This is documented in Who can view chat history in HipChat Server - depending on the scope of your question, there are two main aspects:
Chat history, messages, and files details the operator point of view - chat messages in general are stored in HipChat Server's virtual machine in the
...have mention name FirstnameLastname. Fe.: @MaartenCautreels This certainly helps to know who is being mentioned in a conversation. Imagine your colleague sends the following message...
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