FOR IMMEDIATE RELEASE

Gateway 2000 now shipping x2^TM Technology-enabled modem

Direct marketer one of the first major computer suppliers to ship high speed modems with x2 Technology in volume

North Sioux City, S.D., May 8, 1997 - Gateway 2000, Inc. (NYSE: GTW), one of the world's largest direct marketers of personal computers, announced today it is shipping systems equipped with high speed modems using x2 Technology from U.S. Robotics (Nasdaq: USRX). Gateway 2000 is one of the first major computer marketers to ship large volumes of these new modems as part of a system configuration.

"We are pleased to be leading the market to x2 Technology, and without charging a price premium," said Dave Berger, director of product marketing, Americas. Gateway began shipping the TelePath^® Fax Modem for Windows^® with x2 Technology on Monday, May 5.

"We're very pleased to continue our long standing relationship with Gateway 2000 as we offer customers next generation modem technology," said Tony Francesca, vice-president OEM business, U.S. Robotics. "Gateway 2000's customers can now tap into the power of the Internet with x2 Technology."

More than 250 Internet service providers, including America Online, CompuServe, MindSpring, NETCOM, Prodigy and Web America have committed to supporting x2 Technology to enhance their online service delivery.

For more information on the Gateway 2000 desktop line contact the company at 1-800-846-2000 or visit the Gateway 2000 internet site at http://www.gw2k.com.

About Gateway 2000
Gateway 2000, Inc., a Fortune 500 company founded in 1985, is a global leader in the direct marketing of PCs. The company, headquartered in North Sioux City, South Dakota, has manufacturing facilities in the United States, Ireland and Malaysia, and employs over 10,000 people worldwide. Gateway 2000 products and services consistently win top awards from leading industry publications. In 1996, the company shipped 1.9 million systems and reported revenues of $5 billion and net income of $250 million.

About U.S. Robotics
U.S. Robotics is one of the world's leading suppliers of products and systems that provide access to information. The company designs, manufactures, markets and supports remote access servers, LAN switching equipment, desktop/mobile client products and modems, telephony products and handheld organizers. U.S. Robotics products connect computers and other equipment over analog, digital and switched cellular networks, enabling users to gain access to, manage and share data, fax and voice information. Its customers include Internet service providers, regional Bell operating companies, inter-exchange carriers and a wide range of other large and small businesses, institutions and individuals. The company's fiscal 1996 sales were $1.98 billion.

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