Compaq Announces Major Strategic Alliance With Celera Genomics To Be Principal IT Solutions, Services Partner.

HOUSTON--(BUSINESS WIRE)--Oct. 19, 1998--

State-Of-The-Art Subsidiary of Perkin-Elmer Selects Compaq

To Develop Alpha-Based IT Infrastructure for Use in

Human Genomic Research

Compaq Computer Corporation (NYSE:CPQ) today announced that it has entered into a strategic alliance with Celera Genomics to provide the company with integrated hardware, software, networking, and services solutions. Celera, a Rockville, Md.-based unit of The Perkin-Elmer Corporation (NYSE:PKN), selected Compaq as its principal IT partner because of Compaq's expertise in the development and implementation of powerful, reliable, and scalable IT systems specifically for the biotechnology and pharmaceutical industries. Compaq was also chosen for its capabilities in addressing large-scale, complex scientific applications. Particularly, the Compaq solutions will aid Celera's strategic research and engineering efforts in the company's quest to sequence and assemble the human genome.

Under the Celera agreement, Compaq will design and maintain an extensive IT infrastructure based on Compaq's proven Alpha architecture. Alpha-based, true 64-bit systems deliver huge speed and performance advantages over 32-bit systems, allowing customers to process more work in less time. The Celera framework will include electronic commerce and online information distribution capabilities; the installation of high-end storage systems; and the deployment of networking solutions utilizing a combination of Digital UNIX-based and Windows NT-based servers and workstations. Compaq will also provide Celera with services, including its database management, network and systems integration, and system administration operations.

"Compaq is pleased to be Celera's IT partner and to develop an information systems network to support its ground-breaking research," said Eckhard Pfeiffer, president and CEO of Compaq Computer Corporation. "This alliance with Celera represents a major milestone in the biotechnology industry's recognition of Alpha as the benchmark for high-performance computing. It also underscores Compaq's commitment to Alpha and to systems that handle the most demanding technical applications."

"We are delighted that Compaq is joining with us to develop systems and solutions that should expedite the attainment of our goal -- to substantially complete the sequencing of the human genome over the next three years, and thereby become the definitive source of genomic and medical information for developing breakthrough therapeutics and diagnostics," said J. Craig Venter, Ph.D., president and chief scientific officer of Celera Genomics.

Celera's operations are dedicated to human genomic research, the study of the structure and function of the human genetic system, or genome. The human genome includes approximately 80,000 genes and an estimated six billion base pairs, the basic unit of DNA or RNA. In IT terms, the genome is a text of six billion characters, and together with its associated annotations, Celera will require a multi-terabyte database.

Due to the vast amounts of data and supporting documentation associated with this research, Celera required a comprehensive IT solutions provider that could design a high-performance computing environment offering rapid information processing and retrieval, virtually unlimited storage capabilities, and powerful networking tools and hardware to manipulate such data. With help from Compaq Services, Celera will use the Internet and electronic commerce technology to distribute its findings to the general public and scientific community.

The core of the Celera system structure will be a mixed environment using Alpha-based servers and Alpha and Intel workstations running 64-bit Digital UNIX and Windows NT. Compaq will initially deploy Digital AlphaServer 8400s and Digital AlphaServer 4100s, as well as a number of Digital AlphaServer 800s and 1200s running both operating systems. These servers will be complemented by approximately 200 Alpha and Compaq Professional Workstation 8000s for research use. Compaq will also implement high-performance storage solutions for Celera based on Compaq's StorageWorks technology.

Company Background

Founded in 1982, Compaq Computer Corporation is a Fortune Global 100 company. Compaq is the second largest computer company in the world and the largest global supplier of personal computers. Compaq develops and markets hardware, software, solutions, and services, including industry-leading enterprise computing solutions, fault-tolerant business-critical solutions, networking and communication products, commercial desktop and portable products and consumer PCs. The company is an industry leader in environmentally friendly programs and business practices.

Compaq products are sold and supported in more than 100 countries through a network of authorized Compaq marketing partners. Customer support and information about Compaq and its products are available at http://www.compaq.com or by calling 1-800-OK-COMPAQ. Product information and reseller locations are available by calling 1-800-345-1518.

Compaq, Registered U.S. Patent and Trademark Office. Product names mentioned herein may be trademarks and/or registered trademarks of their respective companies

NOTE TO EDITORS: For additional news about Compaq's line of AlphaServers, please view today's related announcement, "Compaq's New Generation Of 64-Bit AlpaServers Delivers Up To 2.5 Times Greater Performance," at http://www.compaq.com/newsroom/pr/1998/index.html.