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MEDIA ALERT - MARCH 21, 2001 CREATIVE UNVEILS DOLBY DIGITAL API PLATFORM AT GAME DEVELOPERS CONFERENCE

API Platform Takes Advantage of Market-Leading Sound Blaster Live! 5.1 Audio Cards' Native Decoding Capabilities

What: Creative Technology Ltd. (NASDAQ: CREAF), the worldwide leader in digital entertainment products for the personal computer and the Internet, today unveiled an API platform for games developers wanting to incorporate Dolby Digital content into their games. Designed to take advantage of the native decoding capabilities of the market leading Sound Blaster Live! 5.1 audio card, Creative has collaborated with Dolby to provide an integrated solution for mixing in-game interactive, EAX-technology-enabled 3D audio with Dolby Digital-technology soundtracks for multichannel systems.

"We are deploying huge numbers of multichannel sound systems into the market," said George Thorn, director of audio development for Creative Labs, Inc. "With the Sound Blaster Live! 5.1 X-Gamer card hooked up to the Cambridge SoundWorks DeskTop Theater 5.1 DTT2200 speaker system, discerning gamers are fully equipped to experience Dolby Digital sound. With the Live! 5.1's native Dolby Digital decoding capability, we are excited to be offering a solution for games developers that lets them deliver the cinematic sound experience of DVD movies to their games titles."

"Dolby Digital sound is perfect for PC games" said Richard Hockenbrock, vice president of licensing operations at Dolby. "We are delighted to be working with Creative, the leaders in PC audio, to integrate Dolby Digital technology into their products, and to have it enabled in PC games."

Game Developers Conference attendees will be able to get demonstrations at both the Creative and Dolby booths, and the API will be available to registered Creative developers attending the show. There will also be theater demonstrations and clinics on how to mix for Dolby Digital 5.1 sound.

"Dolby Digital allows us to create wonderful multichannel tracks for both our music and our in game movies," said Mark Caldwell, vice president and general manager of New World Computing. "The 'Heroes of Might and Magic' series has always been known for its music. Now we can take it to the next level with full multichannel Dolby Digital tracks on Creative's Sound Blaster Live! 5.1 audio card series."

This announcement relates to products launched in the United States of America. The product names, contents, prices and availability are subject to change without notice and may differ elsewhere in the world according to local factors and requirements.

The Creative logo, Sound Blaster and Blaster are registered trademarks and Live! and EAX are trademarks of Creative Technology Ltd. in the United States and/or other countries. SoundWorks is a registered trademark of Cambridge SoundWorks and DeskTop is a trademark of Cambridge SoundWorks.

NOMAD is a registered trademark of Aonix and is used by Creative Technology, Ltd. and for its affiliates under license. All other brand and product names are trademarks or registered trademarks of their respective holders in the United States and/or other countries.

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