Microsoft on Top of Its Game With Launch of Exciting New Gaming Peripherals

LEIPZIG, Germany - Aug. 23, 2006 - Today at the Games Convention in Leipzig, Germany, Microsoft Corp. unveiled several new products to enhance its gaming line - the Microsoft® IntelliMouse® Explorer 3.0, Xbox 360 Wireless Controller for Windows® and Habu mouse in alliance with Razer USA Ltd. Guided by consumer feedback, these new products address specific gamer demands and demonstrate Microsoft Hardware's increased focus on the PC gaming market.

Back by popular demand, the original IntelliMouse Explorer 3.0 offers gamers award-winning industrial design, unmatched optical tracking performance and superior comfort. The Xbox 360 Wireless Controller for Windows delivers a next-generation gaming experience on the PC and Xbox 360. Also announced today, Habu provides adjustable side buttons and up to 2000 DPI laser tracking in a comfortable design.

Extreme Makeover: Mouse Edition

Microsoft's IntelliMouse Explorer 3.0, built on the original IntelliMouse Explorer design, delivers maximum precision and superior control for gameplay on the PC. Its ergonomic design and wide footprint provide outstanding comfort and stability, and extraordinary tracking accuracy delivers superior reliability and performance, making this mouse ideal for gaming. With its new look and feel, IntelliMouse Explorer 3.0 still has all the great features that gamers have been demanding and now includes improved mouse feet for smoother gliding.

"We are reintroducing IntelliMouse Explorer 3.0 in response to the demand from PC gamers worldwide," said Melissa Dewick, product marketing manager for Microsoft Hardware at Microsoft UK. "People were literally carrying around their IntelliMouse Explorer 3.0s in protective glass cases, and rightly so - there isn't a mouse on the market that can beat this design for comfortable play and precision for low-sensitivity first-person shooter games."

Microsoft IntelliMouse Explorer 3.0 offers these advanced features for the ultimate gaming experience:

· 9,000 frames per second provides unmatched frame-rate performance for superior tracking accuracy.

· Precision Booster enables gamers to switch between default and precision mode for enhanced control.

· Gaming Toggle lets gamers easily switch between favourite weapons or program frequently used action sequences - all with the touch of a button.

· Scroll wheel with detents results in amazingly accurate in-game weapons changing and scrolling.

Gamers and enthusiasts can get an inside look at IntelliMouse Explorer 3.0 by visiting http://www.ri53aga1n.com.

Cross-Platform Control

The new controller, a wireless version of the successful Xbox 360 Controller for Windows, delivers a consistent next-generation gaming experience across the PC and Xbox 360. Designed by the Xbox 360 gaming team, the controller features the following:

· 2.4 GHz wireless technology with up to a 30-foot range

· Adjustable vibration feedback for longer battery life

· Precise thumb sticks

· Two pressure-point triggers

· Eight-way direction pad for enhanced PC gaming

· Integrated headset jack for PC headsets

The new Xbox 360 Wireless Controller for Windows is a superior wireless gaming controller that works with Windows XP-based PCs and the Xbox 360 system to deliver a consistent entertainment experience across Microsoft's gaming platforms.

Razer Alliance

Also announced today by Microsoft is its exciting new alliance with Razer, resulting in a co-developed gaming mouse, Habu. The new gaming mouse brings together cutting-edge innovation and comfort from Microsoft Hardware and best-in-class gaming accessory technology from Razer.

Pricing and Availability

The products announced today will be widely available for the following estimated retail prices*:

· IntelliMouse Explorer 3.0: £34.99 (available October 2006)

· Xbox 360 Wireless Controller for Windows (available December 2006, pricing to be announced closer to launch)

· Habu: £59.99 (available October 2006)

About Microsoft Hardware

For more than two decades, the Hardware Group has employed innovative engineering, cutting-edge industrial design and extensive usability testing to create products of exceptional quality and durability that enhance the software experience and strengthen the connection between consumers and their PC. Microsoft Hardware leads the industry in ergonomic engineering, industrial design, and hardware/software compatibility, offering consumers an easier, more convenient and more enjoyable computing experience. Microsoft's IntelliMouse Explorer, which was launched in 1999, earned a place on PCWorld.com's December 2005 list of

"The 50 Greatest Gadgets of the Past 50 Years" as the first mainstream optical mouse that "brought gunk-free pointing devices" to a broad consumer base.

About Microsoft

Founded in 1975, Microsoft (Nasdaq "MSFT") is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

*Prices are U.K. estimated retail prices. Actual prices may vary.

Microsoft, IntelliMouse, Xbox 360, Windows and Habu 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.

For more information, press only:

Sophie Jackson, 0207 025 6412 sophie.jackson@redconsultancy.com

Eleanor Jones, 0207 025 6570, eleanor.jones@redconsultancy.com

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