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Bill Gates Unveils First Working Software and Hardware for PMC in Keynote

Building upon the success and critical acclaim for Creative digital portable audio players and hard-disk audio players, the Creative Zen Portable Media Center ushers in a new era in digital entertainment by delivering a sleek, compact portable platform for digital music, video and images. Slated for shipment in the second half of this calendar year, this totally portable device, shown with a footprint of only 5 and 11/16" x 3 and 3/8", revolutionizes digital entertainment by carrying hundreds of hours of video and thousands of songs and images. Powered by Windows Mobile software for Portable Media Centers, the Creative Zen Portable Media Center features a large LCD screen, easy-to-navigate controls, and USB 2.0 and Smart Sync technology to make content transfer fast and easy.

"The Creative Zen Portable Media Center enables easy portability of all Windows XP digital videos, home movies, recorded TV shows, photos, music and even album art," said Todd Warren, General Manager, Embedded Devices Group, Microsoft, Corp. "With one device, Creative is helping Microsoft transform digital entertainment with a seamless PC-to-device experience that's fun and easy to use."

"Our consistent innovation with key partners is what fosters Creative's leadership in digital entertainment," said Sim Wong Hoo, chairman and CEO of Creative Technology, Ltd. "The Creative Zen Portable Media Center exemplifies how we can leverage the power of the PC to surpass the capabilities of consumer electronics."

The Creative Zen Portable Media Center is slated for availability in the second half of this calendar year. Working prototypes will be shown through this Sunday at Creative's exhibit at the Consumer Electronics Show, #13615 in the Central Hall of the Las Vegas Convention Center. Microsoft and Intel will also show prototype Creative players at CES in their product exhibits.

For more information about Creative products, visit www.us.creative.com.

About Creative

Creative is a worldwide leader in digital entertainment products for PC users. Famous for its Sound Blaster(R) sound cards and for launching the multimedia revolution, Creative is now driving digital entertainment on the PC platform with products like its highly acclaimed NOMAD(R) Jukebox MP3 player. Creative's innovative hardware, proprietary technology, applications and services leverage the Internet, enabling consumers to experience high-quality digital entertainment -- anytime, anywhere.

About Windows Mobile Software for Portable Media Centers

Windows Mobile software for Portable Media Centers (insert URL here) is the platform that will power the next generation of portable digital media entertainment devices. As part of the Windows Mobile-based device family, Portable Media Centers make it easy for people on the go to enjoy their Windows(R) XP digital videos, home movies, recorded television shows, photos, music and album art. Expected to be available in 2004 from Creative, iRiver International, Sanyo, Samsung Electronics Co. Ltd. and ViewSonic Corp., a 40 GB device can hold up to 175 hours of video, 10,000 songs and as many as 100,000 pictures -- enough to chronicle a lifetime.

This announcement relates to products launched in the United States. Availability is subject to change without notice and may differ elsewhere in the world according to local factors and requirements. Sound Blaster is a registered trademark of Creative Technology Ltd. in the United States and/or other countries. NOMAD is a registered trademark of Aonix and is used by Creative Technology Ltd. under license. Microsoft, Windows Mobile, Windows and Windows Media are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries. All other brand or product names are trademarks of their respective owners.

CONTACT: Phil O'Shaughnessy of Creative Labs, Inc., +1-408-546-6773, or
poshaughnessy@creative.com

Web site: http://www.creative.com/

Source: Creative Technology Ltd.