Compaq and Microsoft Provide Wireless Network for Delegates at the World Economic Forum’s Davos Annual MeetingFirst Time 2,200 iPAQ Pocket PCs Connect via Wireless LAN

DAVOS, SWITZERLAND, 25 JANUARY 2001 — Compaq Computer Corporation and Microsoft Corp. today provided 2,200 iPAQ Pocket PCs with wireless LAN connections to link delegates to event information and to each other as they gather for the World Economic Forum’s annual meeting. The iPAQ Pocket PC — named the Davos Companion for this event — will provide forum attendees with essential event information and communication services, enabling them to stay connected and simplifying their participation at this year’s sessions. Information is stored on a massive wireless network that can be accessed by participants using Compaq iPAQ handheld devices running the Microsoft® Windows® Powered Pocket PC platform. It is the first time that a wireless solution has been provided for such a large-scale event and underlines how quickly the wireless revolution is changing the way people work. The Davos Companion demonstrates Compaq’s and Microsoft’s ability to empower that revolution.

Information Updated Every Day, All Day

Participants will receive an iPAQ Pocket PC at the event. The iPAQ Pocket PC is preloaded with all the necessary information about the World Economic Forum’s annual meeting and is protected by a personal identification number (PIN). Throughout the day, information is updated on the 19 Compaq ProLiant servers that support the wireless network, and the new information is downloaded automatically to the Davos Companion by event organizers.

Empowering Professional and Personal Lives

Michael Capellas, chairman and chief executive officer of Compaq Computer Corp., himself a session speaker at Davos, said,
“The world’s leading thinkers, industrialists and politicians will have a unique opportunity to use wireless technology in Davos to access real-time information about the event and their own schedules. We are working closely with Microsoft to develop innovative products like the Compaq iPAQ Pocket PC and to deliver integrated solutions like the wireless network supporting the forum. Wireless is the future of IT, and the Compaq iPAQ is the right technology to demonstrate its revolutionary potential to a meeting of some of the world’s most influential people.”

“The Davos Companion demonstrates the versatility of the Pocket PC platform to empower the world’s leaders through great software,”
said Bill Gates, chairman and chief software architect of Microsoft.
“By using Compaq’s iPAQ Pocket PC and a wireless LAN connection, Microsoft and Compaq are demonstrating how advanced technology can keep us all connected with our most important information — any time, any place and on any device.”

“This year we naturally extend our annual meeting navigation system, offering a first glimpse at ‘digital convergence’ with the Davos Companion. We are also extremely proud to be able to show what is possible when multiple leading-edge technology partners team with us,”
said Andre Schneider, director of resources and knowledge management at the World Economic Forum.

About the Davos Companion

The World Economic Forum has always succeeded in providing innovative technology to support its high-profile events. The Davos Companion solution uses the very latest technology, which allows participants to access information offline as well as online via the wireless network that has been set up inside the Congress Centre, from two of the world’s leading IT corporations. Online functionalities enable users to send e-mail messages to other participants, stay in touch with the outside world and get automatic updates on the catalogue of participants, organizations , the programme and practical information. A New Service containing daily news from three major European news channels will also be available to participants for the duration of the event. For a fuller description of the functionalities, refer to the technology backgrounder.

About the Pocket PC

Windows Powered Pocket PCs offer customers the best way to connect to their most essential information while away from their desk, yet are flexible enough to satisfy the personal demands of today’s busy mobile lifestyle. Pocket PCs were designed to be a secure extension to the enterprise, with core security processes and technologies.

About Compaq

Compaq, a Fortune Global 100 company, is the largest supplier of computing systems in the world. Compaq designs, develops, manufactures and markets hardware, software, solutions and services, including industry-leading enterprise computing solutions, fault-tolerant business-critical solutions, and communications products, commercial desktop and portable products, and consumer PCs.

Compaq products and services are sold in more than 200 countries directly to businesses, through a network of authorised Compaq marketing partners, and directly to businesses and consumers through Compaq’s e-commerce Web site at http://www.compaq.com/ . Compaq markets its products and services primarily to customers from the business, home, government and education sectors. Customer support and information about Compaq and its products and services are available at http://www.compaq.com/ .

About the World Economic Forum

The World Economic Forum ( http://www.weforum.org/ ) is an independent organization committed to improving the state of the world. It serves its members and society by creating the foremost global partnership of business, political, intellectual and other leaders of society to define and discuss key issues on the global agenda. Incorporated since 1971 as a foundation, the World Economic Forum is independent, impartial and not for profit, tied to no political, partisan or national interests.

About Microsoft

Founded in 1975, Microsoft (Nasdaq
“MSFT”
) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software — any time, any place and on any device.

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This financial discussion contains forward-looking statements based on current expectations that involve a number of risks and uncertainties. The potential risks and uncertainties that could cause actual results to differ materially include: delays in the implementation of changes in delivery models, component shortages, increased competitive environment and pricing pressures, delays in product rollout schedules, slow acceptance for new form factors, changes in product, customer and geographic sales mix, employee retention, the financial condition of resellers, delays in new systems implementation, operational inefficiencies related to sales cycles, equity investment volatility, emerging market political or economic instability and disruptions related to restructuring actions. Further information on the factors that could affect Compaq’s financial results is included in Compaq’s Securities and Exchange Commission (SEC) filings, including the latest Annual Report on Form 10-K and the latest quarterly report on Form 10-Q.

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