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Microsoft, QUALCOMM and Lotus Submit HTML Threading Proposal to W3C
Will Enable Data-Rich Features in HTML E-Mail Applications

REDMOND, Wash. - Jan. 27, 1998 - Today Microsoft Corp., QUALCOMM Inc. and Lotus Development Corp. announced the World Wide Web Consortium (W3C) acknowledgement of their HTML Threading Proposal that outlines how Extensible Markup Language (XML) can be used to enable data-rich features in HTML e-mail applications.

The three companies submitted their proposal to the W3C for consideration as an open standard. The specification is available for public review on the W3C Web site at (http://www.w3.org/TR/1998/NOTE-HTMLThreading-0105).

The HTML Threading Proposal lays the groundwork for HTML e-mail applications to provide rich, structured data about the conversation thread in a message and about its authors, enabling a range of new features. For example, e-mail applications potentially could identify the author of each piece of text in an e-mail thread, rearrange the segments of a thread in chronological or hierarchical order based on user preference, or display text from each author in a distinct way.

"We are pleased with the W3C's acknowledgment of our proposal with Microsoft and Lotus for a standard defining how to enable conversation threading of HTML-based e-mail," said James DeBello, vice president and general manager, QUALCOMM's Eudora division. "We have always been and will continue to be committed to open standards, especially as they benefit users of Internet messaging."

"This proposal will enable a new class of powerful e-mail features that we will support in future releases of the Microsoft^® Outlook™ client family," said John Ludwig, vice president of the Internet client and collaboration division at Microsoft. "We look forward to working with QUALCOMM, Lotus and others to advance this proposal through the W3C standards process."

"This W3C submission provides a means of attributing text in a single text-HTML document to different messages and authors," said Nick Shelness, fellow and chief messaging architect at Lotus. "With these developments, Internet message formats are gaining capabilities previously only available in proprietary message formats of the types employed in Lotus Notes. It thus becomes possible for Lotus to employ Internet message formats natively in Notes with no loss of previous function, and that is what we will be doing."

Building on Open W3C Specifications

The HTML Threading Proposal builds on the strengths of open industry standards including HTML 4.0, Cascading Style Sheets (CSS) and XML to enable features not possible with any single technology.

The proposal uses standard HTML 4.0, specifically the CITE attribute, to associate properties and text and to identify the role of that text in the message. The proposal also uses XML to represent the properties themselves and CSS as a means for message presentation.

The proposal represents the latest efforts by the three companies to encourage industry innovation for HTML and related Internet specifications through the W3C, an open and consensus-based standards organization. Microsoft intends to support this specification in future releases of the Outlook client family. QUALCOMM introduced basic support of the specification with the recent release of Eudora Pro 4.0. Lotus will be supporting this specification in future releases of Notes.

About QUALCOMM

Headquartered in San Diego, QUALCOMM develops, manufactures, markets, licenses and operates advanced communications systems and products based on its proprietary digital wireless technologies. In addition to the Eudora family of software products, the company's primary product areas are the OmniTRACS^® system (a geostationary satellite-based, mobile communications system providing two-way data and position reporting services), CDMA wireless communications systems and products and, in conjunction with others, the development of the Globalstar^® low-earth-orbit (LEO) satellite communications system. Other company products include ASIC products and communications equipment and systems for government and commercial customers worldwide. For more information on QUALCOMM products and technologies, please visit the company's Web site at (http://www.qualcomm.com) .

About Lotus

Lotus Development Corp., founded in 1982, is a subsidiary of IBM Corp. Lotus offers high-quality software products and services that reflect the company's unique understanding of the new ways in which individuals and businesses must work together to achieve success. Lotus' innovative approach is evident in a new class of applications that allow users to access and communicate information in ways never before possible, both within and beyond organizational boundaries. Lotus now markets its products in more than 80 countries worldwide and provides numerous professional consulting, support and education services through the Lotus Services Group.

About Microsoft

Founded in 1975, Microsoft (Nasdaq "MSFT") is the worldwide leader in software for personal computers. The company offers a wide range of products and services for business and

personal use, each designed with the mission of making it easier and more enjoyable for people to take advantage of the full power of personal computing every day.

Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including timely product development and commercial implementation of the company's CDMA technology, continued growth in the CDMA subscriber population and the scale up and operations of CDMA systems, timing and receipt of license fees and royalties, the company's ability to successfully manufacture significant quantities of CDMA or other equipment on a timely and profitable basis and those related to performance guarantees, change in economic conditions of the various markets the company serves, as well as the other risks detailed from time to time in the company's SEC reports, including the report on Form 10-K for the year ended Sept. 28, 1997, and most recent Form 10-Qs.

Information regarding the number of Eudora Light and Eudora Pro users is provided by the Research Spectrum, December 1996.

Microsoft and Outlook are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

QUALCOMM, OmniTRACS, Eudora, Eudora Pro and Eudora Light are registered trademarks and Eudora WorldMail is a trademark of QUALCOMM Inc.

Lotus and Lotus Notes are registered trademarks and Notes is a trademark of Lotus Development Corp.

Other product and company names herein may be trademarks of their respective owners.

For more information, press only:

Ryan James, Waggener Edstrom for Microsoft, (503) 245-0905, ryanj@wagged.com

Mark McHarry, Lotus Development, (617) 693-6973, Mark_McHarry@Lotus.com