Better Answers.

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Welcome . . .
Better Answers.
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Agenda

• Overview
• Industry trends
• Reseller Kit
• CAREPAQ Services
• How CAREPAQ Can Support You
• Expanded CAREPAQ Portfolio
• Hardware Support
• Software Support
• NOS Support
• Installation Startup

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Compaq Services Your Partner in a World Without
Boundaries!
When you make Compaq your partner, you leverage
the knowledge and resources of one of the
largest, most experienced service organizations
in the business.

• As a global service and support provider Compaq
  is committed to
• Maintaining a world-class channel service
  program
• Continuing to create services that are
  complementary to our Partners service
  offerings and capabilities
• Ensuring our Partners are successful!

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A Word From An Industry Expert!

• Robert M. Johnson
• VP Advisory ServicesInformation Technology
  ServicesMarketing Association

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Your Customers IT Challenges

• Achieve optimal performance, security and
  AVAILABILITY
• Ensure fast, effective response and problem
  resolution
• Prevent problems BEFORE they occur
• Ensure software is supported and updated
• Maximize productivity
• Purchase the right level of support

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The Value Compaq Services Can Bring YOU!

• Services are key margin contributors
• Services enable you to extend your reach
• On-going account presence and loyalty
• Leverage server sales

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What The Industry Experts Are Saying!

• Services represent an average of 51 of
  customers IT spending.
• Lifecycle services in the desktop management
  space is seeing a 23 growth rate.
• 80 of all services sold are sold at the time of
  product sale.
• If we attach 20-50 of the time
• Services GM 28-32
• Product GM lt10
• Source Gartner Group

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Analysts on The Service Market

• Size of opportunity is large enough to share
• Customers need Solutions not just Products
• Combining product and service on average
  increases margin 15 on solution sale

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CAREPAQ Services
Complementary... Easy to Sell... Easy to
Purchase Adds to Profitability... Packaged
Services from Compaq
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Conveniently Packaged
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3 Reasons to Register Services

• Increase customer satisfaction and strengthen
  customer loyalty
• Helps us achieve Service excellence
• Ensure replacement parts are stocked and your
  customer receives the right part, at the right
  place, at the right time

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New Enhanced Service Registration Tools

• New Enhanced Web-Based Services Registration Tool
  http//www.compaq.com/services/registration
• Utilizing this enhanced web-based tool
  CAREPAQ registration is quick and easy.
• New Centralized Telephone Registration Group --
  1-800-407-6210 connects the caller to a
  centralized registration group that will enter
  the registration into the Compaq Services
  Registration Database.
• Multiple Services Registration Electronic Format
  to simplify and streamline electronic
  submissions from Compaq partners, the
  registration database will accept several
  standard file formats that will be automatically
  loaded into the Compaq Services Registration
  Database.

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CAREPAQ Increases Revenue ProfitExample
4-Hour On-Site Service for ProLiant 3000 - One
Unit
Reseller A No CAREPAQ
Reseller B CAREPAQ
HARDWARE SALES Units Revenue (4000/unit) Profit
(5) CAREPAQ SALES Units Revenue
(2100/unit) Profit (18)
RESELLER INVESTMENT GROSS SALES REVENUE GROSS
PROFIT GROSS MARGIN More Units to Match Margin
0
53
189
90
These are assumptions and may not represent
reseller sales figures.
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CAREPAQ Increases Revenue ProfitExample
4-Hour On-Site Service for ProLiant 3000 - 25
Units
Reseller C No CAREPAQ
Reseller D CAREPAQ
HARDWARE SALES Units Revenue (4000/unit) Profit
(5) CAREPAQ SALES Units Revenue
(2100/unit) Profit (18)
RESELLER INVESTMENT GROSS SALES REVENUE GROSS
PROFIT GROSS MARGIN More Units to Match Margin
0
53
189
90
These are assumptions and may not represent
reseller sales figures.
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CAREPAQ Qualifying Questions

• What is the impact on your business if a server
  goes down?
• What is the cost of downtime to your business?
• How do you handle hardware and software
  installations?
• How do you support desktop PC applications across
  your business?

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CAREPAQ Portfolio
Five Service Categories

• Hardware Services - Upgrades service response
  times to ensure your customers maximum uptime
• Warranty Extensions - Protect your customers
  hardware investment by extending the terms of the
  Standard Limited Warranty
• Software Services - Provides your customers with
  Help Desk support services on over 200 software
  applications
• Installation / Start-up Services - Offers quick
  implementation of your customers new computer
  technology
• Business Solutions (NEW) - Furnish your customers
  with a single point of contact for hardware and
  software integration needs

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Hardware Services Upgrades service response
times to ensure your customers maximum uptime
Better Answers.
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Warranty Attributes

• Servers
• 3 year, 2nd business day, on-site, best effort
• Professional Workstations
• 3 year
• 1st year, 2nd business day, on-site, best effort
• 2nd 3rd year, parts ONLY
• Desktop
• 3 year
• 1st year, 2nd business day, on-site, best effort
• 2nd third year, parts ONLY
• Portables Support
• 1or 3 year, 2nd business day pick-up or
  delivery.

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CAREPAQ Portfolio
Better Answers.
Portable
Desktop
Workstation
Server
Storage
UPS
1
WarrantyExtension Next Business DayOn-Site 9x5
4-HourOn-Site 24x7 4-HourOn-Site Priority
Service Plan Hardware Installation
2
3
3
1 - also available for monitors 2 - Prosignia
Servers Only 3 - one year contracts available
for installed servers
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Warranty Protects the Hardware InvestmentServices
Protect the Business Investment
What your customers need
What your customersget with the warranty

• Protection Against Hardware Downtime
• 7X24 Hardware Repair
• 4-Hour On-Site Response
• Continuous Effort Repair
• Software NOS Support
• Installation Startup Services

• Hardware Protection Against Manufacturer Defect
• Parts Labor
• Second Business Day Response for Replacement of
  Components
• Best Effort Repair
• No Software or NOS Support
• No Installation

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Hardware CAREPAQ Services

• Installed Base Server
• Proliant Servers and Disk Storage Subsystems
• Portable
• New Next Business Day On-site Coverage on Compaq
  Armada Prosignia
• Storage
• New 24X7 and 9X5 Coverage on Fiber Channel
  Storage and DLT Tape Library
• Warranty Extension
• Desktop, Monitor, Portable

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CAREPAQ for Installed Servers
Servers currently under warranty 450,000
units Percentage sold without uplifted support
70 Opportunity to sell Installed Server
CarePaqs 300,000 units
Market

• This offer
• Provides a one year, 4 hour response uplift to
  servers under warranty
• Can be sold any time within year 2 or year 3 of
  product warranty
• Expiration of this service is 12 months from date
  of purchase.

• Service is available on
• Proliant Servers
• Proliant Disk Storage Systems, Fiber Channel
  Storage,DLT Tape Library
• Power Supply (UPS)

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Desktop Monitor Warranty Extension CAREPAQ
Offerings

• Sell with Compaq Delivering Service
• Increase revenue and margin
• Sell and You Deliver Service
• Increase revenue from selling CAREPAQ PLUS
• Increase service revenue opportunity up to 90.00
  per event
• Available to Authorized Service Providers or
  System Service Providers

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Desktop Warranty Extension CAREPAQ Can be
Provided by Partners
Compaq will ship 2.5M desktop units in
1999 Compaq Desktop Warranty Extension CarePaq
now enables Compaq Authorized Service Partners to
sell and deliver warranty services on-site for 3
years.
Market

• This offer
• Provides 3 years, 9X5, 2nd business day response
• With this service you can
• Maintain your account presence
• Significantly augment your services profitability
  - Selling and delivering!
• Note This offer is for desktop only does not
  include monitor.

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Monitor Warranty Extension CAREPAQ Provided by
Partners
Compaq Monitor Warranty Extension CAREPAQ now
enables Compaq Authorized Service Providers to
sell and deliver warranty services on-site for 3
years.

• This offer provides
• 3 years, 9X5, 2nd business day response
• Available for CRT lt21, lt24 and
• TFT lt15 TFT, lt18
• With this service you can
• Maintain your account presence
• Significantly augment your services profitability
  - Selling and delivering!

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Portable CAREPAQ Service Offerings
Market
Compaq will ship 725k portable units in 1999

• Warranty Extension
• 3 years second business day pick-up
• For the Armada and Prosignia portables . . .
• Next Business Day On-site Service
• 5X9 Next day response for maximum uptime
• Increase your profits and customer satisfaction
  with
• Compaq Field Technician Expertise and Extended
  Coverage

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Benefits of Servicing and Selling Desktop and
Monitor Warranty Extension CAREPAQS

• Gain Account Control
• Increase revenue generating opportunities with
  Pay for Performance Plan
• CarePaq packaging simplifies the sale, purchase,
  registration administration
• Eliminates investment in service marketing
• Leverages the Compaq brand name

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Recap - Agenda

• Overview
• Industry trends
• Reseller Kit
• CAREPAQ Services
• How CAREPAQ Can Support You
• Expanded CAREPAQ Portfolio
• Hardware Support
• Software Support
• NOS Support
• Installation Startup

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Analyst on NT

• O/S of the Future
• Investment Expense for Support
• MCSES
• Customers Developing Critical Applications
• Rapidly Changing as it Evolves

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Software Services Provides your customers with
Help Desk support services on over 200 software
applications
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Client Software Support CAREPAQ Service

• Quick access to technical expertise on over 200
  of the most popular desktop applications 7x24x365

• Direct connection to a software support
  specialist in less than 60 seconds
• Purchase pre-paid time banks, PIN Technology
• Easy time replenishment
• 1-800 direct access from U.S. and Canada
• Available in two options
• Standard and Department

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NOS Technical Software Support

• Two levels of support
• Cost-effective, single source of support for help
  desk
• Access to Compaq service specialists trained and
  certified by Microsoft
• Supported Network Operating Systems Include
• NT, NetWare and SCO UNIX
• Over 125 products supported

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NOS Technical Software Support
Premium Support
Standard Support

• 9x5, Mon.- Fri.
• 125 products supported
• 2 hour response during business hours
• problem identification and resolution, info
  services, answers to point specific questions on
  installation and deployment
• 10- and 25-incident CAREPAQ

• 24x7
• 125 products supported
• 1 hour response during business hours
• problem identification and resolution, info
  services, answers to point specific questions on
  installation and deployment
• 10- and 25-incident CAREPAQ

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Installation/Start-Up Services Offers quick
implementation of your customers new computer
technology
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Installation/Start-up CAREPAQ ServicesReseller
Benefits

• Releases customer employees for core business
  work
• Ensures fast and proper installation of hardware
  and software
• Supplements reseller technical staff
• Allows resellers to focus on higher value-added
  IT activities
• Simplifies budgeting for multi-seat project
  implementation

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Installation/Startup Services for Windows NT
Server
1 Windows NT Server Base Package
WNT Acct.Creation
WNT Client Integration
Printer Integration
Fileshare Creation
5 Additional NT Server Packages
DomainIntegration
RAS Config.2 Modems
RAS Config.Model Pool
WNT RouterConfig.
WNT DNSConfig.
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1 Windows NT Server Base Package

• Installs and configures Windows NT 4.0 on one
  new server
• Limited to 2 days of on-site work
• Basic file, print, and network access services
• Installs and configures default network protocols
  
• Integrates 5 existing, networked clients
• Formats 1 local printer, fileshare, and 2 local
  disks
• Creates 10 user accounts
• Runs one time system backup
• Domain creation and/or limited integration

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Additional NT Packages

• Cluster Installation
• Internet Installation (AltaVista)
• Microsoft Exchange Server

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CAREPAQ for Business Solutions Furnish your
customers with a single point of contact for
hardware and software integration needs
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CAREPAQ for Business Solutions

• Five integrated business solutions
• Priority
• Priority 24
• Priority Plus
• Priority Premier
• Priority Executive
• Workgroup, Departmental, Enterprise servers only

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Compaq Priority Service Plan Packages
Priority-Plus
Priority 24
Priority
- 24x7 HW - 4 hr. response - Named HW Engineer
- 24x7 O/S SW Support (NT, NetWare) 1 hr
response M-F 8AM-5PM local time 2 hr.
response remaining hours - Named SW Account
Rep - SPS Account review

- 24x7 HW - 4 hr. response - Named HW Engineer
- 24x7 O/S SW Support (NT, NetWare) 2 hr.
response
- 9x5 HW - 4 hr. response Next Available HW
Engineer - 9x5 O/S SW Support (NT, NetWare)
2 hr. response
Priority-Premier
Priority Exec Premier
- 24x7 HW - 2 hr. response - Named HW Engineer
- 24x7 O/S SW Support (NT, NetWare) -
Premium Support Team - 30 min response-
Critical - 1 hr response- non-critical - Named SW
Account Rep - SPS Account review - Proactive
Review Management

- 24x7 HW - 4 hr. response - Named HW Engineer
- 24x7 O/S SW Support (NT, NetWare) 1 hr
response M-F 8AM-5PM local time 2 hr.
response remaining hours - Named SW Account Rep
- SPS Account review - Proactive Review
Management
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Warranty Response Meets FewCustomer Business
Requirements
Availability Review
Business Critical high
Priority Executive Premier
Priority Plus
24x7 4-hour On-Site Response
Mission Sensitive
Business Dependency on Hardware
9x5 4-hour On-Site Response
Task Critical
9x5 Next Business Day On-Site Response
Not Important low
Warranty Extensions
Warranty Response best effort
2-hour Response
4-hour Response
Next Day Response
Required Service Response Time
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CAREPAQ Information for Resellers

• Reseller Pre-Sales Support
• 1-800-289-9052
• Online Information
• Compaq.com
• http//www.compaq.com/support/service_offerings/so
  
• Compaq Partner Network
• http//cpn.compaq.com
• Compaq Partner Network
• http//cpn.compaq.com
• Services Technical Help / Products
• Service Coverage Verification Tool
• http//www.compaq.com/support/service_offerings/ha
  rdware
• Services Registration
• http//www.compaq.com/services/registration

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New CAREPAQ Price List

• CarePaq Service Matrix handout supercedes CD-ROM
  file
• Check for new offers and price updates on Compaq
  Partner Network
• http//cpn.compaq.com
• Services Technical Help / Products

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Questions Answers
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