Press Relations

Press Releases

CREATIVE LICENSES S3 TEXTURE COMPRESSION TECHNOLOGY

MILPITAS, Calif. - March 15, 2004 - Creative Technology Ltd. (NASDAQ: CREAF), a worldwide leader in digital entertainment products for PC users, today announced its licensing of S3 Texture Compression (S3TC) technology. S3TC enables complex graphics textures to be compressed by a factor of four, effectively quadrupling the amount of texture imagery that can be stored and processed on graphics accelerators produced by Creative.

"With this licensing agreement, Creative and S3 Graphics can work together to distribute the technical excellence of S3TC and drive continued 3D momentum," said Dr. Gerry Liu, vice president of marketing for S3 Graphics.

"Creative realizes the valuable advantage and potential that S3TC can provide next-generation graphics accelerators," said Steve Mosher, vice president at Creative. "By licensing S3TC technology, with its texture compression ratio of four to one, we can enhance our graphics arsenal by enabling future iterations of products to process memory-intensive images more precisely."

About Creative

Creative (Nasdaq: CREAF) is a worldwide leader in digital entertainment products for PC users. Famous for its Sound Blaster® sound cards and for launching the multimedia revolution, Creative is now driving digital entertainment on the PC platform with products like its highly acclaimed NOMAD® Jukebox MP3 player. Creative's innovative hardware, proprietary technology, applications and services leverage the Internet, enabling consumers to experience high-quality digital entertainment ┬ĘC anytime, anywhere.

About S3 Graphics

S3 Graphics Co., Ltd., a VIA Technologies joint venture company, is a leading supplier to the 3D enabled PC graphics market it pioneered. Today, S3 Graphics ships high performance consumer graphics cards to desktop board manufacturers and low power, high performance, Commercial Grade 3D graphics sub-systems to top tier notebook manufacturers. In addition, S3 Graphics integrates market-leading chipset technology from VIA Technologies, Inc. into shared memory architecture products for the high volume, value PC market. Headquartered in Fremont, California, S3 Graphics has a long-term commitment to top performance, quality and state-of-the-art features for desktop and mobile applications. Additional information can be found at the Company's website at www.s3graphics.com.

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Sound Blaster is a registered trademark of Creative Technology Ltd. in the United States and/or other countries. NOMAD is a registered trademark of Aonix and is used by Creative Technology Ltd. and/or its affiliates under license. All other brand or product names are trademarks of their respective owners.

CONTACT INFORMATION:
Jennifer Ellard
Creative Labs, Inc.
(408) 546-6407
jennifer_ellard@creativelabs.com