America Online Launches Instant AOL Service On New Gateway Touch Pad Internet Appliance.

Business Editors

NEW YORK--(BUSINESS WIRE)--Nov. 10, 2000

Instant-On Convenience Extends Value of AOL Beyond the PC Into New

Parts of the Home

New Device Central to "AOL Anywhere" Strategy and Gateway

Connected Home Vision

America Online, Inc. (NYSE: AOL), the world's leading interactive services company, today announced the launch of Instant AOL, an instant-on version of its convenient, easy-to-use service available on a new line of home Internet appliances created by Gateway. The first of these devices, the Gateway Connected Touch Pad, is also being launched today.

Instant AOL is a customized version of the AOL service that connects the consumer to AOL as soon as they turn on the device and offers AOL members the benefits they have come to rely on from the flagship service plus features and functionality, specially configured for the Touch Pad. The Touch Pad is a compact, easy-to-use touchscreen device that provides quick and easy access to the Instant AOL service with an interface designed for use in high-traffic areas of the home where most families spend much of their time, such as the kitchen or family room.

Barry Schuler, President of AOL Interactive Services, said: "Instant AOL is all about making the Internet even more convenient than ever before. A lot of families keep their PC in a bedroom or study, but spend most of their time in the kitchen and family room. By adding a Touch Pad to their home, they'll now be able to access AOL's convenient services while they're doing other daily activities, making AOL even more central to daily life."

Mr. Schuler added: "Instant AOL on the Touch Pad represents a continuation of our successful partnership with Gateway and adds to the growing ranks of 'AOL Anywhere' products we are offering consumers. Our members are increasingly intent on being able to access the service in a variety of ways, and with Instant AOL we are making that a reality."

In addition to Instant AOL, "AOL Anywhere" options now available to consumers include:

-- AOL features on Sprint PCS and AT&T wireless phones, as well as on Palm Pilots and other wireless devices;

-- AOLTV, the first interactive TV service allowing mass market consumers to incorporate popular AOL features like e-mail, instant messaging and chat, as well as new interactive content, into the television watching experience;

-- The revolutionary AOL by Phone service, providing convenient access to e-mail messages, stock quotes, news headlines and more from any telephone using simple spoken commands;

-- The AOL Anywhere Web site, a customizable page that AOL members can access from any Internet-connected computer; and

-- The soon-to-be-released AOL Mobile Communicator, a highly convenient, pocket-sized device for staying in touch more effectively.

Instant AOL Features

Instant AOL is designed with large, bold icons for easy use through the touchscreen, and brings forward content and features particularly convenient for use in either the kitchen -- like information on home and family, recipes, and shopping time savers for groceries and gifts -- or the family room -- such as TV and movie listings and online music.

The service offers AOL members their favorite convenience features, including e-mail, instant messaging, "My Calendar," and chat, as well as easy access to the entire Internet. From the main screen, consumers can get one-touch access to a menu of "Essentials," including:

-- A "notepad" where family members can leave messages for each other during the course of the day;

-- The AOL Address Book feature: With AOL 6.0, the Address Book has become a portable feature that is accessed with the service instead of from their PC's hard drive, for more convenient use from multiple locations;

-- All 20 Channels of AOL content, including the House & Home, Kids Only, and Parenting channels; and

-- The Favorite Places feature which gives members one click access to any site on AOL or the World Wide Web.

Convenient Touch Pad Available at Gateway Country Stores Nationwide

The compact Gateway Touch Pad can be set on a counter top or mounted underneath cabinets. It can be operated using a stylus or simply pressing on the touchscreen and through a specially designed wireless keyboard, which includes convenient short cut keys to AOL e-mail, instant messages, Channels and more. Instant AOL can be accessed in a variety of ways including through a home network, traditional dial-up and broadband connections.

The Touch Pad will be offered at retail for $599. The Gateway Connected Touch Pad with Instant AOL service can be ordered beginning December 1 from Gateway Country stores, 1-800-Gateway or www.Gateway.com, for shipment on December 15 to the customer's home.

The key technological features of the Touch Pad are its Transmeta Crusoe processor and Netscape's Gecko browsing engine. The appliance also operates on the Mobile Linux operating system.

About America Online, Inc.

Founded in 1985, America Online, Inc., based in Dulles, Virginia, is the world's leader in interactive services, Web brands, Internet technologies and e-commerce services.