Microsoft Hosts Financial Analyst Meeting

REDMOND, Wash., July 24, 2003 — Today at the Microsoft®
Financial Analyst Meeting, Microsoft Corp. Chairman and Chief Software Architect Bill Gates, Chief Executive Officer Steve Ballmer and other top executives will outline the company’s strategies for continued business success in fiscal 2004 and beyond. The event will be webcast for the public on the Microsoft Investor Relations section of .

More than 300 analysts, investors and journalists are expected to gather at the company’s Redmond, Wash., campus to attend the annual event, which will feature demonstrations of some of Microsoft’s newest products and reports on Microsoft’s progress in consumer and business markets.

“Microsoft’s family of products delivers greater value and meets the needs of our customers more effectively than ever before,”
Ballmer said.
“Our deep and sustained investments in innovation are producing great results, and we’re accelerating them this year to provide customers with more cutting-edge technology and even better value.”

Microsoft Road Map Targets Continued Innovation

During the meeting, Microsoft will unveil plans to further strengthen its commitment to innovation by increasing investment in research and development by as much as 8 percent during the current fiscal year to a total of as much as $6.9 billion, including equity compensation expense. The company also plans to expand its work force by 4,000 to 5,000 positions worldwide during the fiscal year. That includes 3,000 to 3,500 positions in the United States.

Webcast Begins at 8 a.m.

The webcast of the summit will run from 8 a.m. to 6 p.m. In addition, the session will be archived on the Microsoft Investor Relations Web site, , under Speeches and Events. Visitors to this site can read transcripts of the presentations, view slides or watch a replay of the audio/video presentation.

About Microsoft

Founded in 1975, Microsoft (Nasdaq
) 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.

Microsoft is a registered trademark 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 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 .

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