id Software Confirms Enemy Territory: QUAKE Wars for Next-Generation Consoles.

SANTA MONICA, Calif. -- The war between the GDF and Strogg will soon be igniting on next-generation consoles as id Software and Activision, Inc. (Nasdaq:ATVI) today confirmed that Enemy Territory: QUAKE Wars[TM], the team-based first person action title, and already one of the most anticipated new properties of 2007 is coming to next-gen platforms. In this epic multiplayer-focused game, players can choose to defend humanity as a part of the Global Defense Force (GDF) or destroy it as a merciless Strogg alien invader. Under the executive production of id Software, Nerve Software is developing Enemy Territory: QUAKE Wars for the Xbox 360[TM] video game and entertainment system from Microsoft, while Z-Axis is the developer for the PLAYSTATION[R]3 computer entertainment system.

"We're pleased to be working with Nerve and Z-Axis to bring the highly-anticipated gameplay from Enemy Territory: QUAKE Wars to the Xbox 360 and PLAYSTATION 3 system," said Todd Hollenshead, CEO, id Software.

Winner of more than 15 awards in 2006 and already selected as one of the most anticipated new titles in 2007 by more than eight publications, Enemy Territory: QUAKE Wars is being developed for the Windows PC by Splash Damage - the Nerve Software and Z-Axis console versions will also feature strategic team play, persistent character promotions and online stats tracking. Players choose to battle as one of five unique classes in either the conventionally armed GDF army or the futuristic Strogg invasion force, each outfitted with specialist weapons and combat hardware. In this adrenaline pumping fight for survival, warring forces utilize a variety of different vehicles, deployable structures, and defense systems including quad-bikes, tanks, and alien walkers for epic ground assaults; or helicopters and anti-gravity ships to unleash airborne attacks. Throughout each battle, teams establish bases, deploy defense structures, artillery, radar, and advanced forward-command systems into enemy territory while constructing and demolishing obstacles to speed progress and gain a tactical advantage over the opponent. Enemy Territory: QUAKE Wars features 16-player battles on the console systems, delivering the ultimate team-and objective-based multiplayer experience.

Enemy Territory: QUAKE Wars has not yet been rated by the ESRB.

About id Software

id - defined by Freud as the primal section of the human psyche; id Software, located in Mesquite, Texas, was founded in 1991. From inception to present day, id Software has relentlessly provided technical, design and artistic leadership as an independent game developer and technology provider. Transcending the games industry, id's iconic brands such as Wolfenstein, DOOM, QUAKE and Enemy Territory have become staples of popular culture for generations of gamers. More information on id Software can be found at www.idsoftware.com.

About Splash Damage Ltd.

Based in London, England, Splash Damage Ltd is an independently-owned game developer dedicated to online gaming, and one of the leading Shooter developers in Europe. Splash Damage developed id Software's Wolfenstein: Enemy Territory, winning multiple 'Game of the Year' awards, and is now developing Enemy Territory: Quake Wars. Founded by Paul 'Locki' Wedgwood in 2001 with key members of the mod-making community, Splash Damage also contributed to DOOM 3 and Return to Castle Wolfenstein: Game of the Year Edition. For more information, visit www.splashdamage.com.

About Nerve Software

Nerve Software, founded in 2001, is a Dallas-based independent developer focused on the production of superior video gaming. The company is committed to the creation of visually engaging worlds and gripping gameplay for a variety of platforms. Nerve's releases have been enthusiastically received and include Return to Castle Wolfenstein Multiplayer for the PC, Return to Castle Wolfenstein: Tides of War for Xbox and DOOM 3: Resurrection of Evil for the PC and Xbox. For more information about Nerve visit www.nervesoftware.com.

About Activision Z-Axis

Foster City, Calif.-based Z-Axis (http://www.z-axis.com/home.php) has a history of producing notable games for the console, including the Dave Mirra Freestyle BMX series of games.

About Activision, Inc.

Headquartered in Santa Monica, California, Activision, Inc. is a leading worldwide developer, publisher and distributor of interactive entertainment and leisure products. Founded in 1979, Activision posted net revenues of $1.47 billion for the fiscal year ended March 31, 2006.

Activision maintains operations in the U.S., Canada, the United Kingdom, France, Germany, Italy, Japan, Australia, Scandinavia, Spain, the Netherlands and South Korea. More information about Activision and its products can be found on the company's World Wide Web site, which is located at www.activision.com.

Cautionary Notes Regarding Forward-Looking Statements: The statements made in this press release that are not historical facts are "forward-looking statements." These forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties. The company cautions readers of this press release that a number of important factors could cause Activision's actual future results to differ materially from those expressed in any such forward-looking statements. Such factors include, without limitation, the findings of the special sub-committee, the effect of the special sub-committee's review and conclusions on, and other developments in, the informal inquiry opened by the SEC in July 2006 and the derivative litigation filed in July 2006 against certain current and former directors and officers of the company, the possibility that additional claims and proceedings will be commenced, including additional stockholder litigation, employee litigation, and additional actions by the SEC and/or other regulatory agencies, and direct and indirect expenses and diversion of management time resulting from or relating to the special sub-committee review and related regulatory proceedings and litigation, the company's ability to timely file required reports with the SEC, and the possibility that the company will be subject to delisting from The Nasdaq Stock Market due to its inability to timely file periodic reports under the Securities Exchange Act of 1934 or failure to satisfy other requirements for continued listing. Other factors that could cause Activision's actual future results to differ materially from those expressed in the forward-looking statements set forth in this release include, without limitation, other litigation (unrelated to stock option granting practices), sales of the company's titles, shifts consumer spending trends, the seasonal and cyclical nature of the interactive game market, the company's ability to predict consumer preferences among competing hardware platforms (including next-generation hardware), declines in software pricing, product returns and price protection, product delays, retail acceptance of the company's products, adoption rate of new hardware and related software, industry competition, rapid changes in technology and industry standards, protection of proprietary rights, maintenance of relationships with key personnel, vendors and third-party developers, international economic and political conditions, natural disasters, integration of recently acquired subsidiaries, and identification of suitable future acquisition opportunities. These important factors and other factors that potentially could cause actual future results to differ materially from current expectations are described in our filings with the SEC, including the company's most recent annual report on Form 10-K, quarterly report on Form 10-Q and current reports on Form 8-K. Readers of this press release are referred to such filings. The forward-looking statements in this press release are based upon information available to the company as of the date of the release, and the company assumes no obligations to update any such forward-looking statement. The company may change its intention, belief or expectation, at any time and without notice, based upon any changes in the enumerated factors or in the company's assumptions, or otherwise, and forward-looking statements believed to be true when made may ultimately prove to be incorrect. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond the company's control and may cause our actual results to differ materially from our current expectations.

[c] 2007 Id Software, Inc. All rights reserved. Enemy Territory: QUAKE Wars and ID are either trademarks or registered trademarks of Id Software, Inc. in the United States and/or some other countries.

Xbox 360 is a registered trademark of Microsoft Corporation in the United States and/or other countries and are used under license from owner.

All other trademarks and trade names are the properties of their respective owners.