Gateway 2000 launches "Fastest PC in the World"

Loaded configurations start under $3,000

NORTH SIOUX CITY, S.D., April 17, 1995 -- Gateway 2000 (Nasdaq: GATE) again
staked its claim as the PC company that brings the latest technology to
market at the best value with today' s announcement of the P5-120XL and
the P5-120 Best Buy, both based on the Intel Pentium microprocessor and
Triton PCI chipset. Both models also come standard with 16MB of
performance-boosting EDO (extended-data-out) memory with 256K pipelined
burst cache.

The P5-120XL integrates the new 120MHz Pentium microprocessor with
everything PC users want in a high-performance multimedia system,
including a new home stereo-style CD-changer, for only $3,999. Gateway is
also offering the robustly-configured P5-120 Best Buy model for only
$2,999.

"The P5-120 PCs are the most incredible systems we've ever offered," said
Ted Waitt, chairman and CEO of Gateway 2000. "Industry standard benchmark
tests show that the P5-120 is up to 30 percent faster than a 100MHz
Pentium PC, and recent reviews in the trade publications prove that the
P5-120XL is the number one PC in the market. PC/Computing even called it
the Fastest PC in the world'. Gateway is loading our systems with extra
value and offering these fully-configured, powerhouse PCs at unbeatable
prices."

Standard features of the P5-120XL include the Gateway-exclusive 4X
(quadruple-speed) three-CD changer and a new 1.6GB enhanced IDE hard drive
with Mode 4 support. The system also includes a 17-inch Gateway Vivitron
monitor, based on Sony Trinitron tube technology, plus an ATI Mach 64
video card with 2MB VRAM for unmatched video performance. The system' s
built-in Telepath IIv Communication Center provides for easy connection to
on-line services and features a 14,400bps fax/modem with a telephone
answering device. The tower-style case provides plenty of room for
expansion.

The P5-120 Best Buy also comes with 16MB EDO memory and 256K pipelined
burst cache. This model includes a 1.2GB IADS STATE 1GB, enhanced IDE hard
drive, a 4X CD-ROM drive, a high-performance video card with 2MB of DRAM,
and a 15-inch Vivitron monitor. The P5-120 Best Buy comes in a desktop
case.

Record-setting performance

The P5-120XL, by coupling Intel's leading-edge processor with a pipelined
burst cache and EDO memory, hit a record-setting overall score of 193 on
Ziff-Davis' Winstone 95 version 1.0 benchmark, in tests reported in the
April 25, 1995, issue of PC Magazine. Faster overall performance means the
user can accomplish complex work-related tasks more quickly. Multimedia
educational and game software is also more enjoyable because it runs
faster with smoother, more realistic motion.

The P5-120 features the Triton PCI chipset provides substantial performance
benefits over previous Pentium chipsets. These benefits include increased
bandwidth from the PCI bus to system memory and support for newer memory
technologies, such as pipelined burst and EDO memory. The Triton chipset
also supports IDE Mode 4, which increases paths between the hard drive and
the processor, allowing more information to travel faster, thus boosting
data transfer rates and decreasing access times.

The P5-120 comes standard with 256K pipelined burst SRAM cache and 16MB of
EDO DRAM. The EDO memory improves speed by reducing the number of wait
states, the time the CPU sits idle waiting for instructions. The
combination of SRAM and EDO DRAM increases the system' s overall
performance by up to 15 to 20 percent compared to systems that utilize the
traditional standard SRAM L2 cache and FPM (Fast Page Mode) DRAM memory.

CD-ROM changer convenience

The 4X three- CD changer allows faster and easier use of today's CD-ROM
based software. Users can load up to three CDs into the changer and switch
among the three discs without handling the CDs. The changer supports
multi-session photo CDs and XA format, and features a headphone jack,
volume control, skip function, play indicators and play/pause controls,
all at the user's fingertips.

Audiophile sound system

Gateway has packaged Ensoniq's 16-bit wavetable sound card with
audiophile-quality Altec-Lansing ACS-31 speakers to give P5-120XL owners
one of the best sound systems available in any PC. The Ensoniq Soundscape
card uses wavetable synthesis - digitally recorded samples of over 150
instruments - to simultaneously produce up to 32 voices. Altec Lansing's
ACS 31 three-piece speaker system incorporates a separate, powered
subwoofer to deliver full-range audio sound.

Build to order

Gateway 2000 offers customers the flexibility of build-to-order or
pre-configured systems. Customers who want to do so can customize any
Gateway 2000 PC by ordering memory upgrades and selecting from a wide
variety of hard drives, video cards, monitors, fax/modems, network cards
and tape backup units. The company also offers a choice of the AnyKey
programmable keyboard or a standard 101-key keyboard. In addition to
build-to-order PCs, Gateway offers a wide range of standard
configurations, carefully specified to provide customers the latest
technology in a value-packed system.

Software and support

The P5-120 comes with MS-DOS 6.22, Windows for Workgroups 3.11, Microsoft
Office Professional 4.3, Microsoft Bookshelf and Microsoft Money 3.0, all
preloaded and ready to run as soon as the system is turned on.

Gateway 2000 has consistently been awarded top honors for service and
reliability by the readers of PC Magazine. Gateway 2000 has been given a
grade of "A" the last four times in PC Magazine 's twice-yearly Service
and Reliability Survey. All Gateway 2000 desktop systems come with
lifetime toll-free technical support, 30-day money-back guarantee,
three-year parts warranty and membership to the Gateway 2000 electronic
bulletin board system.

Technical support and customer service are also available through a FaxBack
service, an automated order inquiry telephone system, an interactive
voice-response system and forums on the most popular electronic services,
such as CompuServe, America OnLine, GEnie and Prodigy. On-site service is
provided at no additional charge during the first year if Gateway
technicians determine it is necessary.

About Gateway 2000

Gateway 2000, a Fortune 500 company founded in 1985, currently sells more
PC-compatible systems through the direct market channel in the United
States than any other PC manufacturer. Gateway 2000 is also the leading
U.S. market supplier of systems based on Intel's leading-edge Pentium
microprocessor. The company' s 1994 sales were $2.7 billion. Gateway 2000
is listed on the Nasdaq market as GATE.

Gateway 2000
610 Gateway Dr
PO Box 2000
North Sioux City, SD 57049-2000
605-232-2000,  800-846-2000,  fax 605-232-2023

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