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ACTIVISION TO PUBLISH REAL-TIME 3D ACTION SHOOTER BARRAGE

New Fast-Paced, Adrenaline-Pumping Game Delivers Arcade-Quality Graphics and Non-Stop Action to the PC

Santa Monica, CA — August 25, 1998 -- Activision, Inc. (Nasdaq: ATVI) provides PC gamers with the opportunity to experience unparalleled arcade-quality graphics and shoot-‘em-up action with the upcoming launch of Barrage. One of the first 3D hardware-only games, Barrage features a real-time, visceral gaming experience in a variety of immersive 3D environments.

The game brings to computers the high-intensity action experience of arcade machines. With enhanced features that take optimal advantage of the technical power of the PC, Barrage includes exquisite 3D graphics, lightning-quick gameplay and multiplayer modes for up to eight players. Developed by Mango Grits, the game will be available this fall and will carry a suggested retail price of $29.99.

"Barrage promises to give PC gamers the instant gratification and adrenaline- pumping game play they expect from an arcade game," said Mitch Lasky, senior vice president, Studio X, Activision, Inc. "The game’s superior graphics, hard- hitting gameplay and multiplayer component will offer a heart-stopping action experience."

Taking full advantage of the emerging 3D graphics technologies, Barrage is designed specifically for video cards containing 3DfxÒ Interactive 3D graphics technology and is compatible with Direct 3D video cards.

"Barrage is a showpiece for the level of fast-paced realism that can be achieved on 3Dfx Voodoo Graphics, Voodoo2 and Voodoo Banshee technology," said Greg Ballard, president of 3Dfx Interactive. "Barrage sets a new standard for the industry and, with the power of our hardware, takes 3D gaming to a startling new place."

In a race against the clock, players are thrust into a cockpit of a high-speed hover fighter aircraft in which they must blast away at military targets to activate the gateway into the next world. While searching for the portal to the next level, players fly through stunning, realistic environments, including the Grand Canyon, underwater, downtown Chicago and a New England prairie. Barrage also features a robust multiplayer experience for up to eight players.

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Headquartered in Santa Monica, California, Activision, Inc. is a leading worldwide developer, publisher and distributor of interactive entertainment software for personal computers and advanced console game systems such as the Sony PlayStation and Nintendo 64. Founded in 1979, Activision posted revenues of $260 million for the fiscal year ended March 31, 1998.

Activision maintains publishing and development operations in the US, Canada, the United Kingdom, France, Germany, Japan and Australia, and distribution subsidiaries in the United Kingdom and Germany. More information about

The statements contained in this release that are not historical facts are "forward-looking statements." 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. These important factors, and other factors that could affect Activision, are described in the Company's Annual Report on Form 10-K for the fiscal year ended March 31, 1998, which was filed with the United States Securities and Exchange Commission. Readers of this press release are referred to such filings.

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