Paseo service test to start, uses General Magic technologies

FEBRUARY 16, 1996 -- SUNNYVALE, Calif. -- General Magic, Inc. (Nasdaq:
GMGC) announced today that NTT FAN has completed preparations for a trial
on-line service in Japan based on General Magic's Telescript and Magic Cap
technologies. NTT FAN expects this test service, named Paseo, to begin
operations on March 12, 1996 and to support 5,000 users. It is intended as
a prelude to a possible full-scale Japanese language service.

Today's announcement continues the work of NTT FAN since its establishment
last September as a joint venture between Nippon Telegraph and Telephone
Corp. (NTT), AT&T, and Sony to test an on-line multimedia communications
service in Japan. Sony and Matsushita are also participating in the Paseo
trial service, along with Oki, Sanyo, and Mitsubishi Electric. The results
of the Paseo service will be evaluated on an ongoing basis to determine
whether the service will be made more widely available in Japan.

"The start of operations of NTT FAN's Paseo service represents an important
first step in propagating products and services based on General Magic's
technologies in Japan," said Marc Porat, chairman and chief executive of
General Magic. "We took forward to the results of the collective efforts
of those members of the General Magic Alliance working on Paseo."

Subscribers are expected to access the Paseo service through communicators
running the Magic Cap platform, such as Sony's Magic LinkR Personal
Intelligent Communicators (PICs) and Matsushita's Personal Intelligent
Communicators. NTT FAN is evaluating Magic Cap for Windows to provide PC
access to the Paseo service. The Paseo service uses Telescript technology
to support smart messaging, Internet mail connectivity, pager services,
fax services, and multimedia messages incorporating text, digital ink,
sound and animations, and to host a variety of service providers. Services
available to Paseo subscribers are expected to include a game information
service from SEGA Enterprises Ltd., event information by PIA Corporation,
and English education services by Alc Press Inc.

The Magic Cap platform integrates today's popular modes of communication
including fax, public electronic mail services, paging, and telephones and
features an intuitive, easy to use interface. It also integrates personal
organization tools that help people prepare, track and follow up on
important messages and activities. Telescript technology is designed to
enable users to launch software surrogates, called agents, into
communications networks to search for and monitor information and to
interact with services and other agents on a user's behalf. Telescript
technology includes an extensible, object-oriented remote programming
language for creating active, agent-based network services.

General Magic co-founder Andy Hertzfeld will demonstrate aspects of the
Paseo service on February 22, 1996 as part of his keynote at MacWorld
Expo/Tokyo '96. NTT FAN anticipates distributing applications for
participation in the trial service at MacWorld Expo/Tokyo '96, from
February 21 to 24, 1996. An initial test operation of the service is
expected to last until the end of April 1996, with the formal trial
service expected to start operation in May 1996. Further information
regarding participation and pricing is available from NTT FAN.

General Magic, Inc. was founded in May 1990 and is headquartered in
Sunnyvale, California. Its mission is to participate in the electronic
marketplace by developing and licensing software to leading providers of
communication products, network services and network applications. The
General Magic Founding Partners Council includes AT&T, Cable & Wireless,
France Telecom, Fujitsu, Matsushita, Mitsubishi Corporation, Mitsubishi
Electric, Motorola, Nortel, NTT, Oki, Philips, Sanyo, Sony, and Toshiba.
General Magic's World Wide Web address is http://www.genmagic.com/.
 
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