Gateway Promotes MSN 8 Internet Software

REDMOND, Wash., May 9, 2003 — Microsoft Corp. and Gateway Inc. have joined forces to offer MSN®
8 Internet Software and MSN 8 dial-up access preloaded on all Gateway consumer PCs. The relationship between the two companies makes Gateway the first computer manufacturer to offer both MSN 8 Internet Software, which can be used with any Internet service, and MSN 8 dial-up Internet access. Consumers also can sign up at Gateway stores to receive a CD to download the software, which includes advanced communications, browsing and enhanced online safety features.

“The boom in broadband Internet usage increases the need for software that allows consumers to more easily and effectively communicate, browse and help protect their PCs and families while online,”
said Richard Bray, vice president of MSN.
“We teamed up with Gateway, a company that consumers trust and appreciate, because it can help us reach and demonstrate to millions of consumers that there is a better way to get more from their high-speed connection: It’s via MSN 8.”

“We chose MSN 8 because it enables consumers to access all the great MSN features, regardless of whether they are using a dial-up or high-speed broadband service,”
said Mark Steele, vice president of access services at Gateway.
“Our goal is to give our customers the best possible experience while using Gateway PCs, and we think MSN 8 helps them achieve this online.”

Consumers who sign up for MSN 8 Internet Software through Gateway will receive two free 1 months of the premium service and will pay $9.95 a month 2 thereafter. Those who opt for MSN 8 dial-up access, which includes the premium software and a dial-up Internet connection, will receive three months of free 3 service and will pay $21.95 a month 4 thereafter.

The relationship with Gateway is the latest Microsoft has struck to make it easier to subscribe to MSN 8. Leading broadband providers also recognize the value of MSN 8 Internet Software and have begun to offer it as a subscription service to their customers.

MSN 8 Internet Software and MSN 8 dial-up access provide a premium package of services. It allows subscribers to eliminate spam via filters that get smarter over time, closely monitor and regulate the online activity of their children through parental controls, and navigate the Internet and their PC more efficiently via a streamlined user interface and personalized on-screen dashboard.

About MSN

MSN has 8.7 million subscriptions and attracts more than 300 million unique users worldwide per month. With localized versions available globally in 34 markets and 18 languages, MSN is a world leader in delivering Web services to consumers and digital marketing solutions to businesses worldwide. MSN 8 is the first Internet software product to have earned the trusted Good Housekeeping Seal. The most useful and innovative online service today, MSN brings consumers everything they need from the Web to make the most of their time online. MSN is located on the Web at http://www.msn.com/ . MSN worldwide sites are located at http://www.msn.com/worldwide.ashx .

About Gateway

Since its founding in 1985, Gateway (NYSE
“GTW”
) has been a technology and direct marketing pioneer, using its call centers, Web site and network of retail stores to build direct relationships with consumers, businesses, government offices, schools and universities. Gateway is America’s second most admired computer company, according to Fortune magazine,* and its PC products and services received more than 90 awards and honors last year. Its rapidly growing line of Gateway-branded products includes plasma-screen displays, DLP projectors, tablet PCs and systems and networking products and services. For more information, visit http://www.gateway.com/ .

* Source: Fortune magazine, March 3, 2003

About Microsoft

Founded in 1975, Microsoft (Nasdaq
“MSFT”
) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software — any time, any place and on any device.

1 Details of Two Month Free MSN 8 Internet Software plan: Internet access service is not provided; you must have existing Internet access service. MSN 8 Internet Software is for users of the Windows®
98 or later operating systems only. You must additionally subscribe to MSN 8 Internet Software in accordance with its Subscription Agreement to access the software. This MSN 8 Internet Software promotion is only available to new subscribers that are residents of the 50 United States, the District of Columbia and U.S. Territories. A major credit card is required. Following your trial period, $9.95 or the then-current price for the standard monthly MSN 8 Internet Software plan will be automatically charged to your credit card until you cancel your subscription or select an alternative plan. MSN is available only for personal noncommercial use. May not be combined with any other Microsoft offers or rebates. Prices subject to change. Promotion expires June 30, 2003.

2 To avoid being charged a monthly fee, cancel before promotional period ends. Promotional period begins on the date of registration. A subscription to a Broadband service required for the
“Bring Your Own Access”
offer for an additional monthly fee. Members must be 18 years or older, in the United States; major billing method is required. Premium services carry surcharges and communication surcharges may apply in certain areas including in Alaska. Offer available to new MSN broadband subscribers only. Limited time offer.

3 Details of Three Month Free MSN 8 Internet Access plan: MSN Internet Access is for users of the Windows 98 or later operating systems only. You must additionally subscribe to MSN Internet Access in accordance with its Subscription Agreement to access the service. Offer is only available to new MSN Internet Access subscribers in the 50 United States, the District of Columbia and Puerto Rico. A major credit card is required. Following your trial period, $21.95 or the then-current price for the MSN Standard Unlimited Access Plan will be automatically charged to your credit card until you cancel your subscription or select an alternative plan. MSN is available only for personal noncommercial use. Additional telephone and/or long-distance toll charges may apply. It is the customer’s responsibility to check with their phone company to determine if additional phone charges may apply. Local market network activity and capacity may affect access availability. Offer may not be combined with any other Microsoft offers or rebates. Prices subject to change. Promotion expires June 30, 2003.

4 To avoid being charged a monthly fee, cancel before promotional period ends. Service must be canceled even if account was never accessed to avoid monthly charges. Promotional period begins on date of registration. You may incur surcharges even during promotional period for premium services, or long-distance charges on your phone bill, depending on location and calling plan. For details and access numbers call (800) 386-5550. Check with your local phone company to determine whether the access number you select is a local call for your calling plan. New U.S. members 18 and older only. Limited time offer.

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

The names of actual companies and products mentioned herein may be the 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. Web links, telephone numbers and titles were correct at time of publication, but may since have changed. For additional assistance, journalists and analysts may contact Microsoft’s Rapid Response Team or other appropriate contacts listed at http://www.microsoft.com/presspass/contactpr.asp .

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