acceptance of products and services and
their feature sets; the challenge of managing asset levels, including
inventory; the flow of products into third-party distribution channels; the
difficulty of keeping expense growth at modest levels while increasing
revenues; 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, as amended on January 30, 2002, for the
fiscal year ended October 31, 2001, HP's quarterly report on Form 10-Q for
the quarter ended January 31, 2002 (as filed with the SEC on March 12,
2002) and subsequently filed reports. HP assumes no obligation and does not
intend to update these forward-looking statements.

-------------------------------------------

Karen Duffin
Applied Communications for HP
San Francisco
w: 415.365.0222, x353
c: 415.806.8176

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