HP Labs: High-impact Research September 23, 2009

1. HP Labs:High-impact ResearchSeptember 23, 2009 Jaap Suermondt Lab Director, Business Optimization Lab 1

2. HP Research and Development CEO Mark Hurd Office of Strategy and Technology Imaging and Printing Group Personal Systems Group Technology Solutions Group HP Labs • 30,000+ technical contributors • Office of Strategy & Technology responsible for company-wide R&D strategy • HP Labs innovates “beyond” the roadmaps 2

3. Goals for high-impact research Commercializing innovationTechnology transfers, incubations, IP licensing Engaging customers and partnersValidate and enrich innovation pipeline Advancing the state-of-the-artPublications and intellectual property Thought leadershipSetting direction and anticipating new developments 3

4. THEN NOW Innovation is in-house and proprietary Open, global innovation is essential to stay competitive 4

5. 2009 HP Labs Innovation Research Awards60 awards, 46 universities,12 countries • Imperial College London, England • University of Bristol, England • University of Leeds, England • University of Newcastle, England • University of Surrey, England • North Dakota State University • Purdue University • University of Illinois at Chicago • University of Illinois at Urbana-Champaign • University of Michigan, Ann Arbor • University of Michigan, Dearborn • University of Toronto • University of Wisconsin-Madison • Stanford University • University of California, Berkeley • University of California, Davis • University of California, Santa Barbara • University of California, Santa Cruz • University of California, San Diego • University of Southern California • University of Washington EMEA Europe, Middle East & Africa • Humboldt Universitaet zu Berlin, Germany • Konstanz University, Germany • Technische Universitaet Berlin, Germany • Technische Universitaet Muenchen, Germany • University of Koblenz-Landau, Germany • Universidade do Minho, Portugal • Russian Academy of Sciences, Russia • University of Saint-Petersburg, Russia • Bilkent University, Turkey • Technion, Israel Institute of Technology, Israel Americas • Peking University, China • Tsinghua University, China • Korea Advanced Institute of Science and Technology, Korea • Arizona State University • Emory University • Georgia Institute of Technology • Virginia Tech • Carnegie Mellon University • New Jersey Institute of Technology • State University of New York at Buffalo • Rochester Institute of Technology • Worcester Polytechnic University • Wright State University • University of Canterbury, New Zealand APJ • Indian Institute of Technology, Bombay, India Asia-Pacific & Japan 5 *Current as of 15 June 2009 5 5

6. High-Impact Research Areas The next technology challenges and opportunities Digital Commercial Print Intelligent Infrastructure Content Transformation Sustainability Immersive Interaction Cloud Analytics Information Management 6

7. Digital Commercial Print End State:Flexible, customized, on-demand printing that replaces the traditional distribution of mass-produced materials HP Labs’ research contribution:Breakthrough technology to accelerate the transformation to digital commercial printing Printing Processes Print engine, High-performance materials Automation Web-based printing, Intuitive color, Creative workflow, Quality assurance 7

8. Content Transformation End State:Complete convergence of physical and digital information HP Labs’ research contribution:Technologies to transfer content seamlessly from paper to digital and access digital content wherever paper is used today Next-generation Displays Digital with the look and feel of paper; Interactive surfaces Automating Publishing Intuitive, personalized organization; Intelligent content extraction Document Lifecycle Secure, authentic; Fluid flow of information from physical to digital,and back 8

9. Display Technology Research Matador, Incunabula • Research contributions • Unbreakable, conformable, ultra-thin, lightweight displays • Dramatic lowering of flat panel display cost by roll-to-roll (R2R) manufacturing on plastic • Color reflective technology for paper-like displays • Reduced cost and increased functionality for conventional flat panel • Wired magazines top 10 technologies 9

10. Incunabula: adding color to paper-like displays • eBooks • Amazon Kindle sold 500K units in Y1 • Electronic content distribution growing at 63% • “We would love to have color but electronic ink doesn’t do it • –Jeff Bezos, June ’08 • HPL technology • Like eInk: Low power, unbreakable, daylight viewable • Better than eInk: COLOR 10

11. Immersive Interaction End state:Making interactions intuitive and the technology invisible HP Labs’ research contribution:Radically simplify the user experience by making technology more useful, intuitive and pervasive People to People People to Computers Seamless CollaborationImmersive multimedia communication – anytime, anywhere – with no physical barriers Intuitive InterfacesNatural, multi-modal, computer-human interactions 11

12. End state: Capture more value via dramatic computing performance and cost improvements Intelligent Infrastructure HP Labs’ research contribution: Radical, new approaches for collecting, storing and transmitting data to feed the exascale data center CeNSE Nano-scale sensors creating a Central Nervous System for the Earth Non-volatileStorage Memristor Next-generation Storage Cloud-scale, dynamic, secure Next-generationData Centers Exascale, photonic interconnects Networking Open, flexible, programmable wired and wirelessplatform 12

13. Intelligent Infrastructure connecting the cloud to the earth 13 ISLPED Keynote

14. Intelligent Infrastructure • IT Infrastructure can improve “ilities” by orders of magnitude • Performance, reliability, manageability, power • All with decreased TCO! • Address five key enablers: • Exascale Data Center • Photonic Interconnect • Memristors • Open Networks • Central Nervous System for the Earth (CeNSE) 14

15. Pt TiOx TiO2 Pt Memristor – what is it? • A ‘resistor with a memory’ • Discovered at HP Labs in 2006 • The fourth and passive device • capacitor - 1745 • resistor - 1827 • inductor – 1831 • Can be built today in any fab 50 nanometer width Memristor circuit • Much faster and lower-power non-volatile storage • Enables significant changes in system architecture: • Fills giant gap between DRAM and disk • Much faster I/O operations • Instant boot, hibernation, and paging • Enhanced resilience through checkpointing 15

16. Cloud End state:Everything as a Service: A world of information, opportunities and experiences, delivered wherever, however and whenever you need it HP Labs’ research contribution:Develop an integrated cloud ecosystem, from infrastructure to services Enterprise Cloud PlatformFrom computing resources to human skills Social Computing Extracting knowledge from collective intelligence Cloud Services Rich, dynamic services;New business models Open Cirrus: Cloud Research Testbed Open innovation with industry, government, academic partners;Internet-scale research

17. “Everything as a Service” A world of information, opportunities and experiences — from computing power to business processes to personal interactions — delivered wherever, however and whenever you need it

18. Everything as a Service Billion Users consuming Millions of Services delivered by Tens Thousands of Service Providers built on Tens Millions of Servers containing ExaBytes of Data connected by Multi TeraBytes of Traffic

19. Everything as a Service MagCloud: Personal magazines printed on-demand BookPrep: Long-tail book publishing CloudPrint: Print documents on demand from the cloud Friendlee: Intelligent social media services Chameleon: Personalized partner experiences on your device Oragami Incubation: Small business packaging exchange ExoScale: efficient flexible computing substrates SIMPL: Simplified, scalable storage managament Sustainability: Sustainable data centers Optical Interconnects for high performance computing ITILigence: Information management and decision support for IT MIMSY: Model based information management systems Billion Users consuming Millions of Services Cells Mercado OpenCirrus SLiM Cloud Platform delivered by Tens Thousands of Service Providers built on Tens Millions of Servers containing ExaBytes of Data connected by Multi TerraBytes of Traffic

20. Open Cirrus™ Cloud Computing Testbed • Shared: research, applications, infrastructure (11K cores), data sets • Global services: sign on, monitoring, store. Open src stack (prs, tashi, hadoop) • Sponsored by HP, Intel, and Yahoo! (with additional support from NSF) • 9 sites currently, target of around 20 in the next two years.

21. Sustainability End state:An IT industry with a light carbon footprint that drives the reduction of carbon emissions throughout the global economy HP Labs’ research contribution:Displace conventional supply chains with sustainable IT ecosystems Sustainable Data CentersIntegrated, end-to-end management of compute, power & cooling resources from cradle to cradle

22. Information Management End State:The vast universe of enterprise information transformed into immediate, business-relevant insight HP Labs’ research contribution:Redefine the twin tasks of taming and exploiting information to revolutionize enterprise decision making IT Service ManagementIntelligent understanding ofcomputer interaction Information Management Superior analysis, extraction and delivery of enterprise content Operational Business IntelligenceTransform massive-scale, real-time data into operational business intelligence

23. Analytics End state:Application of mathematic and scientific methodologies create better run businesses HP Labs’ research contribution:Drive secure, informed, highly effective decision-making Automating SecurityTechniques and tools to rationalize IT security decision-making Analytics for OperationsEnhance automation of business processes Analytics for Personalization Intuitive, customized experience with information across devices

24. Vulnerability Disclosed policy risk Exposed? Accelerate? Malware technologydeployment Exploit Available Patch Available Vulnerability Assessment Patch Deployment Accelerated Patching Emergency Patching Deploy Mitigation Test Solution Implement Workaround Early Mitigation? Patch Available? Malware Reports? Workaround Available? trustworthyinfrastructure compliance HP Labs Security research:Be first to provide science-based, joined-up, whole-lifecycle security management N Y Y N Y Y Y N Y

25. Labor Strategy Procurement Attach Forecasting Analytics of Operations How do we enable systematic modeling of all major business processes, to enable forward-looking optimization Research contribution Integrated portfolio of mathematical models, algorithms, and tools to understand implications of major business decisions Real-world application to areas of highest impact to HP Goal: enable “what if” and forward-looking optimization

26. Example: Procurement Automatically exploiting combinatorial incentive space Research contribution Build tools for exploiting combinatorial incentive space in sourcing awards (e.g. HDD, memory, displays) Optimize risk/reward trade-offs in designing and awarding supply contracts and RFQ processes Develop a modeling studio grounded in mechanism design paradigm to build formal models of decision problems in strategic sourcing Business impact:Even small percentages make an enormous difference in efficient organizations like HP

27. Workforce Optimization Managing a large services workforce Demand: New and existing projects and clients Streams of service events Supply: Skills available Training opportunities Attrition Optimization: Matching workforce needs to available people and skills Global scale Complex constraints Millions of variables

28. Example: Revenue Coverage Optimization 2009 Winner, INFORMS Edelman Prize – top honor in OR Research contribution Prioritize product portfolio based on interactions with other products in enabling rapid order fulfillment while maximizing revenue Fundamental contribution to OR: new maximum flow algorithm to enable real-time analysis on large product portfolio % of revenue covered # of products Business impact: Over $500M in savings and $180M in ongoing annual savings Significant order fulfillment improvements Thousands of SKUs eliminated

29. Under the hood:SPMF: a new simultaneous parametric bipartite max flow algorithm Integer ProgramIP(n) Lagrangian Relaxation LR() Parametric Bipartite Max Flow Problem LR(): Maximize revenue of covered orders minus lambda times portfolio size. Maximize oRoyo- (pxp) Subject to: yoxpif p is in order o 0 xp, yo 1 “Selection problem” • Min s-t cut is an optimal solution to selection problem (Balinsky 1970) • Max flow  min cut (Ford-Fulkerson) orders products min cut   R1   s t .. .  .. .  Rn 

30. THEN NOW Innovator’s dilemma: Disruption of value by offering industry-standard “good enough” alternatives Long-tail economics: Creation of value by giving customers exactly what they want

31. Users, Interactions, Data Profile in the cloud, owned, transparent and controlled by the user, with solid privacy Really get to know the customer from all our (and others’) interactions; Capture “profile in the cloud” Analytics of personalization Experiences Goal: Enhance the experience and interactions through personalization