Compaq TrueQ Sound and Motion Delivers Breakthrough Technology on a Home PC
-- Compaq Presario Home PCs Outpace Packard Bell in Independent Tests

NEW YORK, September 13, 1995 -- With the announcement of the new Compaq
Presario 5500 and 9500 home PCs, Compaq Computer Corporation (NYSE:CPQ)
delivers breakthroughs in audio and video technology that surpass the
multimedia capability previously available on a home PC. In independent
laboratory testing, the Compaq Presario with TrueQ Sound & Motion
delivered almost double the performance over a comparable Packard Bell
model in key benchmark tests.

Anchored by Compaq's new TrueQ Sound and Motion Technology, the new Compaq
Presario 5500 (all-in-one PC) and 9500 (minitower) Series offer
outstanding video and audio performance, high-quality multimedia monitors
with powerful speakers, voice recognition capability and an intuitive
software interface that makes the computer easy to use -- a combination of
features that no other home computer can deliver.

"Compaq's strong engineering expertise together with innovative
technologies from companies such as S3, Spatializer Audio Laboratories,
Inc., and PureSpeech, enable us to provide consumers with unparalleled
multimedia capabilities," said Ross Cooley, Senior Vice President and
General Manager, Compaq North America.

COMPAQ TRUEQ SOUND AND MOTION

A key element of Compaq-developed technology, Compaq's new TrueQ Sound and
Motion offers sensational video and audio capability by implementing
hardware-based MPEG video support, Wavetable Synthesis (optional on
Presario 5500 models), Spatializer 3-D Stereo surround sound and high
fidelity speakers. The following information details these key
differentiating features found in Compaq products.

COMPAQ TRUEQ MOTION HARDWARE-BASED MPEG

Compaq's TrueQ MPEG video support allows full screen, full-motion video and
CD-quality audio to be played at any window size without sacrificing
performance. The result is consistent high-quality multimedia, precisely
synchronized, that will allow consumers to seamlessly interact with the
latest CD-ROM software programs while enjoying TV-quality playback at a
full 30 frames per second (fps). This implementation is ideal to play the
MPEG-based software titles available today and for the upcoming
MPEG-oriented interactive games that demand optimum system performance.

In independent testing by National Software Testing Laboratories (NSTL), a
leading independent computer testing laboratory, Compaq's TrueQ MPEG
solution provided almost double the performance of the MPEG video playback
on a comparable Packard Bell Legend premium model (NOTE 1).

The Compaq Presario 9546 minitower was compared against the Packard Bell
Legend 812CD, each with a 100-megahertz Pentium processor and 8 megabytes
of RAM.

The benchmark tests compared frame rate, CPU utilization, and audio
playback bandwidth under both Windows 3.1 and Windows 95, and then
weighted the categories to come to an overall score. The performance
results are as follows:

NSTL BENCHMARK PERFORMANCE RESULTS

FRAME RATE: The Packard Bell Legend 812CD was not able to sustain full
frame rate, with dropped frame percentages ranging from 20 to over 60
percent, while Compaq's Presario 9546 played broadcast quality video at a
full 30 fps, resulting in the Packard Bell picture to be choppy.

CPU UTILIZATION: The Packard Bell Legend monopolized 60 percent of its CPU
processing power during MPEG decoding, while the Compaq Presario only used
17 percent of the CPU's processing power.

AUDIO BANDWIDTH: The Packard Bell model had a very noticeable limit at
higher frequencies, never attaining high end response above 12 Khz, versus
true stereo quality of 44 Khz.

OVERALL: For the consumer, this means that Compaq's TrueQ MPEG video is
smooth, full-motion and in-sync with the audio -- without taxing the
microprocessor.

COMPAQ TRUEQ SOUND

Compaq's TrueQ Sound system provides a new standard of audio performance on
a home personal computer. This new audio performance enhances multimedia
software titles, games and digitally recorded music. In independent audio
tests by NSTL, Compaq's TrueQ Sound was found to be superior to that of
Packard Bell's Legend system.(NOTE 2) For the audio benchmark tests, NSTL
used the same systems as used for the MPEG tests, and compared speaker
frequency response, distortion, sound pressure level, signal-to-noise
ratio, total harmonic distortion and noise response, line-out frequency
response, listening test and output power.

WAVETABLE SYNTHESIS

As evidenced by its acceptance among musicians and computer enthusiasts,
wavetable synthesis is a technology that enables general MIDI files, or
digitally recorded sound files of actual instruments, to be played with
remarkable realism. MIDI files are embedded in the majority of today's
computer games and multimedia presentation, entertainment and
music-oriented applications -- typically, no additional drives are
needed.

To access these sound files, you normally need to have a separate add-in
board which can cost from $200 to $500. By integrating this technology
into the Presario 9500 Series (optional for Presario 5500 Series), Compaq
is able to offer access to this superior sound at a surprisingly
affordable price.

Most other computers and ad-in boards today use a process called FM
synthesis to play MIDI files, but that typically makes the sounds seem
tinny and computerized. Wavetable Synthesis has several benefits:

* Generates realistic sounds in games and edutainment applications,

* Supports 16-bit stereo at 44 Khz sample rate
  (same rate as music CDs)

* Supports 128 sampled melodic instruments, 47 sampled percussion
  instruments (actual recorded instruments) with 32 note polyphon
  (32 notes can be played at one time), allowing realistic playback
  of MIDI files

3-D STEREO SOUND FROM SPATIALIZER

Another major component of Compaq's TrueQ Sound is three-dimensional audio
technology, provided by Spatializer Audio Laboratories, Inc., which
delivers the most powerful, robust 3-D surround sound from only two
conventional speakers to existing stereo recordings and multimedia
software programs. The technology also gives multimedia game developers an
effective way to steer sounds outside the speakers and around the listener
in coordination with on-screen action.

In the new Presario 5500 and 9500 models, consumers can enhance their
multimedia experience by activating this feature. Spatializer technology
was originally developed for the professional recording industry, and it
has become a standard 3-D audio tool used by recording and broadcast
engineers throughout the world.

NEW PRESARIO MULTIMEDIA MONITORS, SPEAKERS FOR PRESARIO 9500 SERIES

Compaq's innovative audio technology is augmented by the introduction of
new multimedia monitors with detachable high fidelity speakers that have
the acoustic output capability to effortlessly fill an entire living
room.

Designed specifically to optimize the enhanced audio functionality of the
Compaq Presario 9500 Series, the new Compaq Presario 1400 and 1500
Multimedia Monitors offer high performance multimedia support, volume
control and full-duplex speakerphone.

Users will experience sensational sound when they play their favorite game
or music CDs with the integrated amplifier with fixed equalizer for high
fidelity sound.

The audio system consists of several components, each designed to work
concurrently with the monitor and main microprocessor. For example, the
audio power supply is actually an extension of the monitor power supply.
This reduces the number of connections and wires, as compared to an
externally powered audio system. The built-in power amplifier supports a
peak output of 20-watts per channel, which is comparable to a 40-watt home
mini-stereo system. And the built-in audio system equalizer, a four-stage
design, allows for designing components based on the components
surrounding them.

The equalization for the loudspeaker enables the speaker to be designed for
maximum efficiency and reliability at critical frequencies and reduces
compromised performance due to mechanical or acoustical side effects.

At the heart of the audio system is a unique acoustic transducer designed
to perform like no other loudspeaker. The extended low frequency response
and compact size of the speakers is due in part to the long throw
capability and high motor strength of the transducer.

When used with the Presario 9500 Series, the new plug and play monitors
also feature:

  Full duplex speakerphone capability with high quality acoustic sound
  Unique 45-degree "tool-less" detachable speaker design
  Conveniently located volume control knob
  Resolution support for 1024 x 768 (non-interlaced)
  Analog and digital front panel controls with built-in volume control

The Compaq Presario 1400 Multimedia Monitor (12.9-inch viewable display
area), is priced at $399 (NOTE 3) and the Presario 1500 (13.7-inch
viewable display area) at $499.

CORPORATE BACKGROUND

Compaq Computer Corporation is the world's largest supplier of personal
computers, offering desktop PCs, portable PCs, and servers. Founded in
1982, the company reported 1994 worldwide sales of $10.9 billion. Compaq
products are sold and supported in more than 100 countries through a
network of more than 38,000 Compaq marketing partners. Compaq also sells
directly to customers through Compaq Direct Plus at 1-800-888-5858. Compaq
provides 24-hour customer support and can be reached through the Compaq
forums on America Online, CompuServe, Internet, and Prodigy, or by calling
1-800-345-1518.

NOTES 1: Based on NSTL Report: Comparative Analysis of MPEG
         Implementation, August 1995

      2: Based on NSTL Report: Comparative Analysis of Audio
         Sub-systems, September 1995

      3: All prices listed herein are estimated US retail
 
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