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Gateway MP3 Player Does More Than Make Music

Gateway Enters MP3 Player Market With Compact Three-in-One Device That Stores Music, Voice and Other Files With Ease

POWAY, Calif., Aug. 5 /PRNewswire-FirstCall/ -- Continuing to deliver on its branded integrator strategy with another new line of Gateway-branded products, Gateway, Inc. today introduced its first portable USB digital music player. With unique features such as an easy-to-read backlit display and ultra compact design that connects directly to a PC, the Gateway(TM) Digital Music Player makes storing and enjoying digital music easier than ever.

The stylish, portable Gateway Digital Music Player -- about the size of a pack of chewing gum -- is really three products in one easy-to-use device: a digital music player, USB storage device and digital voice recorder. With 128MB(1) of storage space, the Gateway Digital Music Player has the data capacity of 88 floppy disks or two hours of music.(2) Its affordable price of just $129.99(3) makes it a must-have for anyone who wants to listen to music or carry PC files on the go.

Gateway's entry into yet another consumer electronics category advances its goal of launching 50 new Gateway®-branded products in 15 categories this year. The Gateway Digital Music Player marks significant progress in Gateway's evolution into a branded integrator -- a marketer of digital gear that works together.

The sleek silver and black Gateway Digital Music Player connects directly to computers via a built-in USB port that is easily accessed, yet protected by the battery pack when not in use. Downloading MP3 music, transferring files, and sharing digital photos takes only seconds, and is done without the use of cables, software or floppies thanks to plug-n-play USB connectivity.(4) The Gateway Digital Music Player weighs only 1.5 ounces and measures just 0.5-inch wide, making it one of the thinnest MP3 players available.(5)

"Gateway is committed to delivering digital products that make life more enjoyable," said Matt Milne, vice president and general manager, digital solutions group, Gateway, Inc. "The Gateway Digital Music Player delivers on that promise, giving consumers an easy way to listen to music and access other files on the go. Its sleek and compact design makes it an attractive solution for enjoying music and more."

Ideal for music buffs, the Gateway(TM) Digital Music Player enables consumers to delete and format music files, as well as create custom play lists directly from the player. And unlike some MP3 players, the Gateway MP3 has a three-line backlit display, so song data is easy to see and access. Delivering long battery life, it delivers more than 10 hours of playback from the player's single "AAA" battery. And for added convenience, the Gateway MP3 player comes with a neck strap, earbud stereo headphones, user's guide, installation CD and one "AAA" battery.

The MP3 player's high capacity and simple plug-and-play connectivity makes it a great portable storage device. The 128MB version of the Gateway MP3 player holds up to two hours of digital music in MP3 or .WMA format or up to 122MB of data files.(4) The digital voice recorder can store up to nine hours of voice dictation -- a handy tool for creating shopping lists, making personal reminders or recording class lectures.

Pricing and Availability

The 128MB version of the Gateway Digital Music Player, model number DMP-200, is available immediately through all of Gateway's channels at a price of $129.99.(3) Beginning August 14, a 256MB version of the Gateway MP3 player, model number DMP-300, will be available at a price of $169.99.(3) The Gateway MP3 player is backed by Gateway's 90-day limited warranty.(6)

About Gateway

Since its founding in 1985, Gateway (NYSE: GTW) has been a technology and direct-marketing pioneer, using its call centers, web site and retail network to build direct customer relationships. As it transforms itself from being a leading PC company into a branded integrator of personalized technology solutions, the company's line of Gateway-branded products is expanding to include digital TVs, DLP projectors, tablet PCs and systems and networking products and services. Gateway is America's second most admired computer company, according to Fortune magazine(7), and its products and services received more than 125 awards and honors last year. For more information, visit www.gateway.com.

     All offers subject to change without notice or obligation.

     (1) Actual available storage capacity is 122MB.

     (2) Music capacity listed when stored at the higher 120kbps compression
         speed.

     (3) All offers subject to change without notice or obligation and may not
         be available through all sales channels. Prices exclude shipping and
         handling.  Applicable taxes extra.

     (4) Compatible with Windows XP. For Windows 98SE, installation of
         included drivers is required.

     (5) Weight is listed with a single "AAA" battery installed, which is
         required for operation.

     (6) Limited warranties and service agreements apply; visit gateway.com or
         call 1-800-846-2000 for a free copy.

     (7) Source:  Fortune magazine, March 3, 2003 issue.

Source: Gateway, Inc.

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