Apr 19, 1999

Seagate and WebTV Ship Over Half a Million Disc Drives into the Burgeoning Consumer Information Appliance Market

Seagate Technology, Inc., the world's leading disc drive supplier and pioneer in the consumer information appliance market, announced that it has shipped more than a half million disc drives in WebTV-based products. WebTV Networks, Inc. is the pioneer in delivering entertaining new experiences and information to consumers through the integration of television programming and the Internet.

Seagate also announced plans to ship its new U4 disc drive to WebTV Networks and EchoStar Communications Corp. this quarter (second calendar quarter 1999).

The EchoStar Model 7100 is the world's first satellite receiver with a built-in hard drive, capable of pausing, recording and playing back simultaneously full-quality digital video. The Seagate disc drive helps enable a number of enhanced digital TV features, including "freezing" a TV show for up to 30 minutes and resuming when the subscriber is ready to watch again, automatic recording of several hours of high-quality digital video, and the ability to download video games.

"With over a half million Seagate disc drives in WebTV-based products, we depend on Seagate's industry-leading quality and price/performance," said Tim Bucher, vice president of client platforms development at WebTV Networks. "The EchoStar satellite receiver with WebTV service will revolutionize the TV viewer's experience by integrating digital satellite television programming with the Internet, interactive TV and personal TV capabilities. Seagate's U4 disc drive will give our customers the new level of control and instant access to content that will define the future of TV."

"Seagate is proud to support WebTV Networks and EchoStar Communications in redefining the capabilities of television. The EchoStar/WebTV combination frees viewers from a rigid TV broadcast schedule," said Brian Dexheimer, senior vice president for Desktop Marketing and Product Line Management for Seagate. "Since 1997, Seagate has continued to generate revenue in the home consumer appliance market with our Medalist and U2 disc drives. Our new U4 drive is designed specifically to enable affordable consumer applications and other new systems opportunities. We are excited about helping consumers gain access to virtually unlimited information and entertainment with the touch of a button."

With its vertical integration strength, technology ownership and capabilities in volume manufacturing, Seagate is uniquely positioned for new, unique and affordable consumer platforms like WebTV and EchoStar.

Seagate Technology, Inc. (NYSE:SEG) 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 http://www.seagate.com. 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.

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Seagate and Seagate Technology are registered trademarks of Seagate Technology, Inc. Medalist, U2 and U4 are either trademarks or registered trademarks of Seagate Technology, Inc. or one of its subsidiaries. All trademarks are the property of their respective owners.

This release contains forward-looking statements relating to shipment and delivery of the U4 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 U4 platform. The Company undertakes no obligation to update forward-looking statements to reflect events or circumstances after the date thereof.