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CREATIVE SOUND BLASTER AUDIGY MAXIMIZES DIGITAL ENTERTAINMENT EXPERIENCE ON GATEWAY PCs

MILPITAS, CA - April 29, 2002 - Creative Technology Ltd. (NASDAQ: CREAF), the worldwide leader in digital entertainment products for users of the personal computer and the Internet, today announced that Gateway, Inc. will equip its Gateway 700 series PCs with the award-winning Sound Blaster Audigy sound card. Gateway will also offer the Sound Blaster Audigy as an upgrade option on its Gateway 500 series PCs. The Gateway 700 series is specifically designed for the most demanding applications such as gaming, digital audio and digital video production. With its power to deliver superior audio, the Sound Blaster Audigy enables Gateway customers to experience their favorite digital entertainment applications with sound quality that surpasses many home theater systems.

The Sound Blaster Audigy set a new benchmark for PC audio with its industry leading Audigy ADVANCED HD 24-bit 96kHz 100dB SNR audio architecture. Winner of the "Kick Ass" award and "Gear of the Year" from Maximum PC, the Sound Blaster Audigy has also received prestigious "Editor's Choice" awards from PC Gamer, PC Magazine, Computer Games, CNET, and ZDNet. Powered by the Audigy processor, Sound Blaster Audigy delivers multi-channel audio clarity comparable to professional audio systems and surpasses many high-end home stereo solutions with exceptional realism in audio playback. Sound Blaster Audigy is the only audio processor capable of delivering EAX ADVANCED HD, which enables high definition Multi-Environments and powers advanced 3D audio imaging and music customization tools for unsurpassed digital entertainment experiences.

"The Creative Sound Blaster Audigy offers Gateway customers the best audio quality available on the PC," said Steve Erickson, VP of audio for Creative. "For surround sound home theater quality from DVD movies, and digital audio playback that sounds like it's coming from a high-end stereo system, this addition can't be beat."

Two Creative SB1394 ports are integrated with the Sound Blaster Audigy for Gateway PCs. Creative SB1394 is an IEEE-1394a /SBP-2 compliant interface that provides a high-speed serial input/output (I/O) digital connectivity solution. SB1394 enables PC to PC connectivity, PC to digital device and PC to external drive connectivity for fast and easy content transfer. SB1394 also establishes superior peer-to-peer networking capability with other PCs equipped with IEEE-1394 and low-latency networking capabilities for a competitive edge in local area network (LAN) gaming.

Gateway customers can order their Gateway 700 and Gateway 500 series PCs with the Creative Sound Blaster Audigy now by calling 800-846-2106, via the company's Web site at www.gateway.com or at one of the Gateway stores nationwide. More information about Creative Sound Blaster products can be found at www.creative.com or www.soundblaster.com.

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This announcement relates to products launched in the United States. The product names, prices and availability are subject to change without notice and may differ elsewhere in the world according to local factors and requirements. Sound Blaster and EAXare registered trademarks, and Audigy, SB1394 and EAX ADVANCED HD are trademarks 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. and/or its affiliates under license. Gateway is a registered trademark of Gateway, Inc. All other brand or product names mentioned herein are trademarks or registered trademarks of their respective owners and are hereby recognized as such.