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Windows Media Format Support Available Via Download for Current and Future NOMAD II Digital Audio Players

MILPITAS, Calif. - July 17, 2000 - Creative Technology Ltd. (Nasdaq: CREAF), the leading provider of Personal Digital Entertainment (PDE) Solutions, today announced a working relationship with Microsoft Corp. that provides NOMAD II users with Windows Media Format support. Because Windows Media Format provides unsurpassed audio quality, with CD-quality sound in half the size of an MP3 file, consumers will be able to enjoy twice the amount of high-fidelity digital audio on any NOMAD II digital audio player.

NOMAD II owners can take advantage of their player's reprogrammability by downloading Windows Media Format support at www.nomadworld.com. With Windows Media support installed, NOMAD II owners also can utilize the one-click music transfer capabilities of the new Windows Media Player 7, which will be released tonight at midnight. Windows Media Player 7 will be available for download at WindowsMedia.com.

"We are very pleased to be working with Microsoft to provide NOMAD II users with Windows Media support," said Hock Leow, chief technology officer at Creative. "By offering CD-quality audio in half the size of MP3 files, NOMAD II users will be pleased to know their storage capacity doubles when playing Windows Media digital audio music files."

"A great digital media experience on your PC is just the start of the promise of Windows Media Player 7," said Dave Fester, general manager of marketing for the Digital Media Division at Microsoft Corp. "Music becomes truly personal when you can take it with you. This collaboration with Creative means NOMAD II users get the full fidelity they deserve with twice the music."

This announcement relates to products launched in the United States of America. The product names, contents, prices and availability are subject to change 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. All other brand names mentioned herein are either trademarks or registered trademarks of their respective owners and are hereby recognized as such.

Nomad is a registered trademark of Aonix and is used by Creative Technology Ltd. and/or its affiliates under license.

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