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CREATIVE DELIVERS HIGH PERFORMANCE PC-DVD TECHNOLOGY TO MICRONPC.COM CUSTOMERS

Creative Labs DVD/Dolby Decoder Enables PC User to Experience Cinema-Quality Video and Audio

MILPITAS, Calif. - December 9, 1999 - Creative Technology Ltd. (NASDAQ: CREAF), the leading provider of multimedia solutions for personal entertainment, today announced that Micronpc.com (NASDAQ: MUEI), a leading direct vendor of e-services and personal computer systems, is now offering Creative DxrTM3 Decoder technology on its Millennia Desktop Systems. The Creative Dxr3 Decoder board enables PC users to watch high-definition MPEG-2/DVD video on their PC or TV while offering outstanding clarity and smooth full-screen imagery. The Dxr3 decoder board delivers flawless image quality and provides enhanced processing of color video at high resolution. It supports up to 1600x1200 resolutions to work with today's advanced graphics adapter technology on PCs.

The Creative Dxr3 Decoder board features DynamicXtended ResolutionTM (Dxr3) picture enhancement technology for playback of high-definition video with smoother full-screen video images on the PC. The decoder board provides a room-thundering, cinema-quality Dolby Digital (AC-3) audio experience by connecting to the Cambridge SoundWorks DeskTop Theater 5.1 speaker system or to an amplifier/receiver for an immersive six channels of full surround sound effects. Creative Dxr3 Decoder board works on a Pentium 166 MHz PC and provides greater clarity over other MPEG-2 decoders. In addition, the Dxr3 hardware based decoder is more efficient than software-based DVD decoders.

"Creative is proud to offer Micron the latest in PC-DVD Dxr3 technology from its award-winning line of PC-DVD Encore solutions," said John Troutman, vice president & general manager of Creative Labs, Malvern. "The Creative Dxr3 Decoder card will offer Millennia home office PC users an opportunity to experience sharper cinema quality DVD video."

"We are excited to be offering Creative Lab's next-generation of PC-DVD technology," said Jeff Moeser, vice president of product development for Micronpc.com. "Micron strives to deliver innovative video and audio solutions to its customers for the ultimate in technology and performance."

Additional Features and Benefits

• Dynamic De-Interlacing - 6-tap filtering and scaling techniques virtually eliminate "combing" effects or artifacts that may appear around fast-moving objects to provide sharp, crisp, clean video images
• Advanced Video Color Processing - Processor fully utilizes the on-board 24-bit DAC for sharper images and crystal clear displays
• Graphics Adapter Technology - Dxr3 keeps up with fast-paced graphics adapter technology by supporting Windows resolutions of up to 1600x1200 at 85Hz. Dxr3 works with the graphics adapter to eliminate the need to adjust the PC monitor's resolution when watching movies on the PC
• DVD Player for your TV - Plug in PC-DVD Dxr3 decoder board to the TV with S-Video or Composite connections and watch movies from the comfort of the living room.

For more information on Creative's entire line of entertainment solutions for the PC, please visit our web site at www.creative.com.

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Sound Blaster and Blaster are registered trademarks of Creative Technology Ltd. All other products mentioned herein are trademarks of their respective owners and are hereby recognized as such.