MICROSOFT SHIPS BETA RELEASE OF INTERNET EXPLORER VERSION 2.0

New Features Provide More Powerful Web Support, Secure Transactions,
Multimedia, 3-D Capabilities

REDMOND, WASH. -- SEPT. 28, 1995 -- Microsoft Corp. today announced it is
releasing beta copies of the Microsoft Internet Explorer version 2.0, the
newest version of its Internet browser for the Windows 95 operating
system. Internet Explorer 2.0 enhances the World Wide Web support already
provided in version 1.0 and adds new functionality such as support for
secure transactions, tables, multimedia and 3-D graphics.

"Microsoft Internet Explorer is designed specifically for Windows 95 and
offers users an easy way to get on the Internet," said Brad Chase, general
manager in the personal systems division at Microsoft. "The beta release
of Internet Explorer 2.0 is compatible with major Internet standards and
adds some state-of-the-art innovations."

To provide superior integration with today's Web pages, Internet Explorer
2.0 includes support for HyperText Markup Language (HTML) 3.0 tables;
access to Internet newsgroups; a toolbar button for instant access to the
world's most powerful Web search engines; and the ability to run
animations using client-pull technology. The addition of special Internet
tokens, called "cookies," enables Web surfers to shop at their favorite
Internet outlets.

Internet Explorer 2.0 also provides users with a secure environment.
Complete support for Secure Sockets Layer (SSL) and RSA encryption allows
integration with secure sites. In addition, Internet Explorer 2.0 will
support Private Communication Technology (PCT), which is an efficient and
secure upgrade to the SSL protocol. Internet Explorer will also support
Secure Transaction Technology (STT), an electronic payment technology
jointly developed by Microsoft and Visa International, as soon as it is
available.

SUPPORTS LEADING-EDGE MULTIMEDIA, 3-D ANIMATION

Web pages are becoming more sophisticated, and Internet Explorer 2.0
provides new features and HTML extensions to take full advantage of their
capabilities. It supports inline AVIs for embedded videos, scrolling
banners, background audio and context-sensitive menus.

"Internet Explorer's new multimedia features bring Starwave's services,
including Mr. Showbiz and ESPNET SportsZone, much closer to the media-
rich goals of their designers," said Patrick Naughton, vice president of
technology at Starwave Corp. "Our designers are thrilled to finally be
able to create true multimedia online, and control typefaces and column
background colors. These pragmatic additions to the stagnant HTML format
are just what we need."

Internet Explorer will also support inline Virtual Reality Markup Language
(VRML) for fast viewing of 3-D objects and animations. Microsoft plans to
deliver VRML technology for Internet Explorer and Windows 95 based on the
high-speed Reality Lab Engine by the end of 1995. The 3-D support in
Internet Explorer is the first step toward bringing interactive 3-D to the
Internet. In addition, progressive rendering, read-ahead mode, a
multithreaded user interface, and support for HyperText Transport Protocol
(HTTP) Keep-Alive make Internet Explorer the most responsive browser
available.

EASIEST INTERNET ACCESS, DESIGNED SPECIFICALLY FOR WINDOWS 95

The new version of Internet Explorer builds on the advances introduced in
version 1.0, which debuted last month along with the introduction of
Windows 95. Internet Explorer is designed specifically to take full
advantage of the advancements in Windows 95 and to offer customers easy
Internet access and high performance.

Internet Explorer mirrors the easy-to-use Windows 95 interface, supports
Windows Shortcuts to the Internet, includes an Internet tutorial and
comprehensive search engine, supports full drag and drop of text and
graphics, shields users from Internet jargon (such as "protocols" and
"data types"), and works well with other Windows 95-based applications.

HIGH PERFORMANCE, RICHER USER INTERFACE

In addition to its ease of use, the Internet Explorer provides fast and
full access to the World Wide Web based on its support for all popular
Internet standards. It supports all industry-standard HTML tags, so users
can read the broad range of Internet content. It supports proxy servers,
making it compatible with corporate security mechanisms for Internet
access. Proxy servers allow protected access to the Internet through
corporate firewalls. Internet Explorer 2.0 also preserves the original
look of Web-page text and graphics, enabling end users to view content as
authors designed it to look.

The Internet Explorer is also the first Internet browser to ship with the
RealAudio Player, allowing users equipped with conventional multimedia PCs
and voice-grade telephone lines to browse, select and play back audio or
audio-based multimedia content in real time.

The beta version of INTERNET EXPLORER 2.0 is available to download at no
charge (other than the cost, if applicable, of online time while
downloading).

Founded in 1975, Microsoft (NASDAQ "MSFT") is the worldwide leader in
software for personal computers. The company offers a wide range of
products and services for business and personal use, each designed with
the mission of making it easier and more enjoyable for people to take
advantage of the full power of personal computing every day.
 
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