Compaq's Eckhard Pfeiffer Tells Consumer Electronics Audience that Industry
is Driven by PCs -- CES Keynoter Says PC Products Popular with Consumers
of All Ages

LAS VEGAS, January 5, 1996 -- Predicting that half of American homes will
have personal computers by 1998, Compaq Computer Corp. (NYSE: CPQ)
President and CEO Eckhard Pfeiffer today spoke to electronics industry
leaders about how the PC is rapidly becoming the defining factor in the
consumer electronics industry. Pfeiffer made his remarks as the keynote
speaker at the Consumer Electronics Show which runs here through Monday.

Pfeiffer's remarks follow yesterday's unveiling of the Wonder Tools&trade;
line of educational toys jointly developed by Compaq and Fisher-Price.
Describing Wonder Tools as merging the best in computers and toys,
Pfeiffer said they are the first in what will be an extensive line of
interactive digital products for kids.

"When we at Compaq think about computers, we think of their power to
transport not only data and images, but also the mind and imagination ...
especially the imagination of the very young," said Pfeiffer, adding that
Wonder Tools mark the start of a new chapter in interactive education and
play.

"Today's PC has evolved to the point of fundamentally redefining experience
for people of all ages ... radically transforming personal and business
communication, commerce, education, entertainment and perhaps even
government," said Pfeiffer.

He said the PC has become the universal tool for home and business, "Your
home's link to the outside world will be far more diverse and interactive,
pulling in a wealth of information and services to enable electronic
commerce and sophisticated transactions like distance learning,
telemedicine and digital video-on-demand." Pfeiffer noted that more than
11 million US homes already have two or more working PCs.

Providing a preview of Compaq's future direction, Pfeiffer said, "Our
vision is to transform computing into an intuitive experience that extends
human capability on all planes -- communication, education, work and play.
We know that for PCs to become part of the very fabric of society they
must become much easier to use.

"We're hard at work creating speaker-independent, continuous speech
recognition for PCs. In time, we believe you'll be able to talk to your PC
with the emphasis on the PC understanding you rather than you having to
understand it. We're developing new ways for consumers to locate, filter
and organize all the information on their PCs. And we're building home
networking infrastructures as well as the devices that will work within
these networks ... experimenting with large screen PC TVs, home mobile PCs
and edutainment peripherals," said Pfeiffer.

COMPANY BACKGROUND

Compaq Computer Corporation is the world's largest supplier of personal
computers, offering desktop PCs, portable PCs, servers and options.
Founded in 1982, the company reported 1994 worldwide sales of $10.9
billion. Compaq products are sold and supported in more than 100 countries
throughout the world. Compaq also sells products directly to customers
through Compaq Direct Plus at 1-800-888-5858. Compaq provides 24-hour
customer support and can be reached through the Compaq forums on America
On-Line, CompuServe, Internet (http://www.compaq.com), and Prodigy, or by
calling 1-800-345-1518.
 
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