Aug 09, 1999

Seagate Introduces Its Third Generation of Disc Drives Engineered for sub-$700 Computers and Consumer Recording Devices

Seagate Technology Inc. (NYSE:SEG) today extended its leadership in disc drives optimized for low-cost computing devices with the introduction of its third generation of "U-series" disc drives, the world's first family designed specifically for use in entry-level home and business computers as well as home electronics. The new models extend the award-winning "U-series" by doubling capacity to as much as 17.2 Gbytes and significantly improving performance. The U8 includes the latest in drive component technology, including GMR heads, Seagate G-Force Protection and the Ultra ATA/66 interface, delivering greater value to sub-$700 PCs.

"Seagate's 'U-series' of disc drives address a growing need for high-value, high-quality storage in desktop computing," said Fred Oh, Acer America Corp. Product Marketing Director. "Seagate's U2 and U4 disc drives help meet growing demand in consumer electronics to capture more robust data for higher performance and increased reliability under demanding conditions. Seagate's new drives also complement Acer's vision of 'XC's' - the next generation of computer products and applications that will transform consumer electronics as we enter the new millenium."

"Compaq Computer Corporation's Consumer PC division delivers the most affordable, well-featured Internet PCs available in the marketplace today," said Tony Dowzall, Director and Co-General Manager, Presario Desktop Division, Compaq Computer Corporation. "Seagate's 'U-series' of disc drives help Compaq deliver the highest-value storage available below $1000, with the same high level of reliability and quality that users expect from Compaq products."

"Integrating Seagate's U4 hard drive helped us to meet our time and cost goals for the HP Brio and Vectra PCs," said Emilio Ghilardi, HP Vectra Mainstream Product Operations Manager. "Building on this success, we're confident the new third generation entry-level U8 drive will qualify for future HP PC platforms."

"Seagate's U2 and U4 have allowed Siemens to meet our customers' requirements ahead of our competition and supply the most reliable systems in the industry," said Rolf Kleinwdchter, Siemens Director of Marketing for Personal Computers. "Their third generation U8 looks to continue this success, and will provide us with industry leading robustness that is undisputed in the marketplace. We look forward to qualifying this reliable entry-level drive."

Beyond the sub-$700 PC market, Seagate's U8 disc drive is engineered to perform in consumer electronics as well. The adoption of disc drives as core recording devices marks a key emerging market in consumer electronics, with disc drive-based home recorders able to record and play back multiple streams of information simultaneously. Such streams can include television programming, music, video games, and Internet content.

Given Seagate's vertical integration and internal technology development resources, the Company is able to offer the "U series" of disc drives at very competitive prices. With WinBench performance expected to match that of traditional mainstream 5,400-rpm drives, the U8 offers the industry's most outstanding value proposition.

Leveraging Seagate's exclusive, proven G-Force Protection, the U8 can withstand up to 350 Gs of shock when not operating and up to 63 Gs of shock when operating - the best in the industry and perfect for the rigors of OEM and reseller integration activities and for home and business environments. This breakthrough in shock tolerance was enabled by leading-edge internal drive enhancements and external shock protection components such as the U8's soft SeaShield cover.

The U8 also ships with Seagate's highly-praised DiscWizard software, dubbed by PC World the "best installation software and the easiest of the software packages to use."

The U8 will be available with capacities of 17.2, 13.0, 8.4 and 4.3 Gbytes. Evaluation units of the U8 are now shipping, with volume OEM availability in September.

Seagate Technology, Inc. is a leading provider of technology and products enabling people to store, access, and manage information. The Company is committed to providing best-in-class products to help people get information when, where and how they want it. Seagate is the world's largest manufacturer of disc drives, magnetic discs and read-write heads, an innovator in tape drives, and a leading developer of Enterprise Information Management software. Seagate can be found around the globe and at For automated news, stock and financial information by phone, dial toll-free 877-SEG-NYSE. Outside the U.S. and Canada, dial 760-704-4368.

All Seagate storage products are "Year 2000"-compliant.


Seagate and Seagate Technology are registered trademarks of Seagate Technology, Inc. DiscWizard is either a trademark or registered trademark of Seagate Technology, Inc. or one of its subsidiaries. All trademarks or registered trademarks are the property of their respective owners.

This release contains forward-looking statements relating to shipment and delivery of the U8 platform. These forward-looking statements are based on current expectations and entail various risks and uncertainties that could cause actual results to differ materially from those projected in the forward-looking statements. These risks and uncertainties include, but are not limited to, the ability of the Company to successfully develop and market the U8 platform. The Company undertakes no obligation to update forward-looking statements to reflect events or circumstances after the date thereof.