Microsoft and Acer America Bring Affordable Internet Access, PCs to Consumers

SAN JOSE, Calif., and REDMOND, Wash., Sept. 21, 1999 — Microsoft Corp. and Acer America Corp. today announced a program that provides more people with access to today’s fastest-growing technology. Designed to overcome economic barriers to home computing, Microsoft and Acer’s First PC program enables people to purchase an Acer computer with MSN TM Internet Access at a truly affordable price.

A large number of all U.S. households do not yet own a PC. The First PC program makes it easy and affordable for people to purchase an Acer Aspire computer equipped with an Intel Celeron 400MHz processor, a 15-inch color monitor, a printer and MSN Internet Access for as little as $49 a month.*

“Microsoft is committed to enabling as many people as possible to experience the benefits of PCs and the Internet,”
said Rob Bennett, director of marketing for the Consumer and Commerce Group at Microsoft.
“The First PC program makes it simple for consumers to get a new PC and get online with MSN Internet Access all at once.”

“This program looks to the future,”
said Pyramyth Liu, director of ShopAcer.
“It provides first-time PC users and modest-income families with a chance to keep in step with today’s technology for tomorrow’s applications. More important, it opens doors to educational enhancement and social awareness to children via the Internet, leveling the playing field for all students.”

A report by the U.S. Department of Commerce titled
“Falling Through the Net,”
published in 1998, indicated that the gap between the technology
“haves”
and
“have-nots”
is widening. Although technological literacy will be a key component for economic advancement in the next century, the number of families who are unable to afford computers is growing.

The First PC program aims to do just this. By providing affordable solutions to consumers, First PC can help ensure that more Americans enter the 21st century on an equal technological footing.

The First PC program is being introduced initially in four test markets: Baltimore, Dallas, Phoenix and Columbus, Ohio. Microsoft and Acer also plan to reach consumers through an extensive direct mail campaign begun in late August. Brochures and applications arriving in the mailboxes of households in the four test markets also offer a toll-free number to get more information from ShopAcer, Acer America’s e-commerce and storefront sales destination.

About Acer America Corp.

Acer America Corp., based in San Jose, Calif., is a member of the Acer Group, the world’s third-largest PC manufacturer, according to International Data Corp. Acer is also one of the world’s top manufacturers of computer components and peripherals. The Acer Group’s total revenue for 1998 was $6.7 billion (U.S.). The Acer Group currently employs more than 28,000 people who support distributors and dealers in over 130 countries. ShopAcer, Acer America’s
e-commerce and storefront sales destination, sells Acer Aspire systems and TravelMate notebooks to the consumer market. Found on the Internet at http://www.shopacer.com/ , the site also features upgrades and additional accessories for the Aspire and TravelMate lines, as well as other software, accessories and peripherals to use with any system.

About MSN

MSN is the network of Internet services from Microsoft that helps people better organize the Web around what’s important to them. The network of MSN services, located on the Web at MSN.com ( http://MSN.com/ ), helps people easily stay in touch with friends and colleagues, make smart and secure purchasing decisions, and get more done. MSN offers award-winning e-mail functionality; personal communications services; wireless services information; customizable access to news; popular sites for travel, investing, automotive services, shopping and more; an online community; a Web search engine and directories; and top-rated Internet access.

About Microsoft

Founded in 1975, Microsoft (Nasdaq
“MSFT”
) is the worldwide leader in software for personal computers. The company offers a wide range of products and services for business and personal use, each designed with the mission of making it easier and more enjoyable for people to take advantage of the full power of personal computing every day.

*Minimum monthly payments as low as $49 with approved credit. Certain jurisdictional requirements apply. Offer Expires 9/30/99. Additional offer restrictions may apply.

Microsoft and MSN are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

Other product and company names herein may be trademarks of their respective owners.

Note to editors: If you are interested in viewing additional information on Microsoft, please visit the Microsoft Web page at http://www.microsoft.com/presspass/ on Microsoft’s corporate information pages.

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