ZapStation - Universal Media System For Living Room

Broadband is making its way into more homes around the
world, and it seems inevitable that the previously separate
entertainment devices, television sets, stereos and computers, will
converge. Now ZapMedia says its ZapStation will be the first universal
digital media system for the living room.

ZapMedia and Microsoft Corp. [NASDAQ:MSFT] today announced a
strategic agreement to integrate Microsoft's Windows Media audio and
video format and digital rights management (DRM) technology into the
ZapStation as its default digital media format and DRM.

The ZapStation will be released in the Washington, D.C., and Atlanta,
Ga., markets this coming Christmas, with a full release in January, 2001.

The two companies say the appliance is designed to deliver personalized
entertainment content to a consumer's home entertainment system.
Users can surf the Internet or access e-mail through their TV sets, and
listen to streaming audio, MP3, CDs or DVDs on their stereos. The
appliance will be able to store more than 10,000 digital audio songs and
up to 30 hours of digital video, according to ZapMedia.

ZapMedia adds that the company is working with Internet service and
broadband providers to increase the number of homes that use broadband.

In another announcement involving Microsoft Windows Media, Microsoft
and Compaq Computer Corp. [NYSE:CPQ] said that Windows Media will be
the default format on Compaq's new iPaq PA1 personal audio player, and a
customized version of the Windows Media Player 7 will be installed on
Compaq's Presario line of PCs beginning later this year.

More information on ZapMedia can be found at http://www.zapmedia.com

Windows Media is on the Web at
http://www.microsoft.com/windowsmedia.

Compaq's consumer site is at http://www.compaq.com/athome.

Reported by Newsbytes.com, http://www.newsbytes.com.