ACER SELECTS SEAGATE BARRACUDA DISC DRIVES FOR DESKTOP PCS.

Acer has selected Seagate's Barracuda 5400.1 disc drives for its office computers and entry-level PCs. Barracuda 5400.1 disc drives are designed for applications that require low cost, low acoustics and the highest reliability. The drive utilizes Seagate's data density technology to provide the popular 40-Gbyte capacity using a cost-effective one-head design.

With its AcerPower desktop PCs, a range of minitower systems especially designed for small businesses, Acer provides desktop computing solutions that meet the performance requirements of a data-driven business environment. Incorporating the latest advances in technology -- including the Seagate Barracuda 5400.1 disc drive -- the new AcerPower Sd offers the power and functionality required to handle the latest generation business applications, while providing head room for growth and expansion.

"Acer continues to look to Seagate's technology leadership in hard disc drives to complement our best-in-class products," said J. T. Wang, president of Acer Inc. "Leveraging Seagate's reliable and leading-edge storage technology, the AcerPower Sd has been especially designed with a feature-rich set of technologies to enable small businesses to configure it to meet their specific business requirements. Be it power, expandability, convenience, and reliability, AcerPower Sd consistently delivers significant productivity and efficiency advantages, at an affordable price."

"Seagate continues to strengthen its strategic partnership with Acer, working closely to bring innovative products to the market," said Banseng Teh, vice president of Asia Pac Sales. "We remain committed to driving customer success by providing them with best-in-class storage technology, as exemplified by the integration of Barracuda 5400.1 disc drives into AcerPower Sd."

Designed for entry-level PCs as well as consumer electronics devices like PVRs, game consoles, audio jukeboxes, and other non-traditional applications like ATMs, security cameras, printers and Karaoke machines, Barracuda 5400.1 combines many advanced features and the well-known reliability of the Seagate's brand. The value-focused, single-head 5400-rpm class drive delivers extreme reliability, whisper-quiet acoustics and optimum performance -- and a 25 percent thinner form-factor to improve system airflow while remaining compatible with industry-standard mounting brackets. It also features the Seagate exclusive 3D Defense System, the most comprehensive set of protective features in the industry.

Seagate is the only independent disc drive manufacturer with a vertical integration strategy to control the development of components and technology used in its products, as well as owning its manufacturing capabilities. Vertical integration enables Seagate to achieve a cost-effective platform of mechanics and electronics, enabling the proliferation of PC systems that meet the needs of a wide variety of consumers.

About Acer

Acer ranks among the world's top ten branded PC vendors, designing and marketing easy, dependable IT solutions that empower people to reach their goals and enhance their lives. Acer's product offering includes desktop and mobile PCs, servers and storage, displays, peripherals, and e-business solutions for business, government, education, and home users. Established in 1976, the pan Acer Group employs 39,000 people supporting dealers and distributors in over 100 countries. Estimated revenues reached US$12.9 billion in 2002.

Acer can be found on the World Wide Web at http://www.acer.com.

About Seagate

Seagate is a provider of design, manufacturing and marketing of hard disc drives for Enterprise, PC and Consumer Electronics applications.

Seagate can be found on the World Wide Web at http://www.seagate.com.

For more information, call 831/439-2499.