NEXGEN SETS NEW Nx586 PROCESSOR PRICING

Greater Than 20% Average Reduction for Only Fifth-Generation Pentium
Processor Alternative Currently Shipping

MILPITAS, California, May 9, 1995--NexGen, Inc. today announced it has
reduced prices on all members of its Nx586 processor family. The Nx586
processor, which entered volume production in September at four
performance levels, is the only fifth-generation Pentium processor
alternative currently in production and shipping.

"We are continuing our strategy of offering these products at aggressive
prices to mainstream PC OEMs and end-users," said Dana B. Krelle, NexGen
Vice President, Sales and Marketing. "The ramp-up in production of our
existing Nx586 processors, coupled with planned die-size shrinks," he
added, "are intended to enable us to offer an excellent value proposition
to PC OEMs and, ultimately, to end-users."

Effective May 1, 1995, the per-unit prices of the Nx586 processors, in
1,000-unit quantities, are: P100, $399 (30% reduction from the previous
quarter); P90, $299 (25% reduction from the previous quarter); P80, $220
(18% reduction from previous quarter); and P75, $220 (8% reduction from
previous quarter) .

These prices represent Nx586 processor price advantages of 17%-21% over
Intel's Pentium processor based on the May 1 announced 1,000 unit list
prices. Specifically the P100 offers a 17% price advantage over 100MHz
Pentium processors; the P90 offers a 21% price advantage over 90MHz
Pentium processors; and the P80 and P75 offer 20% price advantages over
75MHz Pentium processors.

The Nx586 processors are being manufactured using IBM's CMOS 5L process
consisting of 0.5 micron CMOS silicon technology, up to 5 layers of metal
interconnect, and 8-inch silicon wafers. The Company believes that the IBM
process is one of the most advanced volume production processes available
in the industry. Additionally, IBM's C4 "flip-chip" package technology is
being used in the manufacture of the NexGen products whereby the silicon
die is attached via solder bumps within the die, resulting in high
reliability and low cost.

NexGen, Inc. develops and utilizes industry-leading processor technologies
to deliver high performance x86 processors to mainstream PC users. The
Milpitas, California-based company currently holds many patents for its
leading-edge x86 processor technology and has several more patents in
process. NexGen is funded by several blue chip technology investors
including Kleiner, Perkins, Caufield and Byers, ASCII Corporation, Compaq
Computer Corporation, Olivetti Corporation, and Harvard Private Capital
Group. For product information, call 1-800-8NEXGEN (1-800-863-9436) or
408-435-0202.

NexGen Inc
1623 Buckeye Drive
Milpitas, CA 95035
408-435-0202

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