Compaq and PureSpeech To Develop Innovative Speech Recognition Program for
Personal Computers

NEW YORK CITY, June 20, 1995 -- Furthering its technology leadership,
Compaq Computer Corporation (NYSE:CPQ) today announced that it has made an
equity investment in PureSpeech, Inc., formerly Integrated Speech
Solutions, a privately-held company that develops advanced speech
recognition products. Together they will deliver innovative technology to
the computer marketplace. Terms of the investment were not disclosed.

In his keynote address that opened the popular PC Expo trade show, Eckhard
Pfeiffer, Compaq President and CEO, said "Together, Compaq and PureSpeech
are working on a promising architecture based on neural networks that will
result in speaker-independent, continuous speech recognition for personal
computers. We expect to implement this technology in many of our systems
over the next few years."

"We believe that speech recognition will be a key differentiating feature
of personal computers in the future. The PureSpeech technology looks like
a major breakthrough in this area and will greatly enhance ease-of-use of
personal computers for the home," Pfeiffer added.

"Our goal is to enable Compaq customers to communicate with computers as
they communicate most naturally -- through speech," said Ben Chigier,
President of PureSpeech. "Most importantly, our systems engage the user in
a natural conversation to help them complete their tasks, even though it
may not have heard the voice before."

Founded in 1992, PureSpeech, Inc., based in Cambridge, MA., has emerged as
a leader in developing advanced speech recognition technology for both
personal computers and the computer telephony market. PureSpeech systems
are available for the telephone, microphone and wireless inputs across
multiple processing platforms. The company was founded by Ben Chigier,
formerly a researcher at Carnegie Mellon University and NYNEX Science and
Technology.

Compaq Computer Corporation is the world's largest supplier of personal
computers, offering desktop PCs, portable PCs, and servers. Founded in
1982, the Company reported 1994 worldwide sales of $10.9 billion. Compaq
products are sold and supported in more than 100 countries through a
network of more than 38,000 Compaq marketing partners. Compaq also sells
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 Online, CompuServe, Internet (http://www.compaq.com),
and Prodigy, or by calling 1-800-345-1518.

Compaq Computer Corp
PO Box 692000
Houston, TX 77269-2000

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