Compaq Supports Industry's Newest and Most Advanced Multimedia Technology for Consumer PCs; New S3 Chipset Will Provide Fast Graphics, Breakthrough Video and Audio at Lower Cost

Business Wire, June 13, 1995

SUNNYVALE, Calif.--(BUSINESS WIRE)--June 13, 1995--Raising the bar in multimedia computing, Compaq Computer Corporation (NYSE: CPQ) today announced that it will support the MPEG (Motion Picture Experts Group) standard by employing S3's new Cooperative Acceleration Architecture -- a three-chip multimedia solution for video and graphics -- in future Compaq Presario PCs. This hardware-based implementation of MPEG technology will provide consumers with TV-quality video, CD-quality audio and high-performance graphics at affordable prices.

At a press briefing held today in Sunnyvale, Calif., Compaq, S3, Microsoft and other industry leaders announced their support and implementation plans for the open MPEG standard. Compaq announced that it will feature the MPEG specification with S3's new multimedia accelerator chipset in its consumer PCs for the holiday buying season.

"S3's breakthrough in video acceleration allows Compaq to offer the most life-like multimedia PC experience available," said Rod Schrock, vice president, Presario products, Compaq Computer Corporation. "Compaq customers will soon be able to take advantage of MPEG full-screen video in their Compaq PCs, with an array of entertainment and educational CD-ROM titles, all at extremely attractive prices."

Hardware-based MPEG playback allows full-motion video and CD-quality audio -- from a live source or CD-ROM -- to be played on PCs without sacrificing CPU performance, thereby eliminating delays normally experienced with software-based video playback. The result is consistent high-quality multimedia that will allow consumers to seamlessly interact with the latest CD-ROM software programs while enjoying remarkably smooth and natural VCR-quality playback at a full 30 frames per second. The S3 solution also provides extensive graphics functionality that reduces response time in interactive games and multimedia titles.

"The availability of high-quality multimedia playback, combined with strong consumer interest will spur an explosion of MPEG-compatible CD-ROM titles," said Rod Schrock, vice president, Presario products, Compaq Computer Corporation. "This solution so dramatically improves the lifestyle multimedia experience that we think all consumer PCs should include it."

MPEG is an international digital video standard that enables independent software vendors to develop titles and games that include industry standard, full motion MPEG video scalable to any window size or capable of being played full-screen. To facilitate the development of MPEG-compatible software, Compaq and S3 will host an ISV developers conference in July to ensure the widest array of high-quality MPEG applications for the PC.

Company Background

S3 Incorporated, based in Santa Clara, Calif., is dedicated to applying acceleration technology to create a natural PC interface. A publicly held company, S3 combines silicon and software to accelerate graphics and video for leading PC platforms and operating environments.

Compaq Computer Corporation is the world's largest supplier of personal computers, offering desktop PCs, portable PCs and servers. Founded in 1982, the Company reported 1994 worldwide sales of $10.9 billion. Compaq products are sold and supported in more than 100 countries through a network of more than 38,000 Compaq marketing partners. Compaq also sells directly to customers through Compaq Direct Plus at 1-800-888-5858. Compaq provides 24-hour customer support and can be reached through the Compaq forums on America Online, CompuServe, Internet (http://www.compaq.com), and Prodigy, or by calling 1-800-345-1518. -0-

Compaq, Registered U.S. Patent and Trademark Office. DirectPlus is a service mark of Compaq Computer Corporation. Product names mentioned herein may be trademarks and/or registered trademarks of their respective companies.

CONTACT: Compaq Computer Corporation

Mike Berman, Yvonne Donaldson,

Nora Hahn, John Sweney, Hedy Baker,

Jerele Neeld, Brian Temple

Janet Dean, Rebecca Nahas

713-374-0484

or

Miller Communications,

Donna Ruane, Jean Borgman

617-536-0470

scollins@millercom.com