Xbox and adidas Announce Global Alliance

AMSTERDAM, Netherlands – Oct. 4, 2005 – Two global brands at the leading edge of youth culture, XboxÃ?® and adidas, today announced a long-term strategic alliance at X05, the MicrosoftÃ?® Xbox brand experience for the games and entertainment industry. The worlds of sports and entertainment merge as both companies enter into a series of planned activities and initiatives:

– Xbox 360 kiosks in adidas stores. Xbox kiosks will be placed in retail locations across the U.S., Europe, Japan, Canada, Asia, Latin America, Australia and New Zealand for a variety of activities leading up to the FIFA 2006 World Cup.

– MTV Goal – Germany 2006.” Xbox will join adidas in supporting the MTV series “MTV Goal – Germany 2006,” which follows the progress of 10 of the globe’s most promising young football talents as they bid to make it into their national squads in time for 2006. The show will be screened beginning mid-November 2005.

– Platform integration. adidas will install content on Xbox 360 consoles, while Xbox will enjoy presence on adidas’ planned FIFA 2006 World Cup mobile portal.

– Goal: The Movie.” Xbox is supporting “Goal: The Movie” with a series of cross-promotional exercises with adidas.

– Grassroots football events. Xbox will have kiosks at all adidas grassroots football events in the lead up to the FIFA 2006 World Cup.

“The alliance between adidas and Xbox reflects the fact that sports, lifestyle and video games are inextricably linked,” said Peter Moore, corporate vice president of Worldwide Marketing and Publishing for Xbox at Microsoft Corp. “Xbox 360 is a place where all three of these elements come together to truly amplify the sport experience. We look forward to working with adidas on this exciting program.”

Richard Prenderville, head of Global Media at adidas, added, “We are really excited by our alliance with Xbox 360. The innovation it is driving is something we believe in at adidas, and our collaboration will excite an entire audience who loves to game indoors and out.”

About adidas-Salomon AG

adidas-Salomon is one of the global leaders within the sporting goods industry and offers a broad range of products with brands such as adidas and TaylorMade in its portfolio. Earlier this year adidas secured its presence at the world’s most watched sports events, by extending its long-term partnership agreement with FIFA granting adidas the Official Partnership, Suppliership and Licensing rights for the FIFA World CupâÂ?¢ in 2010 and 2014.

About Xbox and Xbox 360

Microsoft revolutionized the gaming industry with the November 2001 launch of Xbox (http://www.xbox.com), its first-generation video games and entertainment system, now sold in 26 countries around the world. This holiday season Microsoft debuts its next-generation system, Xbox 360, in Europe, Japan and North America, to be followed by availability in Australia, Colombia, Hong Kong, Korea, Mexico, New Zealand, Singapore and Taiwan in 2006. Xbox 360 is the most powerful video game and entertainment system, delivering the best games, the next generation of the premier Xbox Live�® online gaming service, and unique digital entertainment experiences that revolve around you.

About Xbox Live

Xbox Live continues to transform and unite Xbox game communities worldwide, with a presence in 24 countries worldwide and a global community of more than 2 million members. As the first and only global, unified online console games service, Xbox Live offers world-class games, intelligent matchmaking, tournaments, unique programming and integration with Xbox.com. More information can be found online at http://www.xbox.com/live.

About Microsoft

Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.