SUNNYVALE, CA--JUNE 15,1999--AMD today introduced a 400MHz version of the Mobile AMD-K6®-2-P processor with 3DNow!™ technology. This device extends the performance of AMD's Mobile AMD-K6-2-P family of processors and is AMD's highest frequency mobile product offered to date. Compaq Computer Corporation has announced a new Presario notebook system based upon the 400MHz Mobile AMD-K6-2-P processor.

"AMD is committed to delivering high levels of performance at all system price points," said Dana Krelle, vice president of marketing for AMD's Computation Products Group. "The new 400MHz Mobile AMD-K6-2-P processor builds on our leadership in the growing value segment of the notebook market. The Mobile AMD-K6-2-P and the recently introduced Mobile AMD-K6-III-P processors offer our OEMs and end-users a very competitive choice in the value and high-performance segments of the notebook market."

"Compaq is pleased to introduce new Presario 1600 Series notebook Internet PC models based upon the 400MHz Mobile AMD-K6-2-P processor," said Alex Gruzen, general manager of Compaq's Consumer Mobile Division. "With prices starting at $1,999 for 400MHz of power in a notebook, Compaq delivers unmatched value to home and home office/small office users."

About the Mobile AMD-K6®-2-P Processor
The Mobile AMD-K6-2-P processors operate at a core voltage of 2.2 Volts, have an extended case temperature rating of 80oC, and dissipate less than 12 Watts of power running typical applications.

The AMD mobile processors are available in an industry-standard, Socket 7 and Super7™ platform-compatible, 321-pin ceramic pin grid array (CPGA) package.

AMD-K6-2 processors deliver compelling, sixth-generation performance for today's demanding Microsoft® Windows® compatible home and office applications. These 9.3-million-transistor processors are manufactured on AMD's 0.25-micron, five-layer-metal process technology at AMD's Fab 25 wafer fabrication facility in Austin, Texas.

About 3DNow!™ Technology
3DNow! technology, developed by AMD, is the first innovation to the x86 architecture that significantly enhances floating-point-intensive 3D graphics and multimedia applications. It uses SIMD (Single Instruction Multiple Data) and other performance enhancements to provide a compelling visual computing experience. AMD introduced this feature to the notebook computing platform in January 1999, with the Mobile AMD-K6-2 processor.

The worldwide installed base of 3DNow! technology-enhanced PCs has grown to more than 12 million desktop and notebook systems spanning all price points. Support for 3DNow! technology exists today in leading industry-standard application programming interfaces (APIs), including Microsoft's DirectX 6.x and SGI's OpenGL APIs. In addition, numerous hardware and software products have been optimized for 3DNow! technology. For a complete list of hardware and software products that support 3DNow! technology, visit the AMD web site at http://www1.amd.com/products/cpg/3dnow/optimized Leading software titles optimized for 3DNow! technology are available online at the 3DNow! Technology Aisle on Chumbo.com.

Pricing and Availability
The 400MHz Mobile AMD-K6-2-P processor is available today, and priced at $187 in 1,000-unit quantities.

Cautionary Statement
Investors are cautioned that all forward-looking statements of management's expectations involve risks and uncertainties that could cause actual results to differ materially from current expectations. Any forward-looking statement about AMD processors involves risks and uncertainties including whether the company will be successful in producing the processors at higher levels of performance; the company will produce the processors in volumes required by customers; or customer demand for AMD processors will continue at current or greater level. Investors are urged to consult the risks and uncertainties detailed in the company reports filed with the Securities and Exchanges Commission.