IBM Adds Premium Features to its Mainstream ThinkPad Notebooks

PCI Comes to the 365 and 760 Series and Docking Stations

SOMERS, NY, April 23, 1996 ... Delivering more value for the price-
sensitive and performance-conscious mobile user, IBM* today enhanced its
popular ThinkPad* 365 and 760 series to include more performance at
attractive prices.

By providing additional midrange models of the 760 and a full line of
mainstream 365 series products, with a choice of Pentium or 586-class
processors, IBM is offering more affordable notebooks with prices starting
at just $1,999.(1)

The new ThinkPad 760 series is equipped with powerful Pentium** processors
backed by the complete PCI notebook solution, including PCI-based video
graphics, PC CardBus and PCI-based docking. It is complemented by IBM's
new SelectaDock*, a new innovative modular approach to desktop docking,
which offers flexible, upgradeable full desktop expansion with a choice of
PCI, PC CardBus and ISA expansion capabilities.

IBM delivers industry leadership and investment protection given the new
PCI-based 760 notebooks are backwards compatible to the current ISA-based
docking solutions.

"The ThinkPad brand has successfully penetrated the mainstream market with
these additions to the 365 and 760 series," said Steve Ward, General
Manager for IBM's mobile computing. "These upgrades to our product lines
offer the ultimate in mobile capabilities, and protect our customers in
their current ThinkPad 760 options. They also broaden our presence in the
mainstream market with the right set of features and very affordable
prices. Several of the new models were specifically designed for fleet
buyers and small business owners looking for the most reliable and
affordable mobile computing solutions. We are also pleased to announce
models designed for the consumer market that offer outstanding prices with
IBM ThinkPad performance and quality."

Affordable Power in the Mainstream

With high-end features in unprecedented mainstream models, the ThinkPad 365
is now equipped with a choice of Intel's** 120 MHz or 100 MHz Pentium
processors,(2) with PCI bus for high-performance video and graphics, or
IBM's 586-class processor. Additionally, large, high-resolution 11.3-inch
or 10.4-inch color screens enhance computing comfort. Other features
include integrated quad-speed CD-ROM drives (CD-ROM model only), wireless
infrared printing and file swapping and IBM's integrated TrackPoint* III
pointing device.

All models are loaded with an extensive selection of software titles, come
standard with 8 megabytes (MB) of RAM, offer a choice of 540 MB, 810 MB,
or 1.08 gigabytes (GB) hard drives(3) and hot-swappable nickel-metal
hydride batteries.

ThinkPad 365 models are lightweight, ranging from 5.8 lbs. to just 6.4 lbs.
with an integrated quad-speed CD-ROM drive.(4)

ThinkPad Family Offers Desired Features and Prices

"Since the introduction of the ThinkPad in 1991, IBM has built an excellent
reputation among high-end notebook users," said Kimball Brown, analyst
with Dataquest, a market research firm in San Jose, California. "Backward
compatibility has been -- and it appears with these announcements, will
continue to be -- a strong selling point for ThinkPad notebooks. To date,
IBM has struggled to gain a strong market share position at the low-end of
the notebook market. However, starting in the second half of 1996, we
expect strong growth from IBM's 365 series of ThinkPads. Backward
compatibility, IBM quality and support, and strong price/performance at
the low-end should enable IBM to attract consumers and business users who
previously couldn't afford a ThinkPad."

Award-Winning Design

For the first time ever, the newly upgraded high-end 760 series is offered
at a low-end price, starting at just $3,399.(1) The innovation-packed
ThinkPad 760 series, widely recognized as the world's premiere notebook
computer, includes more powerful Pentium processors, with speeds up to 133
MHz, as well as large, high resolution 11.3-inch or 12.1-inch color
displays.

Other feature enhancements include: PCI architecture with high performance
PC CardBus capabilities; 16 MB of RAM (expandable to 80 MB); a 64-bit
graphics engine with 2 MB of video RAM (one model only); IBM's Total Image
Video with MPEG-2 (5) (Moving Pictures Experts Group); IBM's built-in
Mwave* digital signal processors (DSP) that integrate TheatreSound;*
digital data/fax modems (28.8 Kbps); speakerphone and answering machine
functions and TrackPoint III pointing device.***

Sporting the same innovative and flexible modular design as the previous
internationally honored 760 models, the new 760 series offers an automated
tilt keyboard with integrated palm rest and integrated high-speed infrared
wireless communications. Users that demand the utmost in versatility will
appreciate IBM's UltraBay* which offers the most extensive combination of
modular device support in the notebook industry. This often-copied feature
accommodates easily swappable options, such as a quad-speed CD-ROM drive
or diskette drive, which can be swapped with a second lithium-ion battery
for extended travel or a second 1.2 GB hard-drive for greater storage.
Additional UltraBay options include a wireless cellular phone fax module
or an additional PC Card slot.

New PCI-Based Backward Compatible ThinkPad 760 Notebooks

Unlike any other vendor in the mobile market, IBM offers full desktop
expansion and backward compatibility. The new PCI-based notebooks also
work in the existing ISA-based docking stations, in turn protecting the
customer's initial docking investment.

Similarly, prior ISA-based notebooks will work in IBM's new SelectaDock
port replicator, which offers greater convenience and security.

"Businesses have invested in a variety of ThinkPad models and docking
stations in the past few years, and we placed protection of their
investment as a top priority," said Steve Ward, General Manager for IBM's
mobile computing. "As we move to the new PCI architecture and customers
purchase our new PCI-based notebooks, they can do so with peace-of-mind,
knowing that they will be compatible with their current ISA-based ThinkPad
docking options. Only IBM offers notebook users this degree of security."

Further Innovation in Modular Design

The new SelectaDock extends the flexibility pioneered by the ThinkPad
family by providing a modular design -- essentially a building block
approach to docking. Users can now purchase a SelectaDock base unit, which
is an inexpensive, convenient base port replicator for single connection
access to desktop peripherals. In addition, the base unit offers key-lock
notebook and PC Card device security features normally found in
full-priced docking stations. This base unit can be used alone or attached
to a more comprehensive desktop docking station.

Further extending the flexibility found in the ThinkPad 760 notebook, the
new SelectaDock Model 1 includes an additional UltraBay which shares the
CD-ROM, second hard disk or diskette drive with the notebook.

The docking station also includes a full-sized PCI or ISA expansion slot,
additional CardBus slots, a SCSI II and game ports, an internal power
supply and an LED status indicator.

Convenient Service and Support

IBM's new ThinkPads include one of the most convenient and advanced mobile
service and support programs anywhere. IBM Online Housecall* gives IBM
HelpCenter* technicians the ability to remotely diagnose and repair many
software problems. Twenty-four hour, seven-day-a- week hardware support(6)
comes standard during the warranty(7) period, as does convenient EasyServ*
courier repair service (available in North America).

Configurations

ThinkPad 760 and 365 models are loaded with an extensive selection of
software titles selected specifically for mobile users. The ThinkPad 760
models are available with Windows**** '95 or Ready-to-Configure (blank
hard drive) options for purchases of 24 notebooks or more. The 365 models
are also available with Windows '95.

All ThinkPad models will be configured to support OS/2* Warp, Version 3,
and OS/2 Warp Connect with Win-OS/2. The new ThinkPads with OS/2 Warp
Connect with Win-OS/2 will be announced in June.

Pricing and Availability

The new ThinkPad 760 notebooks are available through authorized dealers
with estimated prices starting at $3,399.(1)

The new ThinkPad 365 models will be available in May. All 365 models will
be available through authorized dealers. Models including the 586-class
processor and one 100-MHz Pentium model will also be available through
retail stores. Estimated prices start at $1,999.(1)

The new SelectaDock Base Model and Model 1 is available immediately through
authorized dealers with prices starting at $149 and $648,
respectively.(1)

In addition, IBM customer financing offers an array of convenient and
flexible financing options to support customers' acquisitions of IBM
personal computers. Terms and conditions vary by geography. For more
information about customer financing offerings, contact a local IBM or IBM
customer financing representative in your geography.

EDITOR'S NOTE: IBM news releases are available on the Internet, via the IBM
Home Page at http://www.ibm.com The IBM Fax Information Service
(800-IBM-4FAX) allows editors to receive facsimiles of IBM news releases
and spec sheets of IBM products. To receive a detailed spec sheet on the
ThinkPad 760 series enter document "3934," for the ThinkPad 365 series
enter document "3934" and for the SelectaDocks enter "3310" at the voice
menu.

(1)  Estimated IBM authorized reseller prices. These products
     are available from IBM resellers and actual resale prices
     may vary.
(2)  Internal processor speed. Application speed will be less.
(3)  MB = million bytes, GB = billion bytes
(4)  Actual weight may vary.
(5)  Supports MPEG-2 Half Horizontal Resolution.
(6)  Response times may vary.
(7)  Copies of IBM's statement of limited warranty
     are available by calling 800-772-2227.

Please Note: Questions about the content or currency of this press release
should be directed to your local IBM representative.
 
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