Court Agrees That Cyrix is Entitled to Use Windows® 95 Audio Driver

Shipments of Cyrix’s MediaGX™ Processor Continue Uninterrupted

Richardson, Texas -- June 9, 1997 -- Cyrix Corporation (NASDAQ: CYRX) announced today the United States District Court for the Northern District of California has determined that Creative Technology can not prevent the use of a Windows® 95 audio driver in computer systems based on Cyrix’s MediaGX™ processor.

The court agreed with Cyrix that Creative Technology could not rely on trademark law to prevent use by Cyrix and it’s customers of an audio driver licensed by Creative Technology for inclusion in Windows 95. Instead, the court adopted Cyrix’s suggestion that Creative provide Cyrix with a de-labeled Windows 95 audio driver (i.e., one without any reference to Creative Technology).

The court provided Creative Technology the opportunity to give Cyrix, at no cost, a de-labeled Windows95 audio driver that will contain all the functionality of the current driver used by the MediaGX™ processor. If Creative Technology provides a de-labeled driver, then Cyrix will have 60 days to test and qualify the new driver as being functionally equivalent to the current Windows® 95 audio driver and suitable for use in the MediaGX™ processor.

"The MediaGX™ processor offers a fully featured audio solution without the need or cost of a separate sound card," said Steve Tobak vice president of corporate and channel marketing, "It’s disappointing that Creative is attempting to use the U.S. judicial system to slow the pace of new technology development in the PC marketplace."

The denial of the relief sought by Creative reflects the long standing proposition that trademark rights cannot be impermissibly used to erect barriers to functional interfaces adopted by the industry.